Marketing Activities

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UN
IV
D
OR ER
S
NF
El
CIERASA
A 82.17
1949-1950 JANUARY 1949
LISKART
ru o
AG
l o
A
MARKETING
ACTIVITIES
HOCUS
TED
TEESD
TUNI
U. S. Department of Agriculture
Production and Marketing Administration
Washington 25, D.C.
IN THIS ISSUE :
MIDDLEMEN AND HIGH FOOD PRICES

By F. L. Thomsen .
Page 3
Who's to blame for high food prices ? It's hard to put the finger
on anybody in particular , says Mr. Thomsen .
STATES ATTACK MARKETING PROBLEMS

By John I. Thompson .. Page 5
The States , joining with PMA under the Research and Marketing Act ,
are solving many diffioult marketing prublems .
TURPENTINE ACIDITY CHECKED

By V. E. Grotlisch and S. R. Snider Page 8
Too much aoid in gum turpentine causes discoloration in storage-

and that's bad . So PMA ohemists have perfeoted the " aoid test." that
helps keep those hydrogen ions under control .
KNOW YOUR EGG VALUES
By Rowena S. Carpenter ...... ... Page 11
White eggs or brown eggs --they all look alike in the skillet .
PRICE SUPPORTS - 1949 AND AFTER Page 13
Price support , at best , is a complex subjeot . This digest of the

important provisions of the Agrioultural Marketing Aot of 1948 will set
you straight on several points .
MARKETING BRIEFS • . Page 17
ABOUT MARKETING Page 19
Address all inquiries to Material in Marketing Activities

The Editor , Marketing Activities may be reprinted without special
Produotion and Marketing Admin . permission .
Washington 25 , D. C. Issued monthly . Vol . 12 , No. 1
Middlemen and High Food Prices By F. L. Thomsen
Wany consumers have been hard hit by the prices of meats and other
foods in recent months . How to deal with their protests against high
food prices has been a big problem for food distributors . Taken as a
group , however , food oonsumers are better off than their protests indi
cate . Retail food prices have risen sharply since before the war -- but
income has too .
In the second quarter of 1948 an average family had to pay only 21

peroent of its " disposable " income for the same quantity of representa
tive foods for which it would have had to spend 23 percent of its inoome
in 1935-39 . This is rather diffioult to realize be cause during the war
our incomes rose much faster than food prices . In 1944 , for example , the
family would have had to spend only 16 peroent of its disposable income
for the same quantity of foods . The contrast with this wartime situation
is what really causes the dissatisfaction . It is true that many food
prices are out of line , But in general the level of food prioes is not
high enough to warrant all the outories against farmers and food hand
lere .
Marketing Charges Have Deolined Proportionally

Food distributors and handlers aregetting a large share of the
blame for high food prioos . Warketing charges are said to have increased
too much , and marketing effioionoy to have deoreased . Aotually , this is
not generally the case . In Ootober 1948 , on the average for all parts of
the country and for all foods produoed in the United States , marketing
charges represented 48 percent of the retail cost . This oompares with
for
59 peroent during the period 1935-39 , and 65 percent on the average
the last prewar year 1941 .
Relative to retail prioes and prices received by farmers , then ,
marketing charges have deolined . In absolute terms , of course , they have
risen , by over 50 peroont . But the rise in marketing charges has not
been as great as the rise in wage rates of the persons employed by mar
keting agencies . Sinoe labor costs represent a considerable part of the
total operating costs of food processors and handlers , this fact would
imply that marketing agencies have actually inoroased their effioienoy
of labor utilization . The implication is borne out by the trend of labor
cost per unit of produot , which has gone up less than wage rates in the
marketing industries , although more than marketing charges . Evidently
marketing agenoies have been able to effeot substantial poonomies since
before the war , in order to make such a rooord .
This does not mean that all marketing operations are oonduoted ef
ficiently, or that costs oould not be further reduoed for the benefit of
January 1949 3
both farmer and consumer .On the oontrary , we know that many marketing
operations are very inefficient . Even on the basis of present knowledge ,
substantial economies could be put into effect .
But improvements in marketing will not result either from indis
oriminate abuse of middlemen or from any mere squeezing of profits .
Frofits do not represent a suffioiently large part of total marketing
charges to offer opportunities for substantial reductions in margins .
If marketing is to become more efficient and marketing charges are to be
reduced , it will be necessary to reduce the aotual oosts of operation by
adopting more effioient praotioes and enoouraging more effioient types
of marketing agenoies .
For the most part , the portions of the marketing system that are
responsible for the larger part of total marketing charges are not those
ordinarily blamed by consumers . In general , we have placed too much
stress on the farm end of the marketing system and on the processing and
wholesaling centers , and not enough on retailing , whioh absorbs by far
the largest part of total marketing charges .
While a good proportion of present retailing costs refloot nocas sary

services to consumers there is no doubt that charges could be out if
there were more general acceptance of the best retailing teohniques lmown
in the trade today . This does not necessarily mean that retailers as a
group are considerably less effioient that other segments of the trade .
It does mean that because retailing con sumes such a broad share of the
marketing oosts any effioienoies effeoted here will be partioularly sig
nificant in outting the marketing costs between the produoer and the one
sumer .
Retailing Greatest Marketing Charge
The cost of retailing is by far the largest single item in the total
spread between the farmer and the oon sumer . For some commodities it ab
sorbs almost half of all marketing charges . On the average , it amounts
to about a fourth of the consumers ' dollar and nearly 40 peroent of the
total marketing charges .
At one time it was thought that little could be done to reduce ro

tailing oosts . Then along came the self -service supermarket which out
the prevailing costs by half and in some cases even more . These economies
were made possible primarily by inoreasing the volume of operations per
unit through new merchandising methods that made more oustomers willing
to patronize individual stores . Self - service methods have possibly been
the largest single oost- and labor -saving innovation but there have been
many little efficiencies that have resulted from the application of con
tralized management and praotical merchandising research .
Improvements in marketing will not be obtained by merely " oussing
out " the marketing system or depending upon oritioism direoted solely at
any one marketing group . Farmers and to an even larger extent consumers
must play a part in this business of bringing about efficient marketing .
4 Marketing Activities
States Attack Marketing Problems
By J. I. Thompson
Better farm produots for oonsumers , reduoed spoilage in marketing

channels , and higher returns to many farmers for their orops are begin
ning to appear as results of Federal - State Marketing improvement work
under the Research and Marketing Act of 1946 .
Although most of the work in this program is still in its early
stages, oonorete examples already have developed of effective solution
of local surplus problems , improved practices in preparation of goods
for market , enlarged market outlets , and sales of produots at better
prices because of the higher quality offered .
A considerable part of the marketing service program is conducted
under cooperative agreements between the Produotion and Marketing Admin
istration and State Departments of Agriculture and bureaus of markets .
This part of the work is finanood jointly by RMA and State funds , and
the work is done by State personnel.
Reports of progress have been received from most of the 23 States
program. Following is a summary of some of the re
taking part in this activities
sults achieved and wayunder :
The Oklahoma State Department of Agriculture has assigned a poultry

marketing specialist to each of eight districts into which the State has
been divided for this work . These men advise and work with poultrymen
and tradesmen in improving the marketing and ma in ta ining the quality of
eggs in trade channels . The State reports that cooperating poultrymen
during the last season got 3 to 10 cents a dozen more for their eggs than
those who did not take part in the program .
Oklahoma fruit and vegetable

marketing specialists were sent to
shipping points just before harvest time . They advise with respect to
the proper stage of maturity at which to harvest , and on marketing meth
ods , so as to provide high -quality produce for consumers and good returns
to produoers . They report on prices , market oonditions , progress of har
vesting and quality of the crops . They follow through to concentration
points, aiding packers and shippers on problems of assembly , grading ,
packing and hauling , and advise on channeling products into the most de
sirable markets . The Extension Service and oivio and other groups coop
erate in the work .
West Virginia is pioneering in the establishment of area or region

al councils within the State , which aid in improving agricultural mar
keting . By cooperative agreement with the Production and Marketing Ad
ministration under authority of the Research and Marketing Aot , State
Department of Agriculture specialists have assisted producers in im
proving the preparation of their crops for market , and have found market
outlets for large volumes of farm products . The work in this State
covers a wide field . In the first season , producers were assisted in
finding better markets for 100,0 00 bushels of No. 1 white potatoes ,
January 1949
12,000 baskets of tomatoes , 100,000 pounds of snap beans , 120,000 dozen
ears of sweet corn and large amounts of other produce . A striking
instance of results is the arrangement for sale of large amounts of blaok
walnuts outside the produoing region at three cents a pound , whereas
previously the price at local markets had been one cent .
Specialists in the Virginia State Department of Agrioulture , working

under the RMA program , helped in marketing a 50,000-bushel barley orop
in an out - of -State oity where prices were more favorable than in the
producing areas . They found better outlets for 10,000 bushels of oorn
at a time when prices were de pressed locally . Advisory assistance was
given to a local grain mill company in improving its facilities , in
cluding the construction of a half -million - bushel elevator . With this
added storage capaoity it was possible to return to growers of wheat 15
to 25 cents a bushel more than was being paid in nearby areas . The Vir
ginia speoialists also helped to find outlets in Ohio for soybeans.
The Arkansas Agrioulture and Industry Division advised many tomato
growers of the advantage of shifting from sales of field -run product to
a " pink -wrap deal "-- picking tomatoes in the pink stage and wrapping them
individually . With in a few days in one area , the proportion of U. S.
No. I tomatoes rose from 25 percent to 65 peroent , and there was a prio e
difference of about $1 a half -bushel basket between the No. 1 and lower
grades . Strawberry growers were advised against picking the fruit too
green and against over - filling the boxes , which had resulted in injury
to the berries ; grading demonstrations and visits to producers, worked
out in cooperation with extension specialists , improved these praotices .
The Maine Department of Agrioulture , working under an RMA program,

is studying the causes of bruising of apples at all stages of marketing
from produoer to consumer . Specialists will assist in carrying that in
formation to both produoers and traders , so they can adopt practices
that will reduce spoilage .
Utah's State Board of Agrioulture has developed a program to stimu

late and improve marketing of the State's apple crop . Price data have
been compiled on different kinds of apples . Arrangements have been
started for produoers to supply a well -prepared paok and for wholesalers
and retailers to offer Utah apples at mark -ups that will foster a good
volume of sales .
In North Carolina , spooialists of the State Department of Agriculture

arranged for diversion of low -grade sweet potatoes into livestock feed ,
which resulted in a higher -grade produot for the food markets . Markets
were found for this livestock feed , which was new to many feeders . Two
sweet potato auotion markets were organized and more than 300,000 bu
shels were sold through one of those outlets alone ; the growers for the
first time received premium prices for their high - grade product . In
spection , grading and better marketing of other vegetables wer fostered .
Cotton ginners were advised and assisted in improving their equipment
and methods , and it was reported that tho product of cooperating gins
was about one full grade above the produot of nonoooperators .
Heavy production of popoorn in one area of Kentucky threatened to
cause a serious local surplus , but specialists of the State Department
of Agriculture made arrangements with an Eastern concern to take the
popoorn as fast as it could be harvested . Plans are being formulated
for the growers to set up their own processing and packaging plant for
next season , beoause it was found there was a demand for large amounts
of popoorn in consumer packages . State specialists also are providing
information to growers and the trade on supplies and prioes of all sorts
of farm produce .
The Wisoon sin Department of Agriculture , in cooperation with the
State experiment station , is trying out in its RMA work new methods of
packaging cheese , and experimenting with oonsumer packaging in various
types of wrappings and sizes of containers . The State is surveying pro
duotion trends and marketing praotices in the fruit and vegetable in
du stry , marketing methods and outlets for poultry and eggs by areas , and
the movement of milk to markets both inside and outside the State . Data
are being oollooted on total disappearance of hogs in the State by death ,
home slaughter , and marketing .
To assist the prune industry with its marketing problems , the Cali
fornia Department of Agriculture has assembled information on current
production trends , volume of sales , exports , prioos paid to growers and
wholesalers , merchandising practices and trade problems , and the trend
of supply and demand . The State plans also a survey of aoroages of
fruits and nuts by counties , age of trees , and varieties , and will make
å survey of its poultry industry . The data will be used as a guide by
producers and the trade in meeting future supply and marketing problems .
California has had trouble in getting repeat orders for Gravenstein
apples in nearly all markets . The State Bureau of Markets sent a man to
important markets throughout the country to observe the apples at all
stages in distribution , so as to show what defects developed and where
they appeared . Piotures taken during the survey are used to show the
oauses of the trouble , and stimulate action that will get the apples to
consumers in better condition .
Indiana is oarrying on its RMA work through Purdue University's

Division of Markets . It is oolleoting special market information by
counties and disseminating it through the press , radio , and weekly re
ports .
The Kansas State Board of Agrioulture colleoted information on
storage capac ity available for grain at harvest time , and made it avail
able to growers , railroads and the trade . Data on sales and prices of
wheat by grades also were distributed . Monthly reports were made on
prices and marketing of poultry and eggs , showing price differentials by
grade and geographioal area , for the guidance of produoers and the trade .
The Michigan State Department of Agrioulture is surveying fruit and

vegetable growing areas , ascertaining what proportion of each orop goes
into the fresh and the processing markets . The survey will be the basis
for a continuing system of reporting ourrent and seasonal data on avail
able supplies , orop conditions prior to harvest , and related factors.
7
January 1949
Turpentine Acidity Checked
By V. E. Grotlisoh and S. R. Snider
The benefits to the turpentine farmers of more effioient oentral

distillation of naval stores accomplished without some
have not been
problems and difficulties . All too frequent complaints have been re
ceived by the Naval Stores Division of the Tobacco Branch from dealers
and consumers of gum turpentine that the quality of gum turpentine our
rently supplied them is inferior to the quality earlier handled and which
had boon distilled by the slower country ( pot ) still prooe88 . Apparently
the improved and accelerated processing of the direct - steam distillation
had brought with it some technical difficulties .
As the result of a periodic testing program carried out by the Naval

Stores Division on representative Samples collected from most of the
central stills , it has been definitely proved that the diffioulties
are caused by the increase in the acid content of turpentine coming from
somo of tho new processing plants .
Most turpentine, and particularly gum spirits of turpentine made

from pine gum ( oleoresin ) normally contains small quantities of several
weak acids , such as acetio aoid and what is usually called " resin aoid" ,
both of which are present in the crude gum . Resin acid is the principal
constituent of the finished rosin . These acids are not present in the
turpentine in excess or harmful quantities when the pine gum is subjected
to the slow distillation process in the old type fire or pot still .
Such low acid turpentine can be stored in large tanks or packed in cans
or drums for reasonable periods of time without excessive deterioration .
The excess acidity is not harmful in itself , but it causes certain types
of deterioration to ooour prema turely , ultima tely affecting the useful
ness of the turpentine .
Rapid Distillation Causes Greater Aoid Carryover
During 1947 and 1948 , about 80 poroent of the pine gum was distilled
at some 32 central processing plants , which , within the course of about
five years , have replaced most of the former 1000 or more country fire
stills . At thesecentral plants the gum is distilled at a much more
rapid rate , with live steam sprayed at high pressure directly into the
boiling gum . If the stiller does not hold down the rate of distillation
and the operating temperature, or if he overcharges the still in order to
keep up with wusually heavy receipts of gum , such accelerated operation
causes particles of undistilled or raw gum to be carried over along with
the turpentine vapors . This raw gum contains the resin or rosin aoid
which is carried along in solution with the turpentine , thus giving the
turpentine an abnormally high aoid content.
High aoid turpentine deteriorates more rapidly than normal turpen

tine . When the turpentine is stored in iron tanks or packed and shipped
in steel drums, even when galvanized , the acids have a tendency to reaot
or work on the exposed metal of the oontainer , forming metallic resinates
1
Above- Distillation of gum turpentine by the old country pot still method was a
picturesque process . It required a great deal of skillful hand testing and sniffing by
the operator .
Below- In modern central plants direot steam under high pressure permits rapid dis
tillation but requires vigilance to avoid oarryover of rosin aoids into the turpentine .
Jarruary 1949 9
whioh are colored . These are soluble in the turpentine and cause disoolor
ation , which is objeotionable because consumers traditionally have
favored clear and oolorless turpentine . The higher acid oontent seems
to accelerate the deterioration of turpentine through , more rapid absorp
tion of oxygen from the air . This causes a more rapid increase in the
speoifio gravity , or relative weight of the turpentine , and after pro
longed storage may retard evaporation and inorease the evaporation res
idue . Paints thinned with high gravity turpentine tend to dry slower
and remain " taoky " longer . If used in shoe polish , high aoid and high
gravity turpentine cause the polish to give a stioky or tacky surface ,
which fails to take on the desired lustre .
Periodio tests. on gum turpentine pro duoed at about 25 of the con

tral processing plants disolose that the aoid oontent of gum turpentine
oan be minimized to an acceptable and safe level , if the stills are
properly designed and operated . Some of the iurpentine analysed in
these tests had 3 to 5 times as much aoid present as is now regarded as
8.00eptable by the U. S. Department of Agriculture , Most of the plants
have oorrooted the trouble but , unfortunately , a few still are turning
out turpentine with an excessively high aoid oontent .
Test Determines Aoid Content at Plant
The Neval Stores Division has devised a simple test , for use by its
inspectors and by the processors , by means of which the aoid oontent of
the turpentine can be readily and easily determired , with a precision of
one hundredth of 1 peroent . The necessary chemicals , solutions , and
equipment , can be purchased from chemical supply houses at reasonable
oost . A test requires only a few moments and can be made by any one
without a knowledge of analytioal chemistry . The materials oost but a
few cents per test . Many of the processors now are regularly testing
the aoidity of their daily output , as well as of each tank oar of tur
pentine shipped from their plants .
Because the aoid oontent of turpentine may affeot adversely
storage qualities of gum turpentirs , the problem of aoidity is of im
portanoe to the Produotion and Marketing Administration , since Commodity
Credit Corporation now holds in tank storage over four nillion gallons
of turpentine pledged as collateral under the 1947 and 1.948 naval storos
loan programs . Consideration has been given to placing a maximum limit
on the aoid oontent in order for turpentine to be eligible for loans ,
should any future loan program be au thorized . The warehous emen who are
responsible for maintaining the quality of the turpentine held in their
tanks for the account of Commodity
Credit Corporation also are faced
with the problem of deterioration of high aoid turpentine in storage .
The inspectors of the Naval Stores Division are required to examine
periodically all turpentine held in storage as loan collateral . The
development of the new , simple and a courate test will permit the neces
sary close watoh over the oondition of the stored turpentine, as well as
assist the processors to forestall the production of high -acid gum tur
pentine ,
Know Your Egg Values
By Rowena S. Carpenter
What does a homemaker for when she buys eggs wisely? Should
look
she be concerned only with price and grade ? What part does size and
shell color play in ege values ?
There are no pat answers for all these questions but a lot can be
done toward clearing up what might be termed vague egg notions ,
In the first place oonsumers who know where to buy eggs , and how to
check on their quality and size , and how to keep them once they have them ,
are likely to be eating eggs of the quality they prefer at all times .
"Where to buy eggs " is a question consumers will have to answer for
themselves . Merchants who recognize egg quality and who know how to
maintain it for their customers will best serve their trade . Consumers
will be better able to choose their dealer when they themselves know
what keeps eggs at top quality .
Eggs require a cool place --above freezing and below 45 ° F .-- clean ,
and not too dry . Many homemakers do not realize that eggs left for 4
days in a warm store or kitchen( temperature between 70° and 80° F. )
lose as much " freshness " as eggs kept for several weeks in the refriger
ator in a covered container . Ege quality hits the skids quickly in tem
peratures above 900 F.
Read the Labels
The wise consumer will read labels at the time of purchase, for eggs
officially graded according to U.S. standards will carry the quality or
grade term (AA , A , B , or C ) , the size of the eggs based on the weight per
dozen , and the date the eggs were graded . The grade label is an assur
ance of quality after the date of grading only if the eggs have been
kept under proper conditions.
Eggs that are not graded officially under the Federal and Federal
State
ti
programs cannot carry the letters " U.S." before the grade designa
on . Since some States use their own grades and grading systems con
sumers should become familiar with the prevailing local standards .
It is important to remember that size and interior quality are
independent of each other .' Top grades may be found in medium sizes just
as extra large eggs may be of lower quality grades .
Since eggs are classified by weight it is well to check the weight
of the label description against another weighing on the kitchen scales .
According to U.S. weight classes , a dozen "Extra Large " eggs must weigh
at least 27 ounces without the carton , which usually weighs 2 ounces,
" Large " eges must weigh at least 24 ounces per dozen ; " Medium " . 21
ounces ; " Small " 18 ounces .
January 1949 ll
Sometimes however , descriptive terms used on labels may have little
meaning in themselves and little relation to the quality of the producto
The homemaker who buys eggs from displays or in cartons carrying
bulk
only such descriptions as " selected " or " best" or " fresh country eggs
has to depend on the dealer for her assurance of quality . Eggs SO
labeled may vary widely in all elements .
Because e88 size does not affect quality very small or " pullet
eggs" may be an unusually good " buy " . A few Jumbo eggs (weighing over
30 ounces per dozen ) may appear in stores now and then but through most
of the year only extra- large , large and medium - sized eggs will be
available .
Shell Color Does Not Affect quality
Shell color has no relation to interior quality but in some sections

of the country it pays to consider shell color in relation to price . In
some markets white eggs may cost as much as 5 to 10 cents more per dozen
than brown eggs , or a mixture of white and brown eggs . There is no
reason why a premium should ever be paid for color in eggs .
Interior quality , unfortunately , cannot be determined by the oon
sumer until the eggs are purchased . In spite of the finality of this
situation some misconceptions persist concerning egg quality and use .
First , there seems to be no difference in food value between eggs
of the different qualities , There may be differences in flavor and
palatability and there are usually differences in price . What consumers
should is that eggs
realize of lower quality , the Band C grades , are
just as good for many uses .
Eggs of the first two grades -- the most expensive-- are desirable for
their large proportion of firm white , standing up well around the yolk .
In such eggs the yolk itself is firm and upstanding . These character
is tics make the eggs partioularly suitable for frying , poaching and
cooking in the shell .
In dishes where eggs are not apparent as units , appearance is of no

consequence . Thus grade B and C eggs which may have a smaller proportion
of thick white , plus a flatter , more easily broken yolk , can be used as
scrambled eggs , in baking , and in sauces and salad dressings . Many fam
ilies find that it pays to buy Grade B or C eggs for general cooking
purposes .
Whatever quality of eggs selected , the thrifty housewife protects

that quality by placing eggs in her refrigerator as quickly as possible
after purchase . She does not leave them in a hot car while on a shopping
tour , or in a hot kitchen while sorting other grooeries . When she begins
to prepare a meal or gets ready to bake a cake , she takes out of the re
frigerator only as many eggs as she needs . To prevent the eggs from
losing moisture , absorbing flavors , and losing quality , they are kept in
a covered container in a clean refrigerator . It takes a little care ,
maybe even a little bother , but the sensitive egg pays off well in good
eating .
Price Supports – 1949 and After
A digest of the principal pro
visions of the Agricultural Act
of 1948
Wartime price support legislation expired December 31 , 1948 .

The Agricultural Act of 1948 extends , effective January 1 , 1949 ,
manda tory price support for the 1949 orops of the " basic " commodities
and wool marketed before June 30 , 1950 . The act also extends with some
changes , effective January 1 , 1949 , mandatory price support for " Steagall"
and permissive price support for " other " commodities marketed before
January 1 , 1950 .
The act makes effective on January 1 , 1950 , certain permanent price
support provisions whioh , among other things , provide for a new method
of calculating parity and for more flexibility in the establishment of
price support levels . After January 1 , 1950 , agricultural commodities ,
so far as price support is concerned , fall into only two categories-
basic and non - basic .
Basic Commodities
Wheat, corn , rice , peanuts for nuts , and cotton marketed :

Before June 30 , 1950 ( 1949 crops ) -- 90 percent of parity .
After December 31 , 1949 (beginning with 1950 crops) --60 to 90 per
cent of parity , depending upon the supply at the beginning of the
marketing year . If acreage allotments or marketing quota provisions
are in effect , the support level will be increased 20 percent above
what it otherwise would be--but not above 90 percent of parity .
( See other marketing quota provisions , page 16 )
Tobacco marketed :
Before June 30 , 1950 ( 1949 crops ) -- 90 percent of parity .

December 31 , 1949 (beginning with 1950 crops ) -- 90 percent of
parity in years marketing quotas are in effect .
( See other marketing quota provisions, page 16 )
Steagall Commodities
Hogs, chickens over 3-1 /2 pounds live weight, eggs , and milk and its
products marketed
Through December 31 , 1949--at 90 percent of parity or the comparable

price .
After December 31 , 1949 --at any level from zero to 90 percent of

parity .
( Note : If prices of chickens or turkeys are supported after Decem

ber 31 , 1949 , prices of broiler chickens , ducks , and other poultry
also must be supported ) .
January 1949 13
Potatoes harvested :
On or before December 31 , 1948 and marketed through December 31 ,

1949--90 percent of parity .
After December 31 , 1948 and marketed through December 31 , 1949 --not

less than 60 percent of the parity price nor more than the 1948
support level .
After December 31 , 1949--not less than 60 nor more than 90 percent

of parity .
Edible dry beans, edible dry peas , turkeys, soybeans for oil , flaxseed for
oil, peanuts for oil , American - Egyptian cotton , and sweetpotatoes marketed :
Through December 31 , 1949--not less than 60 percent of parity or
comparable price nor higher than the level at which the commodity
was supported in 1948 .
(Note : In the case of all Steagall commodities marketed in 1949 the

Secretary of Agriculture may require compliance with production goals
and marketing regulations as a condition to eligibility of producers
for price support ) .
parity .
Wool ( A non - basic non -Steagall commodity ) marketed :

Before June 30 , 1950-- at the 1946 price support level (an average
price to farmers of 42.3 cents per pound for shorn wool , groase
basis ) .
After December than 60 percent of
31 , 1949--not less parity nor
of parity
more than 90 percent The Secretary of Agriculture is
of parity .
directed to establish a support level, between 60 and 90 percent of
parity , that will encourage an annual production of approximately
360,000,000 pounds of shorn wool .
(Note : The act provides two possibly conflicting levels of support

for wool during the period January 1-- June 30 , 1950. It has not
been determined as yet which level of support will apply in case
the levels do conflict ) .
All Other Commodities
Through December 31 , 1949--Price support may be carried out if funds

are available after taking in to ao count the needs of other price
support operations , at levels that will tend to bring prices of
other commodities to a fair relationship with prices of the basic
and Steagall commodities . Price support for "other" commodities is
permissive rather than mendatory.

parity .
(Note : In the case of all non-basio commodities marketed after De
cember 31 , 1948 , compliance with acreage allotments , produotion
goals , and marketing practices prescribed by the Secretary of Agri
oulture may be required as a condition of eligibility for price
support ) .
This special provision applies to basic and non - basio commodities

marketed after December 31 , 1949 : If the Secretary of Agriculture, efter
a public hearing , finds price support levels higher than 90 pero ent of
parity to be "necessary in order to increase or maintain the production
of any agricultural commodity in the interest of national security, " he
may put such higher prion supports into effect .
PARITY
Effective January 1 , 1949 :
The parity base period for Maryland tobacco is changed from August
1919-July 1929 to August 1936 - July 1941 .
Effective January 1 , 1950 :
The 1910-14 period is retained as a base for computing the over - all
relationship between prices received by farmers generally and prices paid
by farmers, inoluding interest and taxes .
Parity prices for individual crops , however , are computed in such a
way as to take into consideration , in addition to the 1910-14 period ,
average prices for the previous 10 years ,
The new parity formula inoreases parity prices of most livestock
items but decreases parity prices of many important field crops .
Provision is made to prevent parity prices for individual commodi -
ties from dropping more than 5 percent per year below pari ty prices as
they would be caloulated under the present formula .
The Secretary of Agrioultu re may , after a public hearing , put into
Agrioulture
effect for partioular commodities a revised method of oalculating parity ,
if the parity price as provided for under the new formula appears to be
seriously out of line with parity prices of other agricultural commodi
ties ,
January 1949 15
MARKETING QUOTA PROVISIONS
( Apply only to basic commodities )
January 1 , 1949- June 30 , 1950 (1949 crops) :

If producers have not disapproved marketing quotas for a commodity ,
the price will be supported at 90 peroent of parity .
If producers disapprove marketing quotas for a commodity , the price

will not be supported .
If marketing quotes are in effect for a commodity , prices to coop

erators will be supported at 90 percent of parity , whereas prices to non
cooperators will be supported at only 54 percent of parity --and then on
only so much of the commodity as would be subject to penalty if marketed .
July 1 , 1950 and after (beginning with 1950 crops ) :

If producers have not disapproved marketing quotas , or if marketing
quotas are in effect , prices of wheat , corn , cotton , rice and peanuts
will be supported for cooperators at levels ranging from 60 to 90 percent
of parity, depending upon the relation of total supply to normal supply
at the beginning of the marketing year . Tobacco will be supported at 90
percent of parity in years marketing quotes are in effect--and marketing
quotas for major types of tobacco , except Maryland and cigar leaf , will
be in effect every year unless disapproved by more than one - third of the
producers voting in referendum .
( In the case of corn , prices will be supported to cooperators outside

the commercial corn -producing area at 75 percent of the level at which
prices will be supported to cooperators in the commercial corn - producing
area ) .
If producers disapprove marketing quotas for any commodity , prices

will be supported at 50 percent of parity .
If acreage allotments are in effect for a commodity at the beginning

of the planting season or if marketing quotas are in effect at the be
ginning of the marketing year , the level of price support will be increased
20 percent above what it otherwise would be --but not above 90 percent of
parity.
Marketing quotas shall be proclaimed for corn , wheat , and rice if

the total supply for the marketing year exceeds the normal supply by
more than 20 percent and for cotton supply exceeds tho
if the total
normal supply by 8 percent, or , in the case of the above commodities , if
the total supply for the marketing year just end ing is not less than the
normal supply for the marketing year so ending and the average price for
3 successive months of the marketing year so ending does not exceed 66
percent of parity . A marketing quota will be proclaimed each year for
peanuts and major types of tobacco , except Maryland and cigar leaf.
Marketing quotes will become effective unless disapproved by more than
a one - third vote of the producers voting in referendum .
MARKETING BRIEFS :
Cotton . --The cotton export program is to be continued with the cur

rent export subsidy rate of 10 cents per bale rema ining in effeot with
respeot to notices of sale received by the New Orleans PMA Commodity
office after December 28 , 1948 , aocording to an announoement ma de la te
in December by USDA . registered for sale under the program must
Cotton
be shipped prior to January 1 , 1950 . Previously the Department had
announood that exporters would have until December 31 , 1948 to export
under this program .
Dairy Produots .-- During late December Federal milk marketing orders
in the marketing areas of New York , Philadelphia , Columbus , Greater Bos
ton and Sioux City were amended by the Secretary of Agrioulture after
publio hearings had been held and under the authority of the Agricultural
Marketing Agreements Aot of 1937 . The New York amendment retains the
present relationship of prices between the New York and Boston milk
markets until June 30 , 1949. This will result in a seasonal reduotion
from the current price during the month of January 1949 , of 44 cents per
hundredweight , or about 1 sent por quart , in the minimum Class I -A New
York milk price and antioipates an additional seasonal drop of 44 cents
per hundredweight on April 1 , 1949 .... The revised order for the Phila
delphia market establishes for a period of six months at a seasonally
lower level the prices for Class I milk set up for the Philadelphia mar
keting area under the amendment to the order of August 1 , 1948 . Effeo
tive January 1 , 1949 , the price will be $ 5.90 per hundredweight for the
January -Maroh quarter of 1949 and $ 5.50 per hundredweight for the April
June quarter , for Class I milk or 4 percent butterfat . The comparable
price for the October - December , 1948 , quarter was $6.30 per hundred
weight .... The Columbus amendment provides prices to produoers for class
I and Class II milk (fluid milk and fluid oream , respectively ) in Jan
uary 1949 , at not less than the following amounts : Class I - $ 4.65 ,
Class II $4.40 per hundredweight . Minimum prices for Class I and
Class II milk in February 1949 , are fixed at levels 22 cents per hun
dredweight loss than the January minimum prices . The Class I price in
January will be slightly more than 1.5 cents per quart of milk below the
level of July 1948 , after which producer prioes began to decline . The
price for February 1949 will be approximately 1/2 cent per quart less
than for January 1949 .... Effective January 1 , 1949 , Class II milk
prices in the Boston market are established by deducting from the whole
sale selling prices of fluid cream and nonfat dry milk solids an allow
ance for handling , processing , and shipping products of Class II milk .
Today's amendment provides for an allowance increase of 10 cents per
hundredweight which will have the effect of lowering the Class II price
by that amount . Need for such action was revealed at publio hearings
Vermont , and May 26-28 , 1948 , at
held May 24 , 1948 , at Morrisville ,
Boston .... The revised Sioux City order increases the differentials
over the basic milk price for Class I ( fluid milk ) and Class II ( fluid
cream) ; reolassifies skim milk , buttermilk , and flavored milk from Class
I to Class II , and provides for seasonal price variations , Class I and
Class II price differentials will be 80 cents per hundredweight for each
of the two classes during April through July , and $ 1.00 per hundred
weight during August through Maroh .
January 1949 17
Fruits and Vegetables .--USDA announced December 39 the further
amendment of the Federal marketing agreement and order regulating the
handling of fresh Bartlett pears , plums , and Elberta peaches produced in
California following approval by interested groups of the proposed amend
ment . In a referendum conducted November 5 10 , 1948 , more than 85 per
cent of the growers of each of the fruits who voted favored the proposed
further amendment of the order , and handlers representing more than 50
percent of the volume of each fruit covered by the order signed the fur
ther amended marketing agreement which provides for the establishment of
minimum standards of quality and maturity ; authorizes the Control Com
mittee , which administers ' the marketing agreement and order program , to
engage in such research and service aotivities as may be approved by the
Secretary of Agriculture ; revises the provisions for the issuance of ex
emption certificates ; and provides for the modification , suspension ,
or termination of grade and size regulations and of minimum standards of
quality and maturity .
Grains and Grain Produots .--Price support loans and purohase agree
ments on 1948 -crop dry edible beans will be available to producers
through February 28 , 1949 , instead of through the previousl
previouslyy announced
date of December 31 , 1948 , USDA has announced . Extension has been made
because processing facilities in some areas were inadequate to oondition
the orop properly by December 31 . The 1948 crop of dry edible beans ,
estimated at 20,833,000 100 -pound bags , is the seoond largest on record .
Livestook .--USDA announced December 30 , 1948 a 1949 wool price
support program with a price schedule that will provide a national aver
age wool price to growers of slightly more than 42 cents a pound , grease
basis . This will approximate the 1948 wool price support level . Wool
prices will be supported by purchases , and the program will apply to all
types and grades of shorn and pulled wool produced in the United States
and territories . The program will run from January 1 through December
31 , 1949 , The program will be operated in 1949 , as in 1948 , under agree
ments with handlers who act as purchasing and selling agents for the
Commodity Credit Corporation .
Tobacco .-- Secretary of Agriculture Charles F. Brannan announoed De

cember 24 that on the basis of available information regarding the flue
cured tobacco supply and demand situation no change will be made in 1949
crop marketing quotas totaling 1,030,000,000 pounds as announced by
Department August 9 . The Secretary also announced the following State
aoreage allotments for the 1949 crop : Alabama 500 acres ; Florida 19,603 ;
Georgia 95,260 ; North Carolina 634,313 ; South Carolina 109,650 ; and Vir
ginia 96,493 . In addition to these amounts , 4,804 acres will be reserved
for allotments to farms upon which no flue - oured tobaoco has been grown
during the past five years . The total acreage to be allotted for 1949
is 960,623 acres as compared with 908,000 acres allotted in 1948. Allot
ments for most farms will be about 5 percent more than in 1948 . Local
county committees will notify each farm operator of his 1949 farm acreage
allotment around February 1 .... All Burley markets which had olosed
December 21 reopened on schedule January 10 . The Sparta , Tennessee mar
ket which had operated without inspection service was supplied with in
spectors at the January 10 opening .
ABOUT MARKETING
The following addresses , statements , and publications, issued re

cently , may be obtained upon request . To order , cheok on this page the
publications desired , detach and mail to the Produotion and Marketing
Administration , U.S. Department of Agrioulture , Washington 25 , D. C.
Addresses and Statements :
Better Living , by Charles F. Brannan , Seoretary of griou Iture , at

Centre , Alabama , De oomber 3 , 1948 . 13 pp . ( Proouss • d )
Learning to Live With Our Abundanoe , by Charles F. Brannan , Seore

tary of Agriculture , at St. Paul, Minnesate , Do oombor 14 , 1948 . ll pp .
( Processed )
What Kind of Pressure , by Charles F. Brannan at Atlantio City , Now

Jersey , December 15 , 1948 . 11 pp . (Processed )
Publications :
The Fertilizer Situation for 1948-49 . (PMA ) October 1948 . 12 pp .

(Processed )
Corn Price Supports. (PMA) Ootober 1948 . 2 pp . (Prooossed )
Cotton Prioe Supports. (PMA ) Ootober 1948 . 2 pp . (Prvoessed )

Peanuts : Aoreage Allotments , Price Supports . 2 pp . De oember 1948 ,
( Processed )
Marketing Margins and Costs for Poultry and Eggs . ( Bureau of Agri
oultural Economios ) TB - 969 . November 1948 , 70 PP • ( Printed )
Commercial Family- Operated Cattle Ranches , Intermountain Region ,

1930-47 : Organizations , Costs and Returns . (Bureau of Agrioultural Eo
onomios ) FM - 71 . November 1948. 29 pp . (Processed )
Inventory of Major Land Uses : United States . ( Bureau of Agri
oultural Economios ) December 1948 . 34 PP . ( Processed )
How Heavy Should I Feed My Hogs ? (Bureau of Agrioultural Eoonomios)

AIS - 78 . November 1948 . 4 PP . (Frinted )
Slide Films of the U.S , Department of Agriculture . (USDA ) MP - 655 .
November 1948 . 22 pp . ( Printed )
The National Poultry Improvement Plan . (USDA ) MP - 300 . Revised

June 1948 . 33 pp . (Printed)
The National Turkey Improvement Plan . (USDA ) MP - 555 . Revised
June 1948. 32 pp . (Printed )
January 1949 19
FEBRUARY 1949
Al o
MARKETING
ACTIVITIES
PRICULTURE
Z
DE O
F
ED
UNIT
Washington 25, D.C.
IN THIS ISSUE :
SEED TESTING FOR UNIFORMITY

By W. A. Davidson and 0. L. Justice 0 O o
Page 3
Seed testing that is most beneficial to the trade is a blend of re

search and application .
Mr. Davidson , chief of the Seed Act Division ,
and Dr. Justice , in direct charge of seed testing at Beltsville , Md . ,
tell what's new in researoh and practice .
MARKET OUTLETS IMPROVED BY STATE RMA PROGRAM

By Leighton G. Foster Page 9
Improved marketing practices , increased returns to producers and

better quality products are cooperative goals in West Virginia's RMA pro
gram . Mr. Foster is in charge of RMA work carried on cooperatively by
PMA and State departments of agriculture and bureaus of markets .
PAC ACT HELPS TRADE SETTLE ITS OWN DISPUTES

By T. C. Curry .
Page 12
Commission merchants , dealers , brokers , buyers and sellers of fresh

fruits and vegetables now understand each other better . The author is
directly in charge of administering the act .
WOOL TESTING NOW ON FEE BASIS
By Warner M. Buck . . O Page 16
The reliable core - analysis shrinkage test is now available to all

producers and buyers of wool . Accurate fixing of shrinkage weights in
raw wools will help stabilize wool trading , says Mr. Buck , Department
marketing specialist .
MARKETING BRIEFS . .
Page 19
ABOUT MARKET ING Page 21

Production and Marketing Admin . permission .
Seed Testing for Uniformity
By W. A. Davidson and Oren L. Justice
When a farmer or a gardener handles a sample of seed he will plant
this spring he will likely have two good questions in mind : " Is it pure
seed ? " and " Will it grow ? "
This is the seed on which he will oount for a good harvest . With
the approach of the planting season his hopes are probably as bright as
piotures in a seed catalogue . But on the basis of visual examination
alone , even the experts would be unable to answer the questions . And
there was a time when seed was not labeled with this information , and
advertising was highly exaggerated --especially the advertising carried
in the flashy seed catalogues .
Now , however , for most planters the desired information will be fur
nished on the label if the seed has been analyzed and tested as required
under the State and Federal Seed laws . If there has boen compliance with
the laws , the label will tell the planter whether the seed has the abil
ity to fulfill his hopes .
Seed Quality Vastly Improved

Since the ena otment of the Federal Seed Aot in 1939 , and because of
the vigorous enforoement of this Act and the State seed laws , the over
all quality of seed is vastly better than it used to be . Cooperation
from seed dealers , advanced processing techniques , and development of
better varieties at experiment stations have also contributed heavily to
the improvement .
Title . III of the Federal Seed Aot prohibits the importation of agri
cultural and vegetable sood unless it is up to certain standards of
purity and germination . This stopped a lot of trash from coming into
the country to be sold as seed and thus it improved the average quality .
However , there are still several obstacles whioh must be overoome
before farmers and tradesmen will be fully benefited by proteotive leg
islation . Last year about 1,000 oomplaints of violations of the Federal
Seed Aot were investigated , and oriminal action was recommended in 34 of
them . The Seed Aot Division , responsible for enforooment of the Federal
legislation , works in olose cooperation with State agenoies in an effort
to improve the labeling of seed in commeroial channels .
The names of varieties used to be embellished with a lot of " super

colossal " words , But these are largely a thing of the past . The Federal
Seed Aot requires labeling as to variety to be confined to the rooognized
variety name . Of course , a variety may be known under different namo s
in different Interested agenoies have been asked to help
looalities .
standardize the se names 80 buyers of seed will know what to ask for and
sood dealers will know what to deliver . Progress is being made along
Pobruary 1949 3
this line . Soed is tested in the field to determine whether it is truth
fully labeled as to variety , because seeds of different varieties are
usually indistinguishable from their appearance .
The Seed Act Division has launched a campaign of research and in
vestigation to determine both the causes for variations in results and
the methods by which these differences may be prevented . This program
is authorized under the Research and Marketing Aot as Projeot 355 and
is entitled " Standardization and Coordination of Methods of Sampling and
Testing Seeds .'11
With the expansion of the seed trade and the increasing number of
commeroial seed-testing laboratories , the importance of standardization
with respeot to procedures , equipment and interpretations becomes appar
ent . Before uniform results oan be expeoted from laboratory tests , it
is necessary that these factors be standardized as nearly as possible so
that Federal , State , and commeroial analysts can follow them uniformly .
When this is done , greater reliance can be placed upon the results of
tests , seed labels , and invoices , and both seed buyers and dealers will
be benefited.
Commeroial Laboratories Most Numerous
laboratories in the United States fall into three separate

Seed
classifications based upon the sponsoring agencies . Most numerous are
the private or commercial laboratories that are maintained and operated
by individuals or commercial organizations , such as seed companies en
gaged in buying and selling seed . The commercial laboratories test seeds
for private individuals on a fee basis , though often they are maintained
solely for the use of the seed oompany which operates the laboratory .
Many of the commercial seed analysts are members of the Society of Com
mercial Seed Technologists. The seoond group of laboratories is oomposed
of State seed-testing laboratories maintained and operated either through
the State Department of Agriculture , the State experiment station , or
the State agricultural college . In most States the laboratories are
established primarily for testing seed in the administration of the

State seed law but they also perform service testing for farmers and
seed dealers .
The third group , the Federal seed -testing laboratories , are main
tained and operated by the Department of Agrioulture for the purpose of
testing seed in the administration of the Federal Seed Act . These lab
oratories test seed offered for importation into the United States to do
termine whether it meets the standards of quality required , and also sood
that is shipped in interstate commerce for the purpose of checking on
the truthfulness of labeling . The Federal and State seed laboratories
are united in the Association of Offioial Seed Analysts .
In testing seed for purity , seed analysts are concerned with four
faotors : The percentages of pure seed , inert matter , weed seed and other
orop seed . The purity test is painstaking , accomplished by hand , or
rather by hand manipulation of forceps and olose inspection of each in
dividual seed . Usually it is necessary to examine the seed by use of a
UPPER LEFT--Seeds are tested in the field for positive identification .
UPPER RIGHT--Radish seeds showing high viability are taken from the ger
mination cabinet at the Federal seed testing laboratory at Beltsville , Md .
LOWER LEFT--Unknow seeds are compared with some of the 30,000 known sam
ples at the Beltsville seed herbarium . Identification is still diffioult .
LOWER RIGHT --Using field peas and a vacuum counter and spacer a teoh
nologist prepares a "rolled towel " germination rest that will take 8 days.
February 1949 5
hand lens or magnifying glass . This is particularly true in the analy
ses of such kinds as tiny vegetable , grass , and clover seeds . The seeds
are generally spread out on the flat top of a work board covered with
paper of color contrasting with that of the sample . There the pure seed 1
is separated from the weed seed , inert material , and other agricultural
and vegetable seeds . Frequently , the tiny weed seeds are so deceptively
shaped or colored that only a highly trained eye can olassify them
swiftly and accurately . They are usually of practically the same general
size as the agricultural or vegetable seeds in which they are found .
Such noxious -weed seeds as quackgrass , bindweed , Johnson grass , and dod
der are partioularly difficult to detect as they are usually found in
agricultural or vegetable seeds having similar characteristics .
Uniformity Sought Through Research
With regard to purity analyses, there are certain provisions in the

rules for seed testing that are not entirely specific and which are dif
fioult to apply in a uniform manner . The principal reason for this
vagueness in the rules is due to the meager data upon which specific
provisions can be based . It is hoped that research under RMA Project
355 will soon remedy this situation . As an example , the rules provide
that agrioultural and vegetable Seeds that are broken , insect damaged ,
or diseased shall be olassified as pure seed if more than one -half of
the seed remains , while pieces of one-half of the original size or less
are to be olassified as inert matter . Insects often devour seeds of
leave only a sli
legumes from the inside and sly ght opening or no opening at
all to the exterior . Obviou this presents a serious problem in class
ifying seeds of samples that oontain relatively large peroentage of these
inseot - damaged seeds . One analyst may very well classify certain of
these seeds as pure seed , and another inert material .
Owing to the fact that climatio and soil conditions under which
seed will be planted in the field are variable and cannot be predioted by
seed technologists , it is necessary that germination tests be based upon
a standard laboratory procedure . In general , the rules for seed testing
are based on the principle of determining the maximum germination under
specified standard laboratory conditions. Only seedlings that are ex
peoted to produce normal plants under favorable growing conditions aro
inoluded in determining the percentage of germination . Perhaps the out
standing trend in changes in the rules for seed testing ooncerns the
interpretation of normal and abnormal seedlings in oonducting germination
tests . In the early days of seed testing almost all seedlings which pro
duoed a root or shoot strong enough to break the seed ooat were oonsid
ered as germinated . But now the experts have found out that not all
that germinates in the test will grow in the field . So there has been a
gradual change from the old definition of germination to a consideration
of only those seedlings which are expected to produne normal plants under
favorable conditions . This point of progress , however , has greatly con
tributed to variation in results in laboratory tests . The reason for
this is that in many kinds of seed there is no marked line of distinction
between normal and abnormal seedlings . One of the principal objeotives
of the research project which is under wey is to standardize lines of
demarcation by which seed analysts can reach greater agreement .
A purity analysis on a sample of seed can be accomplished within a
few hours after it has been received in the laboratory . However , present
methods require from 6 to 35 days to completo germination tests , the time
depending upon the kind of seed and the treatment to which it must be
subjeoted to overcome dormanoy . For several years efforts have been made
to find methods of testing seeds for germination or determining viabil
ity by which the time element oan be greatly reduced . This has been par
tioularly true in Europe where considerable research has been conduoted .
Enzyme Resotion Utilized in Germination Test
There , studies have been made to utilize the basic chemi gal dif
ference between living and dead seeds , Living seeds contain oertain
en zymes which are associated with the germination process ; dead seeds do
not contain these active enzymes . Research has been aimed at finding
dyes which will take advantage of this condition with the thought that a
method can be developed which can be applied by seed technologists . The
earlier work was done with selenium compounds which were colorless but
produoed a red coloration in certain tissues of live seed when out or
in jured and immersed in the solution . These chemicals wore soon dis
carded because of their high toxioity to the workers , and because of their
volatile nature . Within the last few years , a new group of compounds
known as tetrazolium salts has been disoovered which gives the same color
reaction ( but different chemical changes ) as the selenium compounds .
They are non - toxio and do not emit objectionable odors . It is believed
that these compounds considerable value in conduoting viability
have
tests of seed . Research under RMA projeot 365 is being carried out at
the Iowa State College seed laboratory to determine the general useful
ness of the tetrazolium method .
At the same time that researoh is being directed toward the tech
niques of analysis, the Department is seeking causes for variation in re
sults of tests through sampling studies and surveys of State seed -testing
laboratories . These studies are designed to provide faotual data with
regard to the causes for variation . With this information the Department
can cheok against the representativeness of samples taken by inspectors .
Different sampling instruments and methods of sampling are studied .
To determine the preoise faotors which are responsible for variations
in results among laboratories , a survey of equipment and procedures used
in State seed - testing laboratories is being conduoted . Though these sur
veys at present are limited to official State laboratories , it is an
tioipated that they will be extended to commeroial seed-testing labora
tories in the future . Through these visitations the Department is able
to offer assistance in many ways as well as to obtain faotual information
with regard to the causes of variation of results among laboratories .
It appears quite likely that these surveys will point up the need of
schools or short oourses for all experienced seed analysts . The train
ing courses would keep the entire trade informed of new developments and
assist in bringing about uniform application of rules and interpretations
which are now in effect .
The activities of the United States Department of Agrioulture per

taining to the sood industry are being matched by a revival of the Inter
February 1949 7
national Seed Testing Association . This has special significance to
tradesmen in the United States for the next meeting is soheduled to be
held in Washington , D. C. , during the week of May 8 , 1950 . This will
be the first meeting of the association in the United States . The funo
tioning of the International Association was interrupted by the outbreak
of the war when the meeting soheduled for 1940 was canceled . Prior to
World War II , 38 countries held membership in the association whose pur
pose is to sponsor methods of testing that will serve in expressing the
quality of seed being handled in international trade . International
rules for seed testing and basio organization of the assooiation will be
major items for discussion at the 1950 meeting .
1948 COMMISRCIAL APPLE PRODUCTION DOWN 20 PERCENT
The 1948 commercial apple crop was estimated at 90,288,000 bush

els -- 20 percent less than the 1947 orop and 22 pero ent less than average .
Compared with 1947 , produotion WAS one-third less in the Western
and North Atlantio Regions , and one - fourth less in the Midwest . The South
Atlantio Region compensated somewhat for these shortages by inoreasing
produotion two -fifths above the 1947 orop .
The six leading varieties in 1948 , in order of importance , were De

lioious ( 18.6 million bu shels) , Winesap ( 10.2 million bushels ) , Mo Intosh
( 8.6 million bushels ) , Johnathon ( 6.7 million bushels ) , Rome Beauty ( 6.3
million bu shels ) , and New York Imperial ( 5.5 million bushels ) .
>
These six varieties totaled 55.9 million bu shels , more than three
fifths of the total commercial produotion . The New York Imperial is the
only important variety grown which had a larger produotion than in 1947 .
Most York Imperials are grown primarily for processing in the Appalach
ian area , where the 1947 orop was very short .
Comparing production with 1947 by variety the York Imperial orop
was up 37 percent . By contrast , produotion of the Delicious was down 24
percent , Winesap down 14 percent , Mo Intosh down ll percent , Jonathon
down 19 percent , Rome Beauty down 6 peroont , Yellow Newton down 22 per
cent and Stayman down 21 per cent .
USE VITAMIN C TO IMPROVE APPLE JUICE
Putting a bottle or a can around that pert and delicious freshness

of raw apple juice has been a tough problem for apple processors . Food
soientists at the Experiment Station , Geneva , New York , have found that
adding vitamin C to chilled raw apple pomace before it is pressed , and
storing the fortified juice at low temperatures will aid materially in
retaining the original flavor and color of the fresh apples . For prac
tical purposes , good results will be obtained by adding the ascorbic acid
at the rate of 6 to 9 grams to a bushel of fruit .
Market Outlets Improved
By State RMA Program By Leighton G. Foster
West Virginia farmers are profiting from a state -wide marketing pro
gram that has brought them new markets and income for a variety of farm
products . The new marketing outlook is a result of the first year's
operation of a Federal -State project conduoted under the authority of
the Research andMarketing Act of 1946. West Virginia is one of 23
States where such work is being carried out by State Departments of Agri
oulture and Bureaus of Markets .
In one area in the State last season produoers were aided in find
ing more profitable markets than in other years for 100,000 bushels of
potatoes , 12,000 baskets of tomatoes , 100,000 pounds of string beans ,
tons of cabbage , 120,000 dozens of sweet oorn , 150,000 bushels of field
corn and thousands of bushels of wheat and other small grains .
A program to improve the marketing of feeder beef cattle was pro

moted actively in the State and , through widely publicized buying and
selling of feeder calves and cattle , the project achieved the desired
effeot of bringing together cattlemen with a surplus of animals and
farmers with an excess of pasture .
Black walnuts , which formerly sold at a cent a pound in small lots ,

were marketed at three oents a pound in large amounts .
As a result of these successes the State's farmers are planning for
greater cooperative efforts , still more outlets for their crops , a live
stook grading program , and a system of market reports .
J. B. McLaughlin , Commissioner of Agriculture for West Virginia ,
recently reported on the results of the marketing program sinoe its be
ginning in December 1947 , and listed objeotives for a year ahead .
Cooperation With Extension Service
The work begun under this program in December 1947 , was carried out
in cooperation with the Agrioultural Extension Service . It involved
direot con taots with farmers , assemblers , proo e88 ors , merohants , jobbers
and retailers , and meetings , demonstrations
demonstrations,, press , radio , posters and
handbills . Regional counoils , 28800iations , chambers of commerce and
businessmen als o cooperated .
Prinoipal organizations with which the State marketing men worked

were the Little Kanawha Regional Counoil , Upper Monongahela Valley
A8800 iation , West Virginia Seed Improvement Assooiation , Future Farmers
of America , and the West Virginia Experiment Station .
February 1949 9
In addition to the state -wide work on beef cattle , new projects
were undertaken with such groups as the Little Kanawha Regional Counoil
through which marketing activities was stimulated and broadened . The
council , serving 1,100 farmers in eight counties , is concerned with im
proving distribution practices and expanding marketing outlets for its
predominantly rural area . The principal products disposed of through
the council in 1948 were potatoes , tomatoes , string beans , cabbage , sweet
corn , field corn , strawberries , eggs , wheat , hay and wool . It also mar
keted many chickens and cattle .
Farmers Aided in Solving Marketing Problems
A marketing coordinator for the eight counties and a part -time mar
keting manager for each county were appointed under the Research and
Marketing Act program . The coordinator and the managers pointed out the
best assembling , grading and packing methods to the farmers . The mar
keting specialists also tried to coordinate the demands of buyers with
the supplies of farmers . Finally , new outlets , not previously used ,
were found for products of the area . For example , marketing research
proved Cleveland to be a good outlet for some of the commodities such as
sweet corn . The work of the State groups in improving the picking ,
handling and shipping of this crop led a Cleveland wholesaler to say
that the West Virginia sweet corn was the best he had ever sold .
In another area of the State , a marketing program has been outlined

for the Upper Monongahela Valley Association , an organization of farmers
of ten counties . The plan is modeled after the marketing work done by
the Little Kanawha Counoil and the principal aim is to survey production
and the need for additional markets . According to the plan , county mar
keting managers were to be appointed , and a three -man marketing committee
set up in each county . A marketing committee for the entire area , with
county marketing chairmen as its members , was to be established .
After several months of work in West Virginia the initial objectives
of the Research and Marketing Act work have been met . These were improve
ment and expansion of feeder cattle and calf marketing , improvements in
harvesting , assembling , packaging , selling and distributing, and estab
lishment of well -organized market outlets . The longer-range objectives
concern the relationship between good marketing practioes and realization
of increased returns to producers . Through the application of these im
proved practices throughout the marketing channel and through the expan
sion of marketing outlets , best results will be accomplished .
Plans for the next year's work in West Virginia inolude : Expansion
of the Little Kanawha Regional Council to include 27 additional counties ;
additional feeder cattle and calf sales through the State ; mor e grading
of livestook , and the preparation of specialized market reports conoern
ing sources of supply and potential outlets during the height of the mar
keting or harvesting season when supplies may be in temporary abundance .
The development of adequate market outlets in the mining sections of West
Virginia and direot delivery of produots from producing areas to good
outlets will aid in establishing cooperation with other States on mar
keting problems . Finally , more adequate basio data on production are de
sired as a tool for developing the marketing program .
The Little Kanawha Regional Council planned a big winter marketing

program . Its plans include a study of 1949 production goals , a survey
to determine the agrioultural produots that sell best , a study of the
most acceptable market standards for products , and further consideration
of advantageous types of oon tainers . The counoil also is looking into
the most opportune times for marketing , and into seed problems , exchang
es to bring together buyers and sellers of feed , livestock , farm machin
ery and other goods needed by farmers , and better storage facilities ,
MECHANICAL CORN DRYING NEEDED
Corn storage methods acceptable 20 years ago are not adequate today,
Claude K. Shedd of the U. S. Depertment of Agriculture said in a recent
address at the annual winter meeting of the American Sooiety of Agrioul
tural Engineers in Chicago . Changes in corn production during the in
tervening years , he said , have brought entirely new problems in storage .
Shedd explained that 20 years ago hybrid corn was unknown , almost
all the crop was husked by hand , and a large part of it was scooped by
hand into the orib . Today almost all the commercial crop is grown from
hybrid seed , husked by machine , and placed in the crib by elevator .
Present oorn storage difficulties have in large part resulted from
te change -over to hybrid seed , the USDA engineer said . High -yielding
hybrids generally require a long growing season , and when planting is
doiavad by wet weather or if summer and fall weather is unfavorable , the
corn is often not dry enough at harvest time for ordinary crib storage .
Other contributing factors to corn storage problems are : ( 1 ) machine
harunsting ; ( 2 ) the tendenoy of operators to start harvesting early and
to contizue even when the corn is not fully dry ; ( 3 ) lack of clean hus.
ing and inoreased quantities of shelled com resulting from machine har
vesting ; and ( 4 ) more or less universal use of elevators for filling
oribs , with the result that foreign materials and shelled corn aro un
evenly distributed in the orib .
Air Foroed Through Crib
Farmers can take full advantage of high -yielding, late hybrids , me

chanical harvesting , and la bor - saving elevators without danger of loss
moisture with air forced
storage moisture
from spoilage by drying oorn to safe storage
through the crib , Shedd said . In cooperati on with the Iowa , Illinois ,
cooperation
Indiane , Michigan , and Ohio Agrioultural Experiment Stations , Department
of Agrioulture engineers Suocessfully dried about 105,000 bu shels of
00 - n in 86 farm oribs during the winter of 1947-48 by ventilation with
heated air . If unheated air is used in drying , the operation is subject
to westher conditioning . Eut Shedd reported that for several years the
Ohio fgrioultural Experiment Station and a number of Ohio farmers have
Den drying ourn successfully with unheated air .
**** 9 1 ).
PAC Act Helps Trade
Settle Its Own Disputes
T. C. Curry
The Perishable Agricultural Commodities Act is a friendly arbitra

tor of genuine differences of opinion in the wholesale fresh and frozen
fruit and vegetable business . To licensees who act in bad faith it is
also a stern disciplinarian .
The act prohibits certain unfair practices , and gives a remedy to
the injured buyer , seller , commission merchant , or broker . The viola
tions are ( 1 ) rejection of the goods by the buyer , without reasonable
cause ; (2 ) failure of the seller to make delivery or to make good de
livery , without reasonable cause ; ( 3 ) failure to make a true accounting ;
( 4 ) failure to pay promptly ; ( 5 ) making false or misleading statements
for a fraudulent purpose ; and ( 6 ) misbranding of goods .
The act requires commission merchants , dealers , and brokers to be
licensed . It provides for denial of license to persons who are found
unfit to engage in business . So long as the license remains in good
standing , the license is renewable from year to year upon payment of the
annual fee of $ 10 . Any person who operates without a license is liable
to a penalty of up to $ 500 for each offense , plus $25 for each day the
offense continues .
Friendly Adjustments Encouraged

Complaints may be filed informally --with the Washington office or
one of five field offices . USDA representatives in charge of adminis
tering the act at onoo get in touch with the person complained against ,
investigate the case , and attempt to make a friendly adjustment .
More than 41,000 complaints have been received since the law was
enacted in 1930 . Of these , 23 percent were for rejection without rea
sonable cause ; 19 percent were for failure to deliver , without reason
able cause ; and 52 percent were for failure truly and correctly to account
and pay for either consignments or purchased goods .
More than 3,600 formal decisions have been rendered by the Secro
tary of Agriculture since 1930 . Inoluded were some 2,500 awards of rep
aration involving $1,500,000 . Only about 12 percent of the reparation
orders have been appealed to the courts, and not more than 5 percent of
the decisions appealed have been reversed .
The act and the regulations under it have become a kind of codo of
ethics in the industry . More and more trade members have shown a will
ingness to accept informal determinations , which have been reached in
over 14,000 of the complaints . Payments totaling more than $8,000,000
have been made under these informal , amioable agreements .
1 12 Marketing Activities
All efforts aimed at informal settlement failing , a formal complaint
is submitted . If the formal decision by the Secretary of Agriculture
awards reparation , the offender's license is automatically suspended un
less he makes payment within a spooified time or appeals to the U. S.
Distriot Court . It is a violation of the law if he continues to receive ,
ship , buy , or soll fresh fruit and fresh vegetables in interstate or
foreign commeroe during the suspension period .
Disoiplinary complaints are begun on the basis of information show

ing repeated or flagrant violations of the aot , inoluding failure to
make and preserve for 2 years a complete reoord of every transaction .
Disoiplinary aotion has been taken in few cases . During the 18 years
the aot has been in foroe , 115 lioense have been su spended for periods
of 10 to 90 days , and 82 licenses have been revoked for repeated or
flagrant violations . For failure to pay reparation awards within the
time presoribed or to file appeals to the courts , 394 licenses have be
automatically suspended until payment was made . Licenses have been
denied on formal order of the Seoretary of Agriculture in 35 oases .
Through suits in Federal courts , judgments with penalties have been
rendered against 52 persons for handling fruits or vegetables in inter
state commerce without a license . The oourts have also issued 19 in
junotions against the handling of produce without a license . The judga
ments ranged in sizo from nominal sums to $17,500 .
World War I Prompted Food Control Aot

Beoause of the speed with which goods are bought and sold , the whole
sale fresh fruit and vegetable trade is more vulnerable to sharp practic
es than some other busines808 . The first legislation aimed at better
ing bu siness praotices in this industry was an emergenoy measure known as
the Food Control Aot , approved in August 1917 , and enaoted as a result
of oonditions existing during World War I.
The Food Administration's regtilations proved so satisfaotory that ,

after the war , the produo e trade set about finding a way to continue
the benefits it had been receiving . Several trade associations adopted
a list of terms and definitions similar to those embodied in the Food
Administration regulations .
In November 1921 oonfereno es were begun by the Departments of Com

meroe and of Agrioulture with various trade assooiations handling per
ishable agriou ltural commodities . The oonferenoes resulted in proposals
and reoommendations that inoluded the adoption of approved rules for the
conduot of bus iness . Among other things , the proposals provided for the
enrollment of persons and firms that would agree to be bound by trading
rules.
The U. S. Department of Agrioulture deve loped a plan of voluntary

registration and arbitration of dis pu tes . Under the plan , USDA was to
make cooperative agreements with individual shippers , dealers , brokers ,
commission merchants , or other distributors who handle fresh fruits and
vegetables in wholesale quantities . Members were to agree to be governed
by standard trading rules, keep adequate records , allow examination of
February 1949 13
the records , and settle disputes by arbitration . The plan was disoussed ,
nearly 3,000 trade members agreed to sign up , and 788 persons represent
ing a tonnage of over oars a year had actually signed ,
half a million
when the plan was abandoned because of the passage of the Produce Agenoy
Act in 1927 .
The Produce Agenoy Aot is a criminal statute which makes it a mis

demeanor for any commission merchant receiving fruits , vegetables , and
other perishable farm produots , in interstate commerce , to make fraudu
lent accounting or false or misleading statements , with intent to defraud ,
or to dump produce without good cause . Unfortunately , this act did not
afford adequate regulation of the marketing of fruits and vegetables .
Baoked by the industry, a bill was then introduced into Congress which
finally resulted in passage of the Perishable Agrioultural Commodities
Act of 1930 .
The oonditions which caused industry leaders to feel that Federal

legislation was necessary for relief can be understood from a reading of
the testimony given at hearings held at the time this bill was being
discussed . A representative of a trado assooiation said :
"The trade has praotically come together and requests that you per
mit them to put themselves in better position to safeguard contraots .
They are no more orooked and no more dishonest than any other men , but
they appreciate , after 2 years ' experience of licensing , the value of
Federal license and the morale which it establishes ; and so they have
asked the perpetuation of conditions which existed during the 2 years of
the war . "
PACA Controls Fly -by -nighters
Speaking of a State law that was in effeot at the time in California ,
the representative of the Agrioultural Legislative Committee of Califor
nia said : " It has taken out of the pioture the fly - by -night who has
interfered seriously with the honest con duot of the business , and by his
methods has foroed practioally all of the rest of them into a type of
business practice they did not like to be in ."
A large shipper from the State of Washington said :

"The present method of marketing without control is oosting the
pro duoer many thousands of dollars annually without any oorresponding
benefit to the consumer . Trade organizations have done a lot of good
work , but certainly have been unable to bring about the necessary im
provements within the industry to eliminate industrial dishonesty. The
produ oe business is one very easy to enter , and for that reason a lot of
cheap orooks are attracted to the game . This element makes it almost
impossible for an honest receiver at terminal markets to operate . "
The following case was oited by another large shipper from the same
State :
" We have a base in an eastern terminal market where we sold a buyer

two oars of apples. He took acceptance at shipping point on the basis
of Federal inspections which were taken before the cars were loaded .
When the cars arrived at destination the market had deolined . As a re
sult the buyer refused to take the cars , olaiming they were not what he
purchased . We agreed to leave the matter of quality to a verification
of our Federal inspection at destination . The buyer refused to do this .
We agreed to leave the matter to the arbitration board of any of our
national fruit associations , which he also refused to do . The cars sold
at a considerable loss . We brought suit against the buyer over 3 years
ago , and the case has not yet come to trial . Through various methods
the buyer's attorneys have been able to delay this case coming up to
trial . This has caused us , up to this time , probably as much expense as
the original loss ; and yet we are no place .
A Congressman from North Dakota said :
" Naturally shippers do not encounter a great deal of trouble when

the market is rising , because then the factor , commission man , or broker
at the other end of the line is ready , in fact anxious, to comply with
the terms of the contract . But in such a commodity as potatoes there
may be a drop of 10 , 20 , or 30 cents per hundredweight in a few hours or
a day , and much larger drops by the time the car reaches the destination
point . We know that then the incentive to get away from the contract is
so tremendous that very often human nature cannot stand up against it .
You also know the difficulties of enforcing that kind of contraot --when
the deal is made , for instance , between a person in North Dakota and
some commission merchant in Texas or some other distant State . There is
always an opportunity to go to the courts, but this does not give the
shipper an adequate remedy unless the individuals and the corporations
you're dealing with are financially responsible , which unfortunately
is not always the case . "
Amendments Keep Aot Up -to - date

The Perishable Agricultural Commodities Act has been amended seven
times . The purpose of the amendments was to plug loopholes . No amend
ments have been made except with industry advice and approval .
A part of the job of administering the act is to review and inter

pret the terms of contracts . For example , a buyer orders a carload of
U. S. No. 1 , size A potatoes . The seller confirms a carload of U. S.
No. 1 potatoes , omitting the buyer's size A specifioations . The result
is --no meeting of the minds and no contract . The seller mist deliver
goods meeting specifications of the contract if he is to demand accept
ance by the buyer . Again , in a case where a specification calls for
" prompt shipment ," but the seller applies on the order a " rolling car , "
the seller cannot demand the buyer's acceptance , for the reason that
shipment has not been made at the time specified .
Opinions based on experience in administering the act for more than
18 years encourage friendly dealings among buyers , sellers , brokers , and
receivers , and tend to keep disputes at a minimum . The PAC Aot , designed
to settlo honest differenoes of opinion impartially , is today an impor
tant cog in the fast -moving wholesale fruit and vegetable trade .
February 1949 15
Wool Testing Now on a Fee Basis
By Warner M. Buok
Only on Mary's little lamb is the fleece 28 white as Snow . The

fleeve taken from a run -of - the -range sheep at shearing time is a tattle
tale gray , or yellow or red , as the color of the local soil may be .
There is more than added color in the raw fleece --there is extra
weight --made up of grease , sand , loam, burrs or vegetable matter . These
extras ordinarily vary from 35 to 65 peroent and at times may make up as
moh as 75 percent of the average 10-16 pound floooe weight.
Because so much of the weight of raw wool may be extraneous materi
al , the determination of shrinkage -- that is , the weight lost in the
soouring cleaning process --is one of the most important oonsiderations
in fixing raw wool values . In the past this shrinkage was estimated
visually by wool buyers . But producers complained , with some justifica
tion , that buyers tended to over - estimate shrinkage , either to allow
themselves a safe margin for error or to boost profits .
These complaints led to research by the Produotion and Marketing
Administration's Livestook Branch to develop an ao curate , objective
method of determining shrinkage . This experimentation was suocessful .
Today , by laboratory analyses of samples Moored" from representative
begs of wool , technicians can determine very olosely just what the final
shrinkage will be . And these determinations are available , for a reason
able fee , to anybody buying or selling wool .
Fee - Testing Started in 1948
Fee -testing , as the new service is called , was started in June 1948
--too late in last year's season to be widely utilized --but its suooess
in that short trial marks it for considerable expansion in 1949. During
1948 , a total of 50 lots , amounting to 1,063,574 pounds , grease basis ,
were tested , and of this, nearly 3/4 came from the Western wool centers
of Denver and San Franoisco .
Core sampling and testing is by far the most acourate and reliable
method known today for the determination of the olean oontent of raw
wool . Sampling methods developed by the Livestook Branch are aimed at an
acouraoy of plus or minus one peroent of the mill yield . In contrast to
this , visual estimations of old hands in the business of wool shrinkage
estimating might well miss the actual mill shrinkage by 6 to 10 percent .
Such error meant that considerable speculation was involved .
After determination has been made at a central laboratory a certif
ioate accurately desoribing the wool and olean content of the sample is
issued to the grower . With this information the wool producer can dis
pose of his olip at values based on a reliable estimate of the shrinkage
peroentage . Transactions are further simplified since the certifioate
also oarries the lot number , the total number of bags or bales in his lot ,
a desoription of the wool , the place and date of sampling and any other
data pertinent to his particular lot .
The wool samples necessary for the test are oored from the bags or
bales by an electrically operated device which might be desoribed as a
tubular knife which fills up with sample wool as it outs through the
fleeces in the particular bag oored . This representative wool is promptly
stored in moisture proof bags or drums and sent to a laboratory of the
Wool Division of the Livestock Branch where it is carefully analyzed for
shrinkage. When results are obtained a certificate is promptly sent
directly to the applicant . Every effort is made to hold the testing
period to 48 hours after receipt of the sample at the laboratory .
Any finanoially interested party may request a oore test by first

securing an application blank from the nearest testing center , or from
the Livestook Branch , U. S. Department of Agrioulture . Wool is tested
in the order requests are received and it must be made acoessible to the
sampling agents. Applicants may furnish the handling incidental to the
testing or they may pay for the cost of handling necessarily furnished
by the Department.
Charges are set to cover only the costs for the operation and are
as follows : For lots of 1 to 50 bags ( or bales ) - $ 35.00 ; 51 to 150 bags
$45.00 ; 151 to 200 - $50.00 ; 201 to 300 - $55 ; and $60 for lots of 300
bags or over .
Re - Tests May Be Granted
In oase an applicant for a core -sampling test is not satisfied with

the shrinkage determined , an appeal may be requested . In the event a
second testing is granted, the party who appeals is charged nothing if
the new findings do not fall within the limits of a narrow tolerance set
by the Administrator . If the first test is confirmed the applicant for
the appeal determination is charged additional costs equivalent to the
first fees . The seoond test is made by different personnel with equally
representative samples of the wool .
During the 1949 season fully equipped testing laboratories at

Denver , Colorado and Washington , D. C. , will be available for core test
ing on the fee basis . When the proposed commeroially - sized pilot plant
in Denver is completed additional facilities will be used for refining
and improving the core - testing techniques . When it is feasible the De
partment expe ots to inolude with the shrinkage analysis a complete
quality test . Growers and buyers alike would be benefitted if reliable
information on grade , staple , color , tensile strength , and scourability
were known for each lot of wool . This additional information would be
particularly useful in the handling of some special wools where quality
is best determined before the wool is sooured . Suoh da ta on all raw
wools would be helpful in determining whether or not it is feasible to
scour wool regionally before storage and handling costs have acoumulated
on the grease weights .
February 1949 17
LOW GRADE POTATOES
VALUABLE AS STOCK FEED
Wider utilization of cull potatoes through livestook feeding has

been studied and summarized in a publication called " Potatoes for Live
Stock Feed " , published earlier this winter by PMA under authority of the
Research and Marketing Act . The report was prepared from research com
pleted by State experiment stations , colleges of agrioulture , and others
familiar with the practice . Its purpose is to encourage a wider use of
potatoes as livestock feed
feed during periods when supplies exceed demand
for food use .
Every year a substantial quantity of the potato crop is found to be

unsuitable for human food or for seed . The quantity varies greatly from
place to place and from year to year , acoording to changes in weather ,
growing conditions , and production and handling practices . It is esti
mated from various trade reports and data available in the United States
Department of Agriculture that 10 to 20 percent of the national produo
tion each year , or , on an average , about 50 million bu shals should be
olassed as culls and unsuitable for human consumption . From the esti
mated utilization of the orop , it appears that approximately half of
this quantity is moved in to commercial channels . The remainder in cludes
shrinkage , waste , and the quantity fed to livestook or otherwise used on
the farm where grown .
Commercially Marketed Potatoes

Should Be Dressed Up
An effective merchandising program is necessary in order to prevent

a further deoline in national potato consumption . However , such a pro
gram has little likelihood of suocess unless better marketing practices
are adopted . The potato industry as a whole should benefit materially
by marketing only a product of superior uniform quality. Shippers of
table stock potatoes grade out all poor quality and small pota
should
toes . Shippers of seed potatoes should follow more careful selection
practices because seed quality is most important.
The demand for potatoes is highly inelastio . Historically , this
characteristio has given rise to the major economic problems of the po
tato indus try . Very little increase in the proportion marketed is asso
ciated with a disproportionate reduction in price . The returns to the
shipper from the sale of culls and pick-outs normally cover little more
than the cost of sacking and loading . If sales of oulls and pick - outs
cause a significant deoline in the price of the higher grades by in
creasing the total supply of potatoes in the terminal markets , the
transaction is highly uneconomical and unprofitable for the industry .
Alternative outlets , of which livestook feed is one , should be in
creased to absorb an important part
part of the low - grade and small sized
potatoes . If such potatoes could be disposed of locally for feed , the
marketing costs would be relatively small as compared with costs of
commercial sales for human consumption .
MARKETING BRIEFS :
January 6 that the Commodity Credit Corp

Cotton .--USDA announced
oration had sold up to that date a total of 21,686 bales of Upland cotton
from its stocks of 1947 - crop loan cotton . These stocks , totaling 28,000
bales of Upland and 30 bales of American Egyptian , were pooled for pro
ducers ' accounts on August l , 1948 , and offered for sale on December 1 ,
1948 .
Fats and Oils . --Supplemental fats , oils and oilseeds export alloca
tions totaling 109 million pounds ( oil equivalent ) , as of Jan. 14 , for
the January - March quarter of 1949 have been announced by USDA . The al
locations include 30 million pounds of lard , 9.3 million pounds of soy
bean oil , 2.2 million pounds of cottonseed oil , 57 million pounds ( oil
equivalent ) of soybeans ( 360 million pounds , soybeans weight ) , 5.5 mil
lion pounds ( oil equivalent ) of shelled peanuts ( 12.8 million pounds
peanuts weight ) , and 5.0 million pounds of unspecified edible fats and
oils .... USDA announced January 26 a supplemental export allocation of
40 million pounds of inedible tailow and grease to " Contingency " for
licensing by the Office of International Trade . Of the 40 million
pounds , 20 million pounds is to be licensed cnly as low grade inedible
tallow and grease . There is no restriction as to grade on the remaining
20 million pounds .
Fruits and Vegetables .-- The U. S. Department of Agriculture announced

January 24 that the rates of payment under the citrus fruit export pro
gram for products exported through ports other than those in the pro
ducing areas was reduced with certain exceptions from the 25 percent of
the f.a.s. price , as previously announced by the Department on November
19 , to 20 percento This reduction became effective on January 31 , 1949 .
The rate of 25 percent will still apply to California and Arizona prod
ucts exported from California ports , Texas products exported from Texas
ports , and Florida products exported from Florida ports . The 20 percent
rate will apply to all other ports .... The U. S. Department of Agri
culture has announced that the period for making sales for export under
the Dried Fruit Export Program has been extended for two calendar months .
Under this amendment , sales con traots can be made until 12 o'clock mid
night , e.s.t. , March 31 , 1949 . All other terms and conditions of the
program , originally announced by the Department on November 9 , 1948 , re
main unchanged .
Livestock .--USDA has announced that effective as of February 1

grading fees charged for the Federal meat grading service were increased
from $2.70 to $ 3.00 per hour to provide sufficient revenue to equal the
cost of the service . Statutes authorizing the meat grading service re
quire that fees charged for the grading of meats must provide sufficient
revenue to defray the costs of the programo The present increase was
made following a thorough analysis of the current cost of the voluntary
program and after the application of every feasible economy .
Poultry .-- A price support program for eggs , designed to reflect 90

percent of parity to producers on a national annual average basis for
February 1949 19
1949 as required by legislation was announoed in mid - January by the U.S.
Department of Agriculture. Again emphasis will be on purchase of dried
whole eggs from processors in the Midwest , the area of heaviest egg pro
duction in the United States . If dried egg purchases fail to lend ade
quate support to producer prices , the 1949 program provides in addition
( 1 ) for the purchase of frozen eggs in the Midwest , and ( 2 ) for the pur
chase of shell eggs in areas not served by driers or breakers if prices
in such areas do not retain their normal relationship to the national
average prices . The major program provisions follow the reoommendations
made by the Poultry Industry Advisory Committee and the State PMA Poultry
Advisory Committee at meetings held recently with Department officials
in Washington .... In response to inquiry by USDA , Canadian Government
officials have expressed the belief that no large - scale export of eggs
to the United States seems probable in the first 6 months of 1949 .
Canadian officials indicate that from February through May , all available
eggs above domestic requirement , will be required to meet the 1949
British contract for 19.5 million dozen storage eggs , 3,000 tons of dried
eggs and 4,000 tons of frozen eggs . Nearly all available Grade A large
and medium eggs for the next 4 months may be required to fill the storage
egg commitment. The 1949 contract announoed in December for the equiva
lent of 46 million dozens covers the il months , February 1 to December 31 .
Development by the Poultry Branch of USDA of standards , grades and

sanitary provisions for dressed and ready-to - cook poultry has been
authorized by Ralph S. Trigg , Administrator of PMA . The provisions and
standards will be issued this spring for voluntary use by the industry
as official U. S. Standards . Legislative authority for this action by
the Department of Agrioulture is contained in the Agrioultural Appropria
tions Act for the fiscal year 1949 . The Branoh has been authorized to
proceed on the basis of recommendations for such standards and grades
made by the Poultry Standards and Grades sub - oommittee of the Poultry
In du stry Advisory Committee , following a series of regional and national
industry conferences . The sub - committee proposals were approved by the
Poultry Industry Advisory Committee at a meeting held in Washington
early in December . The recommendations , as approved and amended by this
Committee , were presented recently to the Administrator of the PMA .
Sugar .--USDA has announced that minimum hourly wage rates to be

paid by California sugar beet producers who apply for payments under
the . Sugar Act of 1948 will be the same for the 1949 crop as for 1948 .
The rates will be 60 cents an hour for nonharvest work and 65 cents for
harvest work . In addition , the produoer is required to furnish to the
laborer , without charge , the customary perquisites such as a house , gar
den plot , and similar items , For piecework the rates will be those
agreed to by the producer and worker , but the average hourly earnings of
workers at these piecework rates must be not less than 60 cents an hour
for nonharvest work and 65 cents for, harvest work . Last year the Do
partment announced uniform specific piecework rates . Department offi
cials believe that the procedure for the 1949 orop will enable producers
and laborers to agree upon piecework rates which will more aocurately
reflect the wide differences in field conditions and production methods
than did the state -wide uniform piecework rates in effect last year .
ABOUT MARKETING
The following addresses , statements , and publioations , issued re

cently , may be obtained upon request . To order , check on this page the
publications desired , detach and mail to the Production and Marketing
Administration , U. S. Department of Agriculture , Washington 25 , D. C.
Agrioulture Looks Ahead , by. Charles F. Brannan , Seoretary of Agri

oulture at Denver , Colorado , January 12 , 1949 . 12 pp . (Processed )
Summary of remarks before the Annual Pennsylvania Produotion Goals

Meeting , by Albert J. Loveland, Under Seorotary , Department of Agri
culture , at Harrisburg , Pa . , January 10 , 1949 . 4 pp . ( Processed )
Nooessity is the Mother of Co-ops , by Albert J. Loveland , Under
Secretary of Agrioulture , at Memphis , Tenn . , January 5 , 1949 . 9 pp .(Pro
cessed )
The Price Support Pioture for 1949 , by Ralph S. Trigg , Administra
tor of PMA and President of CCC , at Harrisburg , Pa . , January 10 , 1949 .
( Summary of remarks ) 3 pp . (Prooessed )
Cotton Programs and Services , by Ralph S. Trigg , Administrator of

PMA and President of CCC , at Bennettsville , S. C. , January 17 , 1949 ,
6 PP . ( Processed )
by Ralph S. Trigg , Administrator of PMA and Presi
Enough to Eat?
dent of CCC , at Washington , D. C. , January 18 , 1949 . 6 PP • (Processed )
Measurement of Agrioultural Produotion : Soope of Published Statis
tios Concerning Agrioultural Produotion , by Charles F. Sarle and Thomas
C. M. Robinson ( Bureau of Agrioultural Economics ) at Cleveland , Ohio ,
De oember 29 , 1948 . 13 PP . ( Processed )
1
Publications :
The Columbia , South Carolina Produo e Markets . (PMA ) January 1949 .

120 PP ( Processed )
United Ste tes Standards for Grades of Frozen Pineapple. (PMA )

January 1949 . 11 pp . ( Processed )
Farm-to-Retail Margins for White Flour and White Bread . ( Bureau of
Agricultural Economios ) December 1948. 16 pp . (Processed )
School Lunoh Recipes Using Fish ( Bureau of Home Nutrition and Home
Economios and PMA ) PA -66 , January 1949 . 8 pp . ( Printed )
The Balanoe Sheet of Agrioulture : 1948 ( Bureau of Agricultural
Eoonomios ) MP -672 . 38 pp . (Printed )
February 1949 21
1
Model
MARCH 1949
MARKETING
ACTIVITIES
LI
DEPA O
F
Washington 23, D.C.
IN THIS IS SUE :
GOOD BUTTER TASTES GOOD

By B. J. Ommodt
... Page 3
The flavor rating is the most important consideration in grading

butter . m.r. Ommodt of PMA'S Dairy Branch is the national supervisor of
the dairy products grading and inspection service ,
TUNG : OLD CROP WITH NEW USES
By Donald Jackson and J. C. Eiland ... Page 7
Produced now in our southern tung belt , tung oil is still finding
now uses just as it was in Marco Polo's day. Mr. Jackson , principal
economist , and Mr. Eiland , both of the Fats and Oils Branch , are con
ducting marketing research on tung oil under the RMA program .
PMA WORK EXTENSIVE UNDER RMA
By John I. Thompson . Page 12
Here's a roundup of the broad research program as it is being con
ducted in the various PMA branches . Mr. Thompson is PMA's Assistant Ad
ministrator for Marketing .
FARMER AND PHARMACIST

By Donald J. Lehman Page 23
The 1940's have produced a fine crop of new drugs of farm origin .
Mr. Lehman of USDA'S Office of Information sketches the development of
some of the important drugs and mentions some others you'll be hearing
about .
PEANUT MIXEK PERFECTED Page 25
Mixing and sorting peanuts samples has always been time consuming
and subject to human error . This new gadget helps standardize peanut
grading .
MARKETING BRIEFS Page 27
ABOUT MARKETING ... Page 29

Production and Marketing Admin , permission .
U. S. Departeent of Agriculture
Washington 25 , D , C, Issued monthly . Vol . 12 , No. 3
Good Butter Tastes Good
By B. J. Ornodt
Butter grading -- the business of putting a quality label on butter-

is really an art . It's an art because it has not yet succumbed com
pletely to the age of gadgetry and science . It probably won't either ,
unless we start tasting and smelling our food with gimmicks rather than
with our senses . For that's the way a Federal butter grader tests but
ter --with his five physical senses of smell , taste , sight , touch and
hearing . Through them he evaluates the various faotors and arrives at
the final grade , according to a quality standard or measuring stick
known as the U.S. Grades , AA , A , B , C and CG ( cooking grade ) .
The butter grader in the act of grading is not concerned for the
moment with the chemical composition of the product as such , but with
the product as it is composed of a mixture of various compounds such as
butterfat , color , water , and with or without salt added . He is concerned
with the physical composition of the compounds , which when properly com
bined go to make up a very highly palatable , nutritious product which we
call butter .
Some of the determinations might be done by laboratory analysis,

but so far no one has been able to develop a test for butter that will
replace the human senses . The laboratory tests that come nearest are
long , tedious and costly operations .
For this reason the five must be relied on so heavily , and
senses
since the acceptability of the product is dependent upon its flavor and
appeal to the customer , the greatest emphasis is placed upon the flavor
and the odor .
Flavor Rating Most Important
U. S. butter grades are set up on the principle of identifying the

particular flavor present , and thus , by referring to the official chart ,
the flavor rating is automatically determined . The proper identifica
tion of the particular flavor and its intensity, based upon one's sense
of taste and smell , is the significant point of the whole process . It
is on this one factor that the grader must concentrate his greatest ef
forts if he is to evaluate to a high degree of correctness the particum
lar flavor or mixture of flavors present .
Visualize , if you will for a moment , the average creamery in which

the cream is mixed together in one vat for churning . Imagine the wide
variety of flavors that might be poured together during the period of
the day's receipts , each of which will contribute to some degree its in
fluence on the flavor of the finished product ,
It is because of this widespread practice of mixing cream of many
March 1949 3
different flavors together that the grader sometimes experiences diffi
culty in properly evaluating the flavors on a uniform basis . It is here
that the sense of smell comes into play and the keener it is , the better .
It is , perhaps , the keenest of all our senses , but in the majority of
cases it is the one which requires intensive training in order that it
may identify a barely discernible aroma . The nose can pick up a mere
trace of a substance or flavor which might otherwise be missed by the
taste . Actually a great deal of our tasting is done by smelling , since
many of our reactions called taste actually are determined from the
aroma or sensation received when the volatile flavors are forced into
the back of the mouth and into the nostrils .
The first act of a grader after pulling a sample plug on the butter
trier , should be to observe the aroma for the full length of the trier.
This must be emphasized , for it is often incompletely done through smell
ing only one position on the trier . The aroma must be observed intently
from the end nearest the handle , which is the top surface of the butter ,
to the far or bottom end . Any distraction at this point by other inter
fering odors in the room , or by noise or confusion , may be the cause of
the grader's missing some flavor which would affect the final grade ,
Distracting Odors Avoided
It is for this reason that many graders do not use shaving lotions ,
perfumed soap or hair tonic , and are disturbed by any helper or observer
vho does . Smoking in the grading room would completely hamstring a
grader's ability to identify a piece of butter . It is for this reason
the regulations insist that the grading room be free from distracting
odors , of a comfortable temperature , fully lighted , and free from traf
fic and other confusion . The conditions under which a grader works af
fect all senses , but not to the same extent as the sense of smell .
When the grader has sniffed the aroma of the plug of butter for the
full length of the trier and has observed his findings , he should have a
pretty definite opinion at that time of the quality of raw material that
went into the product . Remember that a small quantity of dark color will
affect the shade of the final blend much more than the same quantity of
a soft delicate color , just as the poorer flavors , which are the harsh
ones , will be more discernible than the finer , more delicate ones . This
is a fact creamerymen must keep in mind when considering any quantity
of a certain flavored cream intended for the vat . If the flavor noted
is not classified in the particular grade of butter he wishes to make ,
then he shouldn't use it . If he does , he can expect the grader to find
it in the finished producto The flavor of the cream put into the vat
should be consistant with the flavor chart for the particular grade of
butter desired .
The grader's next step will be to take a small quantity of the

butter off the trier on a small spatula , place it in his mouth , noting
the taste as he chews it and it melts down . It should be observed in
relation to the aroma -- the two should correspond. The taste is a means
of checking his opinion based upon the aroma . If the two agree , he has
most likely properly catalogued the butter as to its character . He has
by this time decided whether the butter was made from fine , high quality
raw material with all the characteristics of AA grade , or whether it
possesses flavor traits of one of the lower grades on the basis of the
U.S. Grade chart . At this point he has used two of the five senses , that
of smell and taste , in determining the most important phase of the grade
--the flavor rating .
The sense of touch is brought into use when the trier is first in
serted into the butter . Of course , the butter must be of satisfactory
temperature for grading , but the grader can determine something as to
the body of the butter by the way the trier feels as it is pressed into
the mass . He gets impressions as to the firmess of the body, and
whether or not it is sticky or weak , The sense of touch is again used
when melting the sample down in the mouth . The butter may feel smooth ,
presence of
The presence
firm and waxy , or weak and mealy . The gritty salt would be
of gritty
evident at that time .
The sense of sight is brought into use as the butter color is first
observed , whether light or dark , bright or dull , uniform or mottled . The
presence and size of the water droplets should be apparent , just as the
grain of the butter granules will be evidenced by a bright or dull ap
pearance .
Perhaps you've been wondering how the sense of hearing may be used .
Well, actually it's not often that we can use the sense of hearing , but
when a plug of butter which is quite leaky is replaced in the hole , the
free water might give a swishing sound which would be the final evidence
that the butter should be cut a full point in body for leakiness .
Grade Based on Flavor Rating and Defects
The cuts for body , color and salt defects are determined by their
intensity , and the final grade is given to the churning upon the basis
of the flavor rating and the defects for body , color and salt . On all
grades of U.S. Grade B or higher , defeots in excess of a total of one
half point will lower the final grade to the next lower applicable grade
from that of the flavor rating , according the chart set up in our
standards .
Now a grader can make all these observations in less time then it
takes to tell about them , for one can go through the routine rapidly
under satisfactory working conditions . The degree of accuracy will de
pend upon the natural ability
, qualifications , and training of the
grader , the conditions under which the butter is examined , and finally ,
the skill and care with which the butter was made .
This last point is important and bears repeating . Though there is

a high degree of efficiency among trained and qualified graders, the end
result will be improved if the raw material is segregated at the cream
ery in accordance with the U.S. grade desired in the finished product .
March 1949
5
This is assuming that the processing operation , including
of course ,
standardizing of acidity, pasteurizing of the cream or working of the
butter has not been carelessly done .
Graders know that in the blending of a wide variety of flavors the

poorest flavor will the grade . It is to the benefit of the
establish
buttermaker to keep this in mind . For example , the detection of stale
cream in a piece of butter , even though present in only a small amount ,
will lower the grade to " C " , when otherwise the predominating flavor
might have been that of old cream and then given the grade of " B " . Also ,
a musty flavor found in otherwise " A " quality cream will cause the butter
to be placed in " B " or " C " grade . No longer can cream grading be oon
sidered merely a segregation on the basis of sweet and sour . It must be
divided according to flavor , regardless of the acidity.
Keeping Qualities Affected by Salt and Water
Butter graders are careful to notice the nature and amount of water
and salt in the finished product , not merely because of texture and fla
vor or losses through actual leakiness , but because it directly affects
the keeping quality of the finished product . All graders and creamery
men are familiar with the keeping quality of salted butter as compared
with unsalted butter . It is known too that bacteria must have food and
moisture on which to grow and propagate . If the water droplets are
small and finely dispersed , the amount of food and the area for the bac
teria to grow in will be definitely limited . Also , with thorough work
ing , the salt will be more evenly distributed and each fine droplet of
water will contain salt which may be in sufficient concentration to in
hibit bacterial growth . In this case the actual number of bacteria
present for each individual droplet will be reduced , and in some cases
the small droplets may be actually sterile . On the oth er hantha the
d ifmor
water is present in large droplets , there is greater
cha nce t e
of them will contain sufficient innooulation of bao teria to sta rt deo om
position , and there may well be sufficient curd or food and moisture
present for unlimited growth . Uneven distribution of salt and water may
explain in part how the keeping quality or even the grade may be altered
on two churnings made from split vats of the same cream .
Federal graders and distributors of butter realize that the con
sumer expects but ter of high quality --which stays that way until all of
it is consumed . And they know too that this is the only produot which
will build sales for a creamery . Certain local , State , and Federal laws
pertaining to control of sanitation and composition of the products must
be recognized. And it is not enough to have a quality product today
which next week may deteriorate to the dissatisfaction of the consumer .
Obviously , what is needed is step by step control based on rather def
inite requirements at every stage of the butter -manufacturing process ,
coupled with the Federal butter grader's impartial evaluation of quality
factors in terms of U. S. Grades . Such controls and impartial evalua
tion of quality would go far toward supplying the consuming public with
an even more satisfying product .
Tung: Old Crop With New Uses
By Donald Jackson and J. C. Eiland
Tung oil-- something of a mystery product since Marco Polo first

carried word of it from Kublai Khan's dynasty to Venice in the 13th
century -- is not the complete stranger you may think it is . It is a com
ponent of the oilcloth on your pantry shelves and a water - proofer of the
raincoat you wear on a wet morning .
Whatever the ancients may have thought about tung oil and its un
usual qualities , it is nothing more nor less than a first rate commer
cial oil whose importance in our economy is determined by its chemical
properties and our skill in putting it to work ,
Tung has been called the world's fastest drying and most durable
natural oil --two designations that earmark it for many specific uses .
Most widely it is utilized as a drying agent in paints and varnishes ,
though its durability , special insulation and waterproofing qualities
serve to greatly broaden its utility.
Actually , its list of uses is as varied as it is , long . Gaskets ,
brake linings , printing and lithographing inks , caulking materials , in
sulations for electrical appliances , water - proofing preparations for
munitions and shell cases , and acid -resisting coatings for food containers
all utilize tung in varying amounts .
Tung First Imported in 1869
Tung has been used for centuries by the Chinese as a multi - purpose
oil--as a base for their famed ceramic lacquers , as a caulking agent for
water proofing their junks , and in China's interior , as a rather smoky
illuminant . uses are the tip-off to our first and still
The first two
most important commercial utilization , for since the tum of the century
V tung oil has been imported from China as a significant raw material for
our paint and related
drying industries . According to the available
records the first imports of tung to the U.S. were made in 1869 , but it
was not until after 1900 that tung shipments expanded into one of China's
most valuable exports .
Even as the volume of China's exports grew however , tung's versatile

nature earned it such an increased rate of consumption in the United
States that the supply was often inadequate . Moreover , as China's re
curring internal conflicts served to complicate trade activities it was
no surprise that new sources of tung oil should be sought .
Although China had constantly maintained a strict monopoly on tung
production , in 1906 a handful of kernels were brought to California where
scientists
plant soon produced a few seedlings . In the meantime it was
determined that an area in northern Florida most closely resembled tung's
native China in climate and soil conditions, so it was there that the
seedlings were
transplanted and the first bushel of American tung nuts
produced in 1911. In 1947 , more than 53,000 tons of tung nuts were pro
March 1949
7
duced by the 14,000,000 turig trees growing in the tung belt --a 50 to 100
mile strip of land skirting the Gulf coast and crossing 6 States . Mis
sissippi now leads in tung production with Louisiana , Florida , Alabama ,
Georgia and Texas following in the order of 1948 production .
Domestig production of tung nuts and oil , imports of oil and factory
consumptim , 1939 through 1948 (preliminary) are as follows :
22
Year : Tung nuts 8 Domestic oil : Imports : Total
Consumption
tons 1000 lbs . 1000 lbs . 1000 lbs .
1939 8 1,160 3,000 : 78,718 : 90,720
1940 11,000 62 : 97,049 59,057
1941 8 8,750 3,533 : 43,800 54,008
1942 . 16,350 8 2,290 8 8,269 11,830
1943 ៖ 6,200 : 5,310 : 68 12,047
1944 26,680 2,258 1,771 8 10,109
1945 37,080 : 10,353 339 21,569
1946 : 57,400 : 11,046 : 36,207 28,962
1947 : 53,200 : 12,680 : 121,564 88,359
1948 8 67,200 : 16,749 : 133.214 8 119,275
1 The use of tung oil was restricted to essential uses during the war
years, 2 / Tung nuts are by crop years ; other data are by calendar years .
Judging from the highly specialized nature of tung oil you might
expect tung trees to demand unusual and exacting care . But while tung
is highly sensitive to certain weather and soil conditions it is not a
prima donna . In China it thrives as a hardy hillside native and is
rarely cultivated . In this country , however , it has been found that in
tensified cultivation is essential to maximim yields of top quality nuts .
Tung thrives best in regions where a long warm growing season is
ended by a few weeks of winter weather cold enough to denude the trees
of their heart shaped leaves and prompt & brief rest or dormant period.
It has been found that part of the waste and cut - over timberland areas
of the south can be profitably utilized in production of tung .
Rolling or hilly terrain is ideal where tung groves may be planted
on the slopes for purposes of frost and drainage control . A loose ,
gravely , slightly acid soil with a moisture -holding subsurface layer is
ideal .
Trung , meaning " heart " in Chinese , and so named because of the leaf
shape , is generally transplanted during the dormant season as seedlings
spaced 20 feet apart in rows . The trees may grow to heights of 30 to 50
feet and they usually produce nuts after the third year , with maximum
production coming after the 7th or 8th season . The nuts are quince
shaped , with three to five and even seven kernels spaced evenly within
the hard segmented outer shell . The kernel makes up approximately a third
of the weight of the entire fruit , though this proportion will vary with
different growing conditions and soil fertility . In the studies made
thus far applications of commercial fertilizer have generally increased
the net yield of oil , In groves of mature trees where good natural con
ditions are aided by cover cropping and several months of cultivation to
control weeds , fruit yields of 1 to 2 tons per acre are not uncommon ,
Ripe tung muts are usually Fully developed tung nuts
suspended from the dormant trees of the ' multiple cluster " variety .
for several weeks of further dry The fruit , about the size of a
ing . Cover crops planted between russet apple , changes from an ol
the rows provide humus and con ive green to a dark brown before
trol weeds and soil erosion. it falls to the ground in Ootober .
OC NI
The triangular kernols This special type drying barn

make up about one - third of the has in some areas replaced the dry
weight of the entire fruit and ing of the bagged fruit in trees . А
are by far the most valuable fine wire mesh permits free circula
component . The kernels must tion of air under the broad protect
be dried before pressing . ing roof .
March 1949 9
though this cannot be considered an average yield . This yield is con
siderably greater than that normally harvested when the crop was first
introduced , and this fact substantiates the belief that tung responds
well to cultural practices .
The tung fruit ripens in September and October and falls to the
ground where it is allowed to dry for several weeks . The harvest usually
consumes an equivalent period , depending on the weather and the availa
bility of hand labor . Generally the nuts are picked from the ground on
a pay - by - the -unit basis with the rate varying considerably according to
the yield per acre .
Because green nuts cennot be stored even at the mills , the bagged
fruit is customarily dried further by suspending it in the crotches of
the trees , though some producers instead place the nuts in corn orib
style drying bins until they are delivered to the mills .
Oil Content Importent Factor
The marketing of the tung fruit is begun as soon as the nuts have
reached a moisture content acceptable to the millers , Most of the nuts
are brought in to the mill by the grower and sold on an oil content
basis , determination being made by laboratory methods . The system most
widely used is known as the "component part " method which is simply a
means of fixing the oil content in terms of percent of the whole fruit .
Oil content of moisture free kernels varies from 63 to 68 percent , de
pending somewhat on growing conditions and the location of the orohard ,
Roughly the three whole fruit components are as follows : black
hull , 50 peruent ; shell surrounding the kernel , 18 percent ; and
outer hull
kernel , 32 percent. The price paid for the nuts may vary several dollars
per ton and is based on the oil content, a factor directly affected by
the peroentage of moisture in the kernel .
Some of the larger growers no longer sell their whole harvest out
right but instead have the oil extracted by the mills on a custom basis
after which the oil is sold . The mills do this on a cash , ton basis
providing necessary storage facilities for the nuts and the oil .
In 1948 there were 12 tung mills in operation in the five leading

tung producing States , All these mills use the expeller type presses
for extracting the oil from the whole nuts , although experimental work
continues in developing a favorable solvent extraction unit . At least
one mill now uses solvent to take oil from the filter press
extraction
cake and other residue commonly called " foots" . The principal advantage
to be derived from solvent extraction appears to be the increase in oil
removed which would normally be lost in pressing operations . Laboratory
experiments have shown this to be as high as 56,8 pounds of oil per ton
of whole air dried fruit .
In present day methods of expeller extraction it is important that

the moisture content be about 15 percent in the whole fruit to give the
best results , for experiments have shown that this condition offers the
best extraction efficiency. Whole fruit this dry will produce a meal of
about 5 percent moisture content , the most desirable proportion for ease
of operation and oil outturn .
The first step in processing is to remove the outer hulls and most
of the inner , pithy shell . Some of this inner covering is left because
it appears to give better friction and thus more efficient processing .
If the kernels are still too damp further drying is necessary . The ker
nels are then ground in an " attrition " or friction type mill and " tem
pered " or heated to condition the meal for the expeller.
Under intense pressure the oil is extracted and filtered to remove
the " foots " , and then stored in large tanks adjacent to the mills . Of
the three products : the oil , the press cake and the hulls , the first is
by far the most important. The meal is now used for fertilizer only be
cause feasible methods of detoxifying the meal have not been developed
for commeroial use . If experimentation along this line brings satis
factory results the high protein press cake will take its place in the
feed class with soybean , cotton seed , and linseed meals , and thus its
value will be greatly increased .
In regards to pounds used , tung oil stands third in our drying oil
industry . Tung oil's unique value is based largely on its ability to
absorb oxygen quiokly -- the chemical feature responsible for its rapid
drying qualities cominonly indicated by its high iodine number . Moreover ,
it absorbs moisture even more readily than this number indicates because
of the unique structure of the molecule . Tung oil in the pure state is
nearly clear , with a faint amber tinge , and a slight , characteristio odor .
Paint and Varnish Most Important Use
“ The three industries leading in tung consumption , in order of amounts
used , are the paint and varnish , the oiloloth and linoleum , and the print
ing ink industries , Paint and varnish con sumes more than 80 percent of
the total . Utilization as a waterproofing agent and brakelining forti
fier are important but small with regard to amounts consumed .
The market for tung in the United States is located principally in

the Northeast and Middle West , where the paint and varnish industry is
centralized . Even though some synthetic substitutes have been developed ,
the long -time outlook is favorable -- providing production , processing , and
marketing costs are kept in line with corresponding costs of competing
oils . Some of the substitutes such as alkyd resins themselves utilize
tung oil in their preparation . Furthermore , it is likely that as new
synthetics displace tung in old uses the displacement will be offset by
new and different utilization.
from a low of 6 cents

The average price of tung oil has fluctuated
to a high of 40 cents per pound during recent years . The high point was
reached during the war when only minor amounts were imported . The Com
modity Credit Corporation
Corporation supported the price of tung oil in 1947 by
agreeing to pay contracting processors 25 cents per pound for tung oil ,
f.0.bo mill , provided the processor paid not less than $ 72 per ton , basis
20 percent oil content . No price support program is in effect for the
1948 crop .
March 1949 11
RMA Work Extensive Under PMA
By John 1. Thompson
The Production and Marketing Administration is taking an active

part in the work in progress under the Research and Marketing Act of
1946. PMA's part deals mainly with the marketing aspects of the research
and service work provided for in the act . The following is a summary of
such activity in each of the PMA branches doing work wider the RMA .
MARKETING RESEARCH BRANCH
Under three broad - scale Research and Marketing Act projeots , the
Marketing Research Branch of PMA is cooperating with State departments
of agriculture and bureaus of markets in carrying on some 60 lines of
work . The aims are to expand market outlets and the consumption of farm
products , and to increase the operating
operating efficiency of markets and mar
keting channels and agencies .
This is a many - sided job . Local market agencies are given help in
estimating the quantity and quality of various farm products that will
soon be coming to market , and in finding outlets for them . Help is given
in improving the preparation of crops for market . With the cooperation
of Extension Service , information is given on the degree of maturity at
which various fruits should be picked , to assure their arrival at market
in satisfaotory condition . Cotton ginners are assisted in improving
their operations . More accurate seed sampling and testing is developed .
Useful outlets are sought for local surpluses of sweetpotatoes , white
potatoes and other crops . In one Stato a survey has been made of the
acreage of fruits and nuts by counties , by age of trees , and by varie
ties .
North Carolina Work Typioal

Some of the marketing service work done in North Carolina is broadly
typical of such work in other States . In North Carolina the large sweet
potato orop presented a difficult marketing problem. With the aid of a
State specialist , an auction for sweetpotatoes was organized at Tabor
City . More than 300,000 bushels were sold there , the growers for the
first time receiving the benefit of price premiums for quality . Growers
were helped to pack their product so as to meet standard grades . Demand
for the crop was generally improved by better preparation of the sweet
potatoes for market and by diversion of the low-grade stock to nonfood
Uses . About 500 tons of dehydrated sweetpotatoes were produced from in
ferior stock for use as livestock feed , and a State marketing man helped
to find outlets for this product .
In addition to working with State Departments the branch is con
ducting research along several lines . Preliminary experimental work has
12 Llarketing Activities
been started at Baltimore on a study of the feasibility of establishing
a retail market news service for the food trades . If setting up such a
service at reasonable cost seems feasible , daily reports on retail prices
will be issued as well as weekly reports on volume of sales and retail
inventories . The project has three aims : To facilitate more orderly
marketing by keeping the trade informed when stocks of a food begin to
pile up in retail or wholesale channels or when the supply shows signs of
falling below demand ; to provide a sort of buying guide for consumers ;
and to provide a better base for integrating the farmer's price with the
price paid by the consumer .
Another line of work deals with improvements in the wholesale mar

ket news services . Objectives are uniformity in terms used to desoribe
market conditions , improved presentation of the news , greater acouracy
of quotations , and wider distribution .
Standards Are Studied
Another study in this branch looks to improving the over -all ade
quacy and effeotiveness of the Department's grades and standards program
for farm products . Aims are to determine the feasibility of establishing
greater uniformity among commodities in specifications , number of grades ,
and grade terminology ; to develop uniform policies among commodities in
the general administration of grades and standards regulations ; and to
obtain more uniform interpretation and use of grades and standards by
State , municipal and commercial groups .
Studies of prepackaging perishable foods to learn the relative costs

and salability of pre packaged products in comparison with bulk products
in several regions are nearing completion in connection with the merchan
dising of Florida sweet oom , cauliflower , and broccoli . Sales of pre
packaged Florida kale and spinach in Baltimore also have been studied .
This is only one part of 4 study to determine how feasible , profitable ,
and effective on demand is the prepackaging of numerous perishable foods ,
inoluding fruits , vegetables , meats , and other commodities ,
Two other lines of work are designed to improve efficiency and re
duoe oosts in retailing and wholesaling , and to develop
improved mer
chandising practices for agricultural products . These
will include
studies of how , when , and where consumers prefer to buy ; evaluations of
the effeo tiveness of various kinds of store equipment for displays and
of devices for automatic selling ; studies of additional lines of goods
that might profitably be added in supermarkets , and of the size limit at
which expansion of a supermarket becomes unprofitable ; experiments with
new types of " convenience stores " serving the consumer in his own local-
ity , and the place of the small store in the future grocery marketing
system .
A study of the selling of textiles as an added item in a food store

chain is being carried out with the cooperation of a supermarket chain
in Houston , Tex . The purpose of the tests is to determine consumer ac
ceptance and sales costs of apparel and other textile items sold in food
stores . Similar sales methods for textiles are being studied in other
March 1949 13
stores in several cities , so that comparisons may be made . Prepackaging
and self - service are factors in the study .
Another projeot deals with the adaptation of modern industrial

management practices to the improvement of efficienoy of agricultural
marketing agencies , partioularly in processising. One of the management
tools most widely and suocessfully applied in industry is work simplifi
cation ana time and motion study , designed to increase labor efficienoy .
Ways of applying these methods in reducing operation costs of agri
cultural narketing units are being studied under this project .
Studies of the economic efficienoy of new refrigeration methods for
railway cars are being made by the branoh . Particular attention is being
given to ne chanical refrigeration and heating in comparison with present
icing and heating methods .
MARKETING FACILITIES BRANCH
The Marketing Facilities Branch has studied , under the RMA , numerous
city wholesale , retail , and farmers ' markets , made recommendations for
their improvement , and assisted in having the improvements put into
effeot .
The branch developed plans for laying out efficient city markets ,
construoting buildings for proper handling of fruits , vegetables , poul
try , and other produce , and providing for transportation . It has com
pleted , or has in progress , surveys in 27 cities as a basis for esti
mating the probable land , building , and equipment needs for improving
the markets .
Results of this work are appearing in actual improvements in the

marketing facilities of several of the oities surveyed . The branch
serves only in an advisory capacity and provides no funds for market
construction .
In the city market studies , methods used to handle perishables are

analyzed to learn the need for improvements . The kind , size , and amount
of facilities that would handle the commodities most efficiently are de
termined . The final report desoribes the facilities needed , the best
location for the proposed new market ( when one is warranted ) , and the
cost and methods of finanoing and administering it . Advisory aid is
given in arranging for the actual building or improving of qualities in
acoordance with the Branoh's recommendation .
Also in progress is a study of the efficienoy of methods and equip

ment for handling produce at markets , in loading and unloading , during
storage in warehouses , and in other physical operations .
In another study an attempt is being made to find out the kinds of
information needed by the frozen food trade -- such for example as data on
stocks in storage by commodities and container sizes .
Transportation rates on fish and fish products also are under exam
ination . In part , the aim is to eliminate any inequities that may be
found between those rates and the rates for other commodities . Branoh
representatives appear before rate regulating bodies in the interest of
the industry when rate revisions are being considered .
Other work is expeoted to bring about improved utilization of trans:

portation equipment . Studies of the movement of thousands of freight
cars have been made and the data are being analyzed to determine gausos
of delays and to develop methods of handling cars so as to reduce the
idle time spent at loading points and terminals .
COTTON BRANCH
Research on improved equipment and on improved methods of prooess

ing mechanica
ing and storing lly
mechanically harvested seed cotton is being carried on
at the USDA laboratory at Stoneville , Miss . Objectives are to find the
ways of putting seed cotton into the best condition for ginning in order
to improve the quality and raise the market value of the lint and seed ,
and to make more effeotive use of present ginning equipment .
Improvement in marketing the various kinds of cotton , to faoilitate
proourement and use of the type best fitted to each partioular manufao
tured produot , is the objective of another line of researoh . Studies
are being made of the types and quantities of cotton now used in se
lected specific products .
The Cotton Branch , cooperating with other USDA and State agencies ,
is studying the marketing of one -variety community cotton . Physioal
charaoteristios and capabilities of the ootton , its movement through
trade channels , mill requirements for the different varieties , and mar
keting cost factors are being surveyed .
Experiments are in progress to develop a rapid and simple method of
measuring the oil content and the quality of cottonseed ,
DAIRY BRANCH
A study of the changes in recent years in market outlets for milk

and oream is being made by the Dairy Branch to determine possible methods
of maintaining and expanding these outlets .
In a survey of the pricing of surplus milk in the Chicago area ,
prices paid at plants under Federal regulation are being compared with
prices at plants not so regulated .
A report is being written on findings in a study of the sources and

movement of milk in the Philadelphia marketing area ,
A long -range study of the yield of various dairy products from a
unit quantity of milk is under way in cooperation with USDA's Bureau of
maroh 1949 15
Dairy Industry . The purpose is to learn how mich of such products as
market milk , cream , cultured buttermilk , cheese , ice cream , and casein
is produced from a certain volume of milk .
The effects of basing the prices paid for milk and dairy products
on price quotations for butter and cheese at central markets is being
studied in cooperation with the Farm Credit Administration .
FATS AND OILS BRANCH
A study of cottonseed processing methods , one of several lines of

work in the Fats and Oils Branch , seeks to answer these questions : Το
what extent may the solvent extraction process be adapted to the cotton
seed crushing industry ? What effeots could this change have on the en
tire cottonseed industry ? PMA conducts this work in cooperation with
the Bureau of Agricultural Economics and the Farm Credit Administration .
Economic factors in the various practices and techniques now in use

in processing and marketing oilseeds are being studied , to find out which
of them are the most efficient and economical . So far , cottonseed has
been the only commodity studied, but the branch is now beginning a simi
lar study of tung nuts .
Also in progress is a study of the factors involved in the storage

of oilseeds and of the adequacy of storage facilities .
Factors affecting the outturn and quality of oilseed products are
being studied in a long - range projeot . Influences of variety , of loca
tion ( where the crop is grown ), of time of processing , and of other fac
tors on the quantity and quality of the oil and other component materials
produced are to be determined .
Work on developing new and expanded markets for oilseeds and their
products is in its preliminary stages . The Bureau of Agricultural Eco
nomics is cooperating .
FRUIT AND VEGETABLE BRANCH
An outstanding marketing problem in recent years has been to find

uses for large potato crops . Two reports have been issued by the Fruit
and Vegetable Branch as a result of studies of the problem under RMA .
The feeding of cull and low- grade potatoes to beef
cattle , dairy
cows , hogs , sheep , and other animals has been shown to be feasible when
expensive transportation is not involved . Numerous tests have shown that
the feeding value of raw potatoes is about equal to that of corn silage ,
and that potatoes can be substituted for a part of the grain ration with
advantage to growers of both potatoes and livestock .
Another part of the study was a survey of the potato -marketing prob
lem in the producing areas of west Texas , where local surpluses have
been large .
The branch is assisting
the Bureau of Plant Industry , Soils , and
Agrioultural Engineering, and certain State experiment stations , in a
study of methods of harvesting , handling , storing , washing , grading ,
loading , and shipping potatoes in major producing areas ,
A study is being made of marketing problems in the Tennessee -North

Carolina -Virginia snap-bean produoing area . The resulting report will
contain recommendations for broadening outlets for the crop . The sweet
potato indu stry of the Maryland -Virginia Eastern Shore area is being
studied in an attempt to relieve marketing difficulties in another area
where price - support buying by the Government has been necessary .
In another study , retailers are instructed in the proper care , han

dling , trimming, display , and merchandising of fresh fruits and vegeta
bles . The aim is to reduce losses through spoilage and to offer better
quality products to consumers . Operating under a contract with the
branch , the United Fresh Fruit and vegetable Association has conducted
approximately a thousand training courses in more than 50 cities , in
struoting more than 8,500 retailers and employees .
Grade and Standards Established
The development of new and revised standards for grades for proc
essed fruits and vegetables is a continuing RMA study . New or revised
standards have been issued and have become effective for frozen straw
berries , raspberries, grapefruit , pineapple , spinach , and canned green
and wax beans, canned beets , canned dried beans , fruit jelly , olive oil ,
and ou cumber piokles . Tentative new or revised standards have been
drawn up for oanned items such as grapefruit juice , orange juice , blend
ed grapefruit and orange juice , tangerine juice , white potatoes , black
eyed peas , and for fruit jams . . Standards for dried fruits are being re
vised , and work is in progress on standards for several additional com
modities .
Research upon the drained weights of frozen asparagus and peas and
the fill of containers of frozen peaches , strawberries, and raspberries
was conducted under contract by the National Assooiation of Frozen Food
Packers . The findings are being studied in connection with revisions of
standards for these commodities .
Work is now under way upon the development of standards for grades
of fresh fruits and vegetables and edible tree nuts . Under this work ,
emphasis is being given to the development of standards for products for
which no standards now exist , the development of new types of standards ,
such as consumer grades for prepackaged products , and the development of
objective methods of measuring physioal characteristios as a part of the
inspection for grade .
Revision of the standards for farmers ' stock peanuts , cleaned pea
nuts , and shelled peanuts is progressing , along with research on im
proved inspection methods for determining the quality of peanuts .

An improved mixer and divider for use in grading peanuts has been
March 1949 17
developed . Certain devices for determining the moisture content of pea
nuts have been tested for acouraoy and uniformity .
Shipping Containers Compared
Information on the many types and sizes of shipping containers used

for fresh fruits and vegetables is being gathered and will be summarized
and made available to the industry , to container manufacturers and others
interested . Economio studies also are to be made of comparative costs
and returns from the use of varying types of shipping containers .
An appraisal of the marketing of " conditioned " winter pears is being

made under another RMA study . These pears , from the west coast , are
pioked before they are fully ripe and are held in cold storage until
la te fall or winter . When they have been kept about a week at proper
temperature and humidity , they ripen into a delicious fruit . Until
comparatively recently, winter pears have been sold without adequate at
tention to ripening or " conditioning . " Purpose of the study is to dis
oover the relative effeotiveness , feasibility , and returns by evaluating
the marketing of " conditioned " winter pears by different methods .
Commodity Range Is Extensive
A general study of the marketing of fresh , canned , and dried fruits ,
as well as edible tree nuts , has been started . Factors that affeot pur
chases of fruits , fruit produots , and edible tree nuts by consumers and
industrial users , such as bakers , and the development of better paokage
ing , pricing , and merchandising praotices will be studied . Information
also will be obtained on retailing of fruits and fruit produots .
Preliminary work has been done on a study designed to learn the re
lation of the quality of raw fruits and vegetables to the quality and
outtum of processed products .
In cooperation with the Bureau of Agricultural Economios , the Bureau

of Human Nutrition and Home Economios , and experiment stations in the
North Central States , the branch is taking part in a study of quality
price relationships of potatoes in the North Central region .
The branoh is assisting the experiment stations in certain Western
States , the Bureau of Agrioultural Economics , and the Bureau of Plant
Industry , Soils , and Agricultural Engineering , in a cooperative study of
new methods of grading, packaging , and shipping potatoes and of consumer
acceptance of the product so offered .
In another study of potato marketing in cooperation with State ex

periment stations , the Bureau of Agrioultural Economios , and the Bureau
of Plant Industry, Soils , and Agrioultural Engineering, the branch as
sisted in obtaining data -- in New York , Philadelphia , and Boston -- on the
quality of potatoes in retail stores .
A broad cooperative study of methods of marketing vegetables and
their produots in the Northeast is being conduoted by state experiment
stations, the Bureau of Agrioultural Economics , the Bureau of Plant In
dustry, Soils , and Agricultural Engineering , and the Fruit and vegetable
Branoh . The branch is assisting in the development of objective methods
for measuring quality in vegetables .
Experiment stations in Florida and Texas , the Bureau of Agrioul tural

Economics , the Farm Credit Administration , and the branch are cooperating
in a study of oosts and margins of handling fresh and processed oitrus
fruits at the different levels of distribution .
The branch is assisting experiment stations in the Western States ,

the Bureau of Agricultural Economios , and the Farm Credit Administration ,
in a study of practices and oonsumer preferences in the marketing of
peaches .
GRAIN BRAN CH
Progress has been made on a project whose object is to determine ,

through fut aoidity tests , the quality of grains , partioularly wheat .
Production of alcohol from grain on a commeroial soale by a new
mold process is under way , through contract with the lessee of a Govern
ment conventional malt process was developed on a pilot scale by the
Bureau of Agrioultural and Industrial Chemistry , Agrioultural Research
Administration .
À progress report has been issued on the first part of a study to

determine methods of maintaining the identify of improved varieties of
grass and legume seeds in trade channels . Thus far , the study has dis
closed details of handling some of these seeds and has indicated the
points at which seed identity may be lost or at which mixing of differ
ent lots of seed may obscure the character of the seed when sold .
Seed Analysis Aims at Uniformity

Work on developing more uniformity among the States in sampling
and testing seeds is in its early stages . State agencies are cooperating
to attain uniformity in sampling and testing techniques and to interpret
the factors observed .
As part of an effort to develop a simple , rapid method of deterud

ing the oontent and quality of oil in oilseeds , the branch is seeking
such a process for uso with soybeans and flaxseed . If a method and
apparatus are developed , their use later may be included as factors in
making up the standards for oilseeds .
Preliminary findings in a study of the causes and possible methods

of retarding the staling and flavor deterioration of bread include reo
ords of the rapidity , with which the product grows stale under varying
temperatures , humidity , and other conditions as it is handled between
the baker and the retail store ,
March 1949 19
Bread -baking qualities of wheat are being studied under contract
with private laboratories . Chemical tests are being made to develop a
fast and simple way to measure differences in baking qualities of wheats
of different varieties , and differences caused by weather variations .
In cooperation with the Bureau of Dairy Industry, a study of the
correlation of hay grades with the actual feeding value of the hay is
under way .
Improved methods and equipment for drying and storing grain , seeds ,
and feed are being studied in cooperation with other USDA agenoies . Thus
far , most of the work has been done to improve the drying of oorn .
The effoot of various price levels on demand for major grains for
various uses is being studied with the Bureau of Agricultural Economios .
That agenoy is studying factors that affeot prices and the effeots of
prices and other factors on the produotion and marketing of food and
feed grains . On the basis of those findings and other information , the
Grain Branch will attempt to develop ways to expand the use of grains
for food and feed and in industry , when expansion seems advisable .
Practioes of the trade in packaging dry
dry beans , peas , and rice are
being surveyed by the branch . The aim is to learn which methods and
equipment for paokaging are most efficient and which sizes of paokages
are most suitable , considering economy , salability , and prevention of
deterioration of the produot .
Development of equipment to determine the quantity and quality of

milled rice obtainable from rough rice is the object of a study handlod
under contract with a private agency . After a survey of the equipment
in use in mills , new apparatus was developed and is being tested .
LIVESTOCK BRANCH
Six major stookyards have been studied under a plan to improve mar
keting servioes , faoilities , and methods at public stockyards .
applioation of grades for live animals is the aim of
Improved application
another study . The specific aim is to bring about a better correlation
between the grading of live animals and the grading of the carcasses of
the same animals after slaughter .
Photographio illustrations of factors that determine the grade of

meats have been prepared in another study , designed to improve the grad
ing of both livestook and meats . The pictures illustrate the oonforma
tion , marbling , color , and other factors that indicate the grades in
outs of beef . Use of sets of pictures is expected to enable most graders
to do their work more accurately . Photographs illustrating the grades
for live animals will be made for similar use .
Development of an improved type of soale for weighing livestook at

markets is progressing . The objective is a scale that will automatical
ly print the weight of the animals and eliminate the human factors in
volved in the use of hand- operated scales .
The Livestock Branch is cooperating with the Bureau of Agricultural

Economics in a study of probable U. S. wool requirements and of the most
feasible sources of supply in future years . Improvement in the packag
ing of wool through skirting and sorting at ranches , concentration
points , and warehouses is being sought to enable domestic wools to com
pete on a more favorable basis with foreign wools . Another line of work
is the development of improved standards for wool and mohair .
Weekly reports are being made on livestock slaughter and meat pro
duction under Federal inspection , and in the same project , monthly esti
mates are made of total commercial slaughters on a state -by - state basis .
POULTRY BRANCH
Extensive studies on deterioration and losses of eggs in marketing

channels have been made by the Poultry Branch , in oooperation with the
Bureau of Agricultural Economics , the Farm Credit Administration , and 13
midwestern State agricultural experiment stations . Additional studies
are being made to develop improved packing , processing , shipping , and
storage practices . Ultimately the survey is expected to supply infor
mation on the importance of each of the factors affooting the qualities
of the product from produoer to con sumer .
A study of the marketing of hatching eggs and baby chioks in the

Northeast and the Delaware - Maryland -Virginia peninsula is nearing the
report stage . Among the faotors studied are costs and effects of ship
ments by truck , rail , and air ; hatchability of eggs handled in different
ways ; prioes , sources of supply , and outlets .
Diffioulties encountered in the marketing of ducks from Long Island ,
Massachusetts , and Michigan are being studied cooperatively with Cornell
University .
A cooperative agreement has been made with a trade organization to

study improved methods and equipment for oleaning and sanitizing dirty
eggs , which is a major problem in the industry .
The branch is testing the " thermostabilization " process as a means
of maintaining egg quality . Tests are in progress to learn whether the
application of heat under controlled conditions , to shell eggs will re
duce the bacterial count and keep the eggs in good condition longer than
the usual practices . Experiments are being conducted with liquid and
dried eggs to eliminate bacterial infection in those products.
The branch has assisted the Bureau of Agricultural Economios and
the experiment stations of several of the Western States in a study of
factors affecting consumer demand for turkeys and the ecomomio efficiency
of the present marketing system .
March 1949 21
SUGAR BRANCH
A quantitative study of the use by various food indu stries of the

different kinds of sweeteners - such as corn sugar and sirup , cane and
beet sugar and sirup , and liquid sugar-- is being made by the Sugar
Branch . A general study of sugar marketing is now concerned chiefly with
a descriptive analysis of the marketing structure of various segments of
the sugar industry in the United States . Marketing standards for sirups ,
edible molasses , and liquid sugar are being deing developed ,
TOBACCO BRANCH
The practices and workings of tobacco auction markets are being an

alyzed by the Tobacco Branch to learn the extent to which the facilities
and services are adequate , and to learn what improvements are needed.
Speculative auction buying is being studied . Plans are to extend the
study to cover " barn -door selling " -- that is , sales by the grower at his
own farm , The efficiency and fairness of present marketing procedures
will be appraised .
Determinations of the physical and chemical characteristios of to

baccos of different grades are being made as a basis for more preciso
and objective standarde and grades . Decisions on grade now depend
largely on the skill and judgment of the individual grader . A more
scientific method is needed to check the accuracy of present standards
and grading
A study of centralized distillation of pine gum and its effeots on

turpentine and rosin production and marketing was made by this branch ,
and a report has been issued .
A. A. BROCK NAMED NATIONAL RMA ADVISORY COMMITTEEMAN
Appointment of Anson A. Brook as a member of the National Advisory

Committee under the Research and Marketing Act of 1946 was announced on
February 25. He replaces W. Kerr Soott , who resigned when he took of--
fice as Governor of North Carolina at the first of the year .
For about 10 years Mr. Brock has been direotor of the California
State Department of Agriculture . During 1937-38 he was president of the
National Association of Commissioners, Secretaries , and Directors of Ag
riculture . At various times he has been Horticultural Commissioner of
two counties in California , manager of the Placerville Pear Association ,
and field man for the Santa Paula Citrus Association .
The ll -man National Advisory Committee consults with the Secretary

of Agriculture and other USDA officials , recommends research and service
work as au thorized in the act , and assists in obtaining cooperation in
furtherance of research and service programs .
Farmer and Pharmacist
By Donald J. Lehman
Drugs of farm origin have long been a large part of the pharma
cist's arsenal against disease and illness . In 1940 , the volume of
orude botanicalsproduced and used in this country amounted to about
$ 10,000,00C worth . Sinoe then , new drugs of farm origin have appeared
and served spectacularly . Still others show great promise as they move
through the various steps of development .
Penioillin is one of the best lonown of the new drugs . Not a farm
product , exactly , it is rather a laboratory product of byproducts of
farm pro du ots . Its in combating infection is unrivaled .
usefulness
During the war , the Government and our allies set out to produce enough
of it to keep down battlefield infeotions .
The Department of Agrioulture undertook this production job at its

Northern Regional Researoh Laboratory at Peoria , Ill . , which houses one
of the world's foremost collections of molds . By selecting higher yield
ing strains of penicillin mold , laboratory scientists raised the yield
by more than 100 times . They also developed a process of propagating
molds in deep tanks on a nutritious diet of oorn - steep liquor and milk
sugar . The process was adaptable to commercial production .
Penicillin Costs Greatly Reduced
Today about a dozen pharmaceutical houses are produoing penicillin .

The price of penicillin has been reduoed to one - twentieth of its for
mer price . The rate of penicillin produotion in 1948 was nearly 125,000
times the rate during the first 6 months of 1943 , and the annual U. S.
pro duotion is estimated at a value of $150,000,000 .
USDA penioillin researoh cost about $ 100,000 in public funds for
salaries and expenses . The research was carried on at a laboratory that
represents a publio investment of $ 2,000,000 . Here then is an invest
ment of publio funds that has paid off handsomely in dividends --for
farmers , physicians , pharmacists , and the sick and injured .
At least four other drugs now under experimentation give promise of

beooming a part of the pharmaoist's stook in trade and of relieving
human suffering . These are subtilin , usnic acid , tomatin , and polymyxin .
Subtilin and usnio acid show signs of being useful in the treatment
of pulmonary tuberoulosis . Subtilin is the produot of bacteria that can
be grown on waste juices from the commercial processing of asparagus or
pears . Usnio acid is derived from Spanish moss .
Tomatin comes from the tomato plant . Potentially , this drug rates
very high . It looks like a comer for treating some human diseases of
fungus origin-- such as athlete's foot .
23
March 1949
Polymyxin is a drug that may prove useful in treating Bang's dis
ease in oattle , a prospect certainly important to the livestock industry,
But the drug also may
lessen the danger of undulant fever , one of the
most diseases .
stubborn of human Like penicillin , polymyxin is the
produot of a microorganism . It is an outgrowth of the Department's war
time research on synthetic rubber ,
In rutin , another new drug of extraordinary characteristics , we see
the result of another adventure in research . This drug had been known
for about a century , but its medical properties remained undiscovered .
Then Dr. James F. Couch of the Eastern Regional Research Laboratory ana
lyzed the minor constituents of flue - cured tobacco and found rutin among
them . Its chemical structure suggested that rutin might be identical
with the long - sought " vitamin P , " an unidentified substance contained in
citrus extracts , which had been found
useful in remedying hemorrhagio
conditions . The undertook the necessary
University of Pennsylvania
clinical researoh on rutin , and Dr. Couch's hunch as to its medical value
became a verified fact .
Within the last 2 years rutin has become a valued drag available to
the publio . Its chief uso thus far is in restoring the strength of
weakened capillaries . It has been found to reduce the severity of injury
to animals from X-ray burns and to spend the healing of these burns .
Rutin Now Obtained From Buokwheat
About fifteen pharmaceutical houses are now manufacturing rutin-

extraoting it from green buokwheat plants . Although tobacco was the
first source of the drug , the demand for rutin increased as clinical re
search gained headway , and high-grade tobacoo proved far too expensive
à source . Intensive research at the Eastern Regional Laboratory showed
the buckwheat plant , which contains about ten times as much rutin as
tobacco , could provide the drug much more cheaply .
Rutin research oost the Government about $300,000 in salaries and
expenses . The 50,000 acres of buckwheat that may eventually be grown to
produce rutin will be worth about $ 2,000,000 a year to American farmers .
The quantity of the drug which can be extracted from this crop would
have a value of $150,000,000 at ourrent prices .
BETTER PROCESSED FOODS SOUGHT
Making processed foods as tasty and nutritious --only cheaper and more
convenient to use --than fresh foods is the ambitious goal of the New York
State Experiment Station at Geneva . Food scientists there believe that
a three - ply approach of improving raw materials , bolstering nutritional
value and flavor of processed foods , and reducing the costs of processing
will turn the triok . Combined efforts of biochemists , organic chemists ,
bacteriologists , piunt physiologists , physioists , engineers and nutri
tionists will be called on in the project .
Peanut Mixer Perfected
The U. S. Department of Agriculture has developed a mechanical pea
nut mixer and divider that will bring about greater uniformity in mixing
and dividing peanut samples and make more acourate grade determinations .
The importance of the new lies chiefly in the fact that it
device
divides defective peanuts between the two halves of a sample with a high
degree of acouraoy , eliminating the possible effects of such human fao
tors as fatigue and hurry in the oustomary manual operation . Moreover ,
time required for the operation is out from average times of two minutes
and twenty seconds to twenty seconds , and in the process fewer kernels
are broken , which improves the aocuracy of grading .
The mixer and divider was developed , tested and perfected in the
Fruit and vegetable Branch of the Production and Marketing Administration
under authority of the Research and Marketing Act of 1946 .
When peanuts are inspected and graded , samples of approximately 6,000

grams (about 13 pounds ) are taken from each carload . But inspectors use
only about 3,000 grams in their actual grading , and save the other half
for a second test in case of an appeal . Hence it is necessary to mix and
divide the sample into two approximately identioal parts to get an acou
rate grade .
Human Error Avoided
From the more than 25 years that USDA has been grading peanuts, in
spectors have mixed and divided them by hand . As the hand method is sub
ject to human error , the need for a mechanical mixer and divider has been
apparent for many years . The machine worked out by USDA is the first de
vice that has been proved equal to or better than hand mixing and divid
ing in 100 laboratory tests . The hand mixing and dividing was done by
an expert under optimam conditions ,
A sample of 6,000 grams was used in each test . A hundred nuts were
dyed red and put in every sample to simulate defective nuts . After every
test the red nuts in each half of the divided sample were weighed and
counted . When the mechanical mixer was used , the red nuts were distri
buted by weight between two receptacles to within one-tenth of one per
cent of an absolutely equal division 38 out of 50 times ; to within two
tenths of one per cent eight times ; to within three - tenths of one per
cent three times ; and to within four - tenths of one percent once . The
results of hand mixing and dividing by an expert working under the best
conditions Wero : to within one - tenth of one percent of an absolutely
equal division , 35 out of 50 times ; to within two -tenths of one percent ,
13 times ; to within three - tenths of one percent , once ; and to within
one half of one percent once .
The Fruit and vegetable Branch is considering installing the mech

anical mixers and dividers in at least 20 of its inspection service of-
fices . Georgia and Virginia want to put the devices in their State pea
nut in s peotion offices .
March 1949 25
1949 POTATO PROGRAM REVISIONS
The 1949 Irish potato price - support program establishes a single

price of $ 1.80 per hundredweight for the season for all potatoes which
qualify as U.s, No. 2 grade 1-7/8 inch minimum or better . This price ,
based on the January 1 , 1949 , parity price is designed to insure support
at 60 peroent of parity, in keeping with provisions of the Agricultural
Act of 1948 .
The single price provision for 1949 is a departure from last year's
two- price support in which U.S. No. 1 grade potatoes were supported at
an average price of $ 2.92 per hundredweight , while U.S. No. 2 grade
1 7/8 inch minimum and U.S. No. 1 , size B grade were supported at $ 1,46
per hundredweight .
Another significant change in the 1949 program is the February an

nouncement of the complete price support schedule by States fo the en
tire potato crop . acreage goal has been set at 1,938,300
The national
acres--about 200,000 less than the 1948 planted acreage .
APPLE STOCKS IN STORAGE

APPROXIMATELY 2/3 OF AVERAGE
Apple holdings in storage as of February 1 are nearly 1/3 under the
average cold storage holdings for the five - year period from 1944 to 1948 ,
According to figures compiled by the New Jersey Department of Agriculture
from the ourrent USDA Cold Storage Report , stocks of apples amount to
12,900,000 bushels as compared to the February 1 five - year average fig
ure of 18,907,000 bushels and the 1948 figure of 23 1/3 million bushels .
Out -of - storage movements of apples amounted to about 38 percent of
the holdings as compared with the normal January out - of - storage move
ments of about 30 percent . Due to the smaller supplies , however , this
year's January movements actually involved fewer apples. A breakdo in
of the movements by containers showed that regionally all apples moved
proportionally well .
MORE FROZEN FOOD
Increased use of freezer lockers and more freezer units is having

some effects upon the general distribution of food commodities according
to a report issued by the Louisiana State University and Mechanical Col
lege in cooperation with USDA . The report states that last year over 3
million farm families and about 1 million city and town families us ed
freezer locker units to store about 1 3/4 billion pounds of food, mostly
home grown . Throughout the country there are about 11,000 freezer looker
plants in operation.
MARKETING BRIEFS :
Cotton .-- In mid - February USDA announced that the Commodity Credit
Corporation had sold its remaining stocks of 1947-crop upland cotton .
This ootton , totaling 6,756 bales , was pooled for producers' accounts on
August 1 , 1948 , and was offered for sale on January 5 , 1949 .... February
9 USDA announced that 1948-orop cotton under CCC loans averaged higher in
grade and longer in staple length than the estimate for the entire 1948
crop . The grade index of 3,042,718 bales out of approximately 4,400,000
bales under loan on January 21, 1949 was 96.5 as compared with an estimate
of slightly under 96.0 for the entire orop , (Middling White equals 100 ) .
Almost 40 percent of the loan stocks was Middling White and Extra White .
Almost 88 percent was strict Low Middling White and equivalent grades or
higher . Less than two percent was Strict Good Ordinary . The average
staple length of the loan stocks was 32,6 thirty - seconds inch , a little
longer than the estimate for the entire crop of slightly under 32.5
thirty -seconds . Almost 80 percent of these stocks was one inch or longer
and over 56 percent was 1-1/ 32 inches and 1-1 / 16 inches in length . About
20 percent was shorter than one inch and a little under six percent was
7/8 inch or less ,
at a
Dairy Produots.--A program to support the price of butterfat
national average of 90 percent of parity during 1949 , as required by the
Agrioultural Act of 1948 , was announced February 8 , by USDA . The support
operations will be carried out through offers by the Department to pur
cha se wholesale butter , when necessary. Although butter and butterfat
prices have been declining in recent months they have not yet reached
the levels of mandatory price support. With the approach of the flush
produotion season the support program is being announoed to assure that
average prices to producers for butterfat will not fall below 90 percent
of parity . In carrying out necessary support operations , USDA will offer
to buy in any area during 1949 butter of U.S. Grade A or higher at 59
cents per pound for delivery before September 1 , and at 62 cents for do
livery on and after September 1. Support prices for U.S. Grade B butter
will be 2 cents lower in each period . The seasonal differential is ex
pected to encourage normal commercial storage of butter in the flush sea
son, for marketing in fall and winter . Butterfat prices are based on the
market pri 008 of butter . Offers to purchase butter at the announced
prio e le vels are designed , on the basis of the normal spread between the
price of a pound of butter and the cost of the butterfat in a pound of
butter , to assure farmers a national average butterfat price during 1949
equal to 90 percent of parity which , on the basis of mid - January computa
tion of parity, is 58,5 cents .
Fats and Oils .--United States production of edible fats and oils
for the ourrent orop year ending September 30, 1949 , is estimated to be
about 550 million pounds larger ( 7 pero ent ) than the 7,170 millia pounds
pro duced in 1947-48 . Export allooations for edible fats , oils , and oil
Beeds issued as of February 1 for the period October 1948 -Maroh 1949 ( in
cluding the supplemental allocations announced for the first quarter of
1949) total 729 million pounds, oil equivalent . This figure compares
with 425 million pounds allocated during the corresponding period in
1947-48 .
March 1949 27
Fruits and Vegetables . --USDA has recommended adoption of several
amendments to the marketing agreement and order regulating the handling
of fresh Bartlett pears , plums and Elberta peaches grown in Califomia ,
The amendments , results of proposals of the Control Committee and based
on evidence presented at a Sacramento , California , publio hearing , would
group separately specified varieties of early plums; revise provisions
authorizing daily shipment regulations so as to exclude plums from suoh
regulations ; and authorize the issuance of exemption certifioates when re
gulations of minimum standards of quality and maturity are effective .
Grains .--USDA has announced that on the basis of preliminary re
ports a total of 3,427,769 100 - pound bags of 1948 -orop rice was placed
under the support program as of January 31 , 1949 , the final day for par
tioipation. The total inoluded 3,286,945 100 -pound bags under purchase
agreements and 140,824 100 - pound bags under loans .
Livestock . --Hog prices will be supported at 90 percent of parity
through March 1950 , when the marketing season for 1949 spring pigs ends,
according to an announcement made by USDA February 25 , This aotion is
taken to assure farmers the same level of price support during the last
half of the October 1949-March 1950 marketing period as is required dur
ing the first half by the Agricultural Act of 1948. Hog prioe supports
at 90 percent of parity are mandatory only through December 31 , 1949 in
der this Act , which also authorizes support beyond this date under cer
tain conditions. Specifio price supports , with the usual seasonal vari
ations , will be announced next fall for this entire period and will be
based on the September 15 , 1949 , parity price . The October 1949 - Maroh
1950 period is the marketing season for 1949 spring pigs . To encourago
increased marketings in this period , the 1949 spring pig goal announced
last fall by the Department called for a spring pig crop of 60 million
pigs , 17 percent more than the spring pig crop of 1948. The December Pig
Crop Report in di cated producers ' intentions to farrow 14 percent more
sows this spring than last .... Selling prices for wools purchased by CCC
under the 1949 price support program will be the same as for wool pur
chased under the 1948 program, USDA has announced . This schedule , effec
tive as of February 1 , 1949 makes no change in sale price for most 1946 ,
1947 and 1948 program wools , Selling prices for 1945 wools will be re
duced 3 cents per clean or scoured pound , while the schedule for pulled
wools inoreased prices for slightly defective and discolored wools . The
recently announced 1949 wool support program provides a national average
wool price to growers of slightly more than 42 cents a pound, grease basis .
Poultry.-- Egg prices will be supported in the Midwest through
March , April , and May at the prevailing support level , which reflects an
average of 35 cents per dozen for shell eggs , USDA announced February 11 ,
The present program of purchasing dried eggs in the surplus - producing
area will continue unchanged . If after a reasonable period it becomes
olear that the purchase of dried eggs is not maintaining desired price
levels , consideration will be given to the purchase of frozen eggs as a
supplement to the dried egg purchase program ,
Tobacco .--USDA has announced a loan program for 1948 -crop Maryland
(type 32 ) tobacco in loose leaf form . The loans , made on a grade basis ,
average 43,9 cents per pound and will be available only to the original
growers , through the Maryland Tobacco Cooperative at Upper Marlboro , Md .
28 Marketing Aotivities
ABOUT MARKETING
The following addresses , statements , and publications , issued re

cently, may be obtained upon request . To order , check on this page the
publications desired , detach and mail to the Production and larketing
Statement by Charles F. Brannan , Secretary of Agriculture , in re

gard to continuance of the European Recovery Program , before the House
Committee on Foreign Affairs , February 17 , 1949 . 4 pp . (Processed )
Statement by Charles F. Brannan , Secretary of Agriculture , with re
spect to 8. 900, a bill to amend the Commodity Credit Corporation Act ,
before the Senate Committee on Agrioulture and Forestry, February 16 ,
1949 . 3 pp . (Processed )
Rural Eleotrification in the National
in the National Farm Program , by Charles F.
Brannen , Secretary of Agrioulture , at New York , New York , January 31 ,
1949 . 9 pp . ( Processed )
American Agrioulture on a New Frontier , by Charles F. Brennan ,
Secretary of Agriou Iture , at Des Moines , Iowa , February 19 , 1949. ll pp .
( Processed )
Publications :
The Market News Service an Grain , Hay , Feed , and Related Commodities :
Its Funotion , History and Operation . (PMA ) January 1949, 10 pp .
( Processed )
Distillation of Pine Gum at Central Plants , ( PMA ) January 1949 .
22 pp . ( Processed )
Cotton Quality Statistics : United States , 1947-48 , ( PMA) CS -33 ,

December 1948. 61 pp. ( Processed )
Annual Report on Tobacco Statistics : 1948. ( PMA ) CS-31 . December
1948 . 71 pp . (Processed )
Purchases of Dairy Produqts by U.S.D.A. , 1948 . ( PMA ) January 1949,
8 PP . ( Processed )
An Explanation of The Egg Price Support Program . ( PMA ) February
1949 . 5 pp . ( Prooessed )
United States Standards for Grades of Fruit Preserves ( or Jams ) .
( PMA ) Effective March 14 , 1949. 17 PP ( Processed )
Canadian Cattle Situation 1948-49 Relative to Exports to the United
States . ( PMA ) January 1949. 6 pp. ( Processed )
March 1949 29
看
nodal
April 1949
MARKETING
ACTIVITIES
&
RTE
DEPA
Washington 25, D.C.
IN THIS ISSUE :
WHAT'S AHEAD FOR BROILERS ?

By Roy W. Lennartson ... .... Page 3
More people , more eggs per hen , and thus fewer hens for meat have
meant expansion of the broiler industry. Mr. Lennartson , Assistant Di
rector of the Poultry Branoh , disousses this trend and looks 10 years a
head .
WINTER PEARS-- A MARKETING PUZZLE

By M. E. McGaha and Norman Hummon Page 9
Winter pears are good eating when properly ripened . The pear in
dustry , with the cooperation of USDA , is trying to find out where and
how the pears oan best be " conditioned . " Mr. MoGaha of PMA 8 Fruit and
Vegetable Branch , and Mr. Hummon of the Information Branch , outline this
program ,
DO'S AND DON'T'S FOR THE PRODUCE TRADE

By T. C. Curry • Page 12
Fair dealing has been promoted through the friendly guidance of the
Perishable Agricultural Commodities Aot . Mr. Curry , who is in direct
charge of administering the legislation , passes along a few suggestions
which will help make the record even better .
OKLAHOMA MARKETING RETURNS IN CREASED BY RMA WORK
By Leighton G. Foster .
.... • Page 15
Oklahoma producers are finding that cooperative research can result

in better quality products and increased returns . Mr. Foster is in
charge of research and marketing work carried on jointly by PMA and State
agencies ,
USDA DEVELOPS POTENT INSECTICIDE

By E. 0. Umsted . ..... .... Page 18
Here's more bad news for bugs . USDA entomologists have synthesized
a pyrethrum - like insectioide . Mr. Umsted is in PMA's Information Branch .
MARKETING BRIEFS . Page 20
ABOUT MARKET ING Page 22
Address all inquiries to Material in Marketing Aotivities

U. S. Department of Agrioulture
What's Ahead for Broilers ?
By Roy W. Lennartson
The tremendous growth of the U.S. commeroial broiler industry since

mid - 1930 has had three fundamental causes . One is the increase in human
population . Another is an increase in poultry meat consumption per per
son . The third is the increased efficiency of our laying hen . Of these
causes , the increased efficiency of the laying hen has been the main one .
This was discovered when the Production and Marketing Administration re
cently dug into the figures in order to foresee what prospeots there were
for continued expansion of the broiler industry .
Because the laying hen has be some increasingly efficient , fower
hens are producing the eggs we need, As a result , relatively fewer
chicks need be raised for flock replacement , and relatively fewer hens
are culled from laying flocks and marketed as moat .
Fifteen years ago the average hen laid eggs a year . Nowa
118
days she lays 160 a year -- an increase of 35 percent. In 1948 , if we had
had to depend on the inefficient 1934 - model hen for the eggs We pro
du ced , we would have required a laying flook of 620 million hens . Aotu
ally, in 1948 , we had 428 million hens ,
Broilers Fill the Gap
In moving the gap left by reduced marketing from farm

to fill
flocks , increased population , and increased per capita demand , the oom
mercial broiler industry has not been backward . It has been aggressive
in expansion , in produotion practices , in seeking new markets , in de
veloping new techniques, and in gaining oon sumer accep tance
acceptanc e for its
products ,
of recent years the broiler industry has been favored in its growth
by a very high level of purchasing power and shortages of competing foods .
But these favorable conditions cannot be expected to last always . Red
moat supplies are still relatively short , but we can foresee increasing
supplies . The ourrent high level of consumer purchasing power is oon
sidered by many to be the peak .
In 1945 there was a peak broiler produotion of 346 million head ,

In 1946 the number fell to 276 million head , but picked up again in 1947
to reach 283 million head. Now that feeds are again in plentiful supply
and at relatively favorable prices , the broiler industry is again ex
panding rapidly . The 1948 production is estimated at 340 million head-
10 times that of 1934. Most everyone will agree that production in 1949
probably will exceed the 340 million produced in 1948 , and the 346 mil
lion peak of 1945 .
April 1949 3
New production areas are developing rapidly all over the country ,
Sooner or later , if produotion in the new areas continues to increase ,
local markets will be come satisfied and producers will begin to compete
in one another's markets . Already, for example , many carloads of east
ern broilers have been shipped to the Midwest . Some have been reshipped
as far as the west coast , and a few have even been returned to east ocast
cities , such as New York , in frozen eviscerated form , This type of un
economical rehandling would rapidly dige.ppear if local production in
creased substantially . The next step , as production inoreased further ,
would be for Midwest - produced birds to move to ' the east coast and begin
competing for markets .
So much for the gloomy side of broiler prospects . The encouraging

side is that all signs point to a continuing growth of the industry --for
at least two reasons . First , the primary faotor responsible for the in
dustry's past growth -- the increase in the number of eggs produced per
hen each year --will continue for a number of years to come . Second , our
total population is continuing to increase each year .
PMA Studies Long -Range Problems

The objective of the PMA study was to estimate how many broilers
would be needed 10 years from now .
The first factor considered was the phenomenal increase in the rate
of lay per hen . In 1930 the average hen laid about 120 eggs per year .
In 1940 the rate was 135 eggs . In 1948 it was about 160 eggs . The long
time average increase in the rate of lay per bird has amounted to about
2.5 eggs per year . USDA production specialists see no reason why this
increase should not continue for some years to come .
The second factor is population growth . It is not unlikely that

the rate of increase will slow down to something in the neighborhood of
a million a year . This is the rate used in the study .
Another important factor considered in the PMA study is the ratio

of hens to pullets in laying flocks . It has been demonstrated that all
pullet flocks are more profitable than mixed pullet -hen flooks . On Jan
uary 1 , 1935 , 60 percent of the layers on farms were pullets ; the rest
were hens . Thirteen years later , on January 1 , 1948 , the percentage of
pullets had increased to 67--nearly half a bird a year .
Naturally , as the ratio of pullets to hens increases, a relatively

larger number of chiokens must be raised, because more birds are needed
for flook replacement . This will mean moro chicken meat from farm pro
duction . But this increase is more then offset by the other factors
tending to decrease farm meat produotion
production , USDA produotion specialists
say that the ratio of pullets to hens will continue to increase . In this
study it was assumed that there would be an annual increase in the per
centage of pullets in the laying flock as of January 1 of four - tenths of
1 percent ,
Still another important factor bearing on future broiler produotion

is the number of chickens that must be raised before one pullet can be
added to the laying flook, The increase in the practice of sexing has
reduced the number of chickens that need to be raised to replace one
pullet in the laying flock . In 1931 it was necessary to raise 3,1 chick
ens in order to place one pullet in the laying flock on January 1 , 1932 .
In 1947 , only 2.6 chickens were needed. This relatively small decrease
makes a big difference in the number of young farm chickens available as
meat . There is no reason why this decrease should not continue for a
number of years . In the PMA study , the downward trend was followed un
til it reached 2.25 .
Several other factors , although less important , had to be considered

in the study . First was mortality . For several years there had been no
pronounced trend , up or down , in the mortality rate of farm chickens .
So 17.5 percent , the rate during the last 5 years , was used,
Another minor but necessary faotor was average live weight . The
average live weight of young chickens sold from farms has increased
slightly during the last 12 years . During the last 5 years the average
weight has been 3.6 pounds . This figure was used , rather than the trend
figure , since the over - all increase during the last 12 years was less
than half a pound . The average weight of hens sold has also increased
during the last few years , but the increase has been negligible . Hence ,
the average for the last 5 years , or 5.2 pounds , was used.
Egg Consumption Considered
Now , two other assumptions had to be made before there could be

any estimate of the amount of farm poultry meat available in the future .
The first was as to the probable consumption of eggs in the coming
years . The average prowar per capita con sumption of eggs was 298 . In
1948 , an estimated 382 eggs per capita were consumed , During the last
5 years the average consumption was about 375 . For many years a goal of
365 eggs -- " an egg a day " -- has been accepted as nutritionally desirable,
This level was greatly exceeded during the war and has been consistently
exceeded since , owing largely to the shortage of red meats . But as the
supply of red meats increases , the per capita consumption of eggs is
likely to decrease , Therefore , as a reasonable level of ege consumption
in the next 10 years , the old goal of 365 eggs per capita was used in
the study.
The second
assumption was as to the future per capita consumption
of chioken meat . The pre -war average was about 17.9 pounds . In 1948 it
was about 22.5 pounds -- which was low compared with the previous 5 - year
average of 25.4 pounds , owing to a very short orop of farm chickens .
For the purposes of the PMA study , a consumption of 23 pounds per capita
was assumed .
These facts provide a basis for estimating the probable production

of farm ohioken meat 10 years from now, From this estimate we can com
pute the number of broilers necessary to give any desired level of
poultry meat consumption -- in this case , 23 pounds per capita .
April 1949 5
Chart I shows the results of these In 1936 , commer
caloulations .
cial broiler produotion amounted to about 53 million head ( 134 million
pounds dreasod weight ) , In 1945 , a peak of 346 million head ( 919 mdllion
pounds ) was reached. In 1960, if the assumptions as to rate of lay and
other factors are correot , 572 million head ( 1,610 million pounds ) will
be produceda
Chart II Shows what part of the total poultry meat oonsumption for
the years 1936 to 1948 was represented by commercial broilers , young
farm ohiokens , and hens , It also shows what these peroentages might be
over the next 10 years , if the produotion assumptions are correot . Of
the total ohioken meat consumed in 1944, for example , 18 percent oame
from commercial broilers , 34 percent from farm - produced young chiokens,
and the remaining 48 percent from hens .
In 1936 , wilen the broiler industry was small , only 6 percent of the
poultry meat consumed came from commeroial broilers , 50 percent came from
young farm chickens, and 44 peroent from hens . In 1947 , 11 years later,
broilers had inoreased to 22 percent , whereas young farm chiokens had
fallen to 38 percent and hens to 40 peroent . The important point is
that commercial broilers about made up for the reduoed output of
have
young farm chickens . In other words , consumption of all young chickens,
including broilers , has not increased materially in relation to hem con
sumption . But the percentage of broiler consumption to total poultry
consumption has increased very substantially .
Proportion of Broilers Expected To Increase
If we extended these lines , based on the results of the study , to

1960, we might expect that 41 percent of the poultry meat consumption
would be from broilers , and only 28 pero ent from young farm chickers and
31 percent from hens . The slope of the line representing total young
ahickens between 1936 and 1.948 is aimilar to the slope of the line for
later yours , although it shows a considerably smaller percentage of
total young chiokens . This can be accounted for by the very large pro
duotion of eggs , a substantial mimber of which were being purchased by
the Government for lend - lease and support cperations beginning in 1940 .
In time , producers in any seotion are sure to be faced with ever
increasing competition from other procuotion areas . Whether producers
in certain localities survive depends on the leadership in certain essen
tials .
The first 68sential is the gearing of marketing to demand . Hero

two factors are involved -- produotion planning on the farm , and regulating
marketing of the processed produot to avoid market gluts . When market
ings exceed demend at profitable prices , prices fall seriously , frequent
ly more than the surplus warrants . When supplies are short relative to
demand , prioes go up out of reason . No one group in the industry can be
blamed for this situation , The industry will probably never be able to
eliminate the so ups and downs completely , certainly as concerns produo
tion , but much can be done to stabilize prices by gearing the movement
into consumer channels according to demande
CHICKEN MEAT : CONSUMPTION , BY TYPES ,
1936 - 48 AND ESTIMATED 1949-60
Chart I
POUNDS *
( BILLIONS )
3
FARM HENS
N
-FARM YOUNG CHICKENS
COMMERCIAL BROILERS
O
1936 1940 1945 1950 1955 1960
CHICKEN MEAT : PERCENTAGE OF TOTAL CONSUMPTION , BY TYPES,

1936-48 AND ESTIMATED 1949-60
Chart II
PERCENT *
FARM HENS
80
60
40 FARM YOUNG CHICKENS
20
COMMERCIAL BROILERS
1936 1940 1945 1950 1955 1960

* DRESSED WEIGHT BASIS DATA FOR 1948 ARE PRELIMINARY
So long as our only faoilities are those for preparing foe - paoked
birds , the problem of widely fluotuating prices will be with us . What
we need are facilities for freezing , storing , ovisoerating , and paokaging
in various ways . We need these facilities to take advantage of all mar
ket outlets, and to open up new markets . Market demands are shifting .
Those who recognize this , and laad in its development , oan hope to sur
vive and expand in the yoars to come .
The processor is only one oog in this great industry . Situated be

tween producers and con sumers , he performs frmotions that are all im
portant as concerna quality , sost , and price. He must be even more con
Boious of processing costs and be quick to make improvements . The
ha toheryman must work alosely with the breeder to improve hatohability
and disease control . Hatohing eggs must be made available when they are
needed and according to the demand . The breeder must be increasingly
conscious of what consumers want , and breed toward that end . The feed
manufacturer must put research to work to make even better feeds . And
the produoer must work harder at lowering his produotion costs , if total
consumption is to be inoreased .
FEDERAL MEAT GRADES NOW INCLUDE VEAL AND CALF IDENTIFICATION
To broadon its service to consumers , the Federal meat grading ser

vioe is now marking oalf and real by name along with the grade stamp on
federally graded meato Previously these two meat olasses were graded
and stamped for grade but not for olass ,
While both veal and calf are popular because they come in small
tender outs which may be prepared readily , some homemakers have shown
definito preference for one or the other . This step of the grading ser
vice is aimed at helping them differentiate between the two classes of
meat . Class identifioation , along with the grade name , will furnish con
sumers and others an added guide with which to seloot the most of their
choios , the Livestook Branoh , Produotion and Marketing Administration ,
U. S. Department of Agriculture points out.
During the war years when meat grading wascompulsory , millions of
the household onsumers and many meat handlers were given their first
opportunity to purchase meat graded by a nation - wide standard , This has
greatly inoroased consumers ' interest in meat quality and in other meat
differences such as the distinotion between veal and calf. This prompted
the Livestook Branch to include veel and salf identifioation which is
helping to establish a basis of uniformity in trading of these two meats
between the supplier and the consumer .
Veal comes from very young an imals usually less than 14 weeks of
age and is produced principally on milk or milk substitutes . It is
usually fine in texture and
and has
has aa light
light pinkish - brown color. Calf is
from animals that have passed beyond the real state in age but have not
yet acquired the typioal beef characteristics . Compared to veal , the
flesh of calf is firmer , coarser in texture , deeper red in color and the
fat is usually whiter .
Marketing Activities
Winter Pears - A Marketing Puzzle
By M. E. McGaha and Norman Hummon
The American people are missing a treat .
There's a delicious fruit that is plentiful right in the winter time

when many fruits are scarce . It is moderately priced and downright
luscious . But many people are not eating it.
That fruit is the winter pear--a European - developed delioacy that

has been produced in volume in this country for about fifteen years .
Winter pears are not selling well , either in this country or for export .
The reason : In the United States far toomany of these pears have
been placed on retail shelves in a form as green and firm and hard as an
acorn squash , And , unfortunately , at that stage winter pea rs usually
pears
taste something like uncooked squashes . One result , naturally , is that
the winter pear industry is in trouble .
The Department of Agriculture is looking for the answer to this
problem of the producer , the consumer and the trade . The Fruit and
Vegetable Branch , Production and Marketing Administration , is making a
study under the Research and Marketing Aot of 1946 to appraise marketing
methods designed to result in larger sales . And meanwhile , the De
partment is helping the industry to divert some of its produot to areas
that normally consume little or no winter pears .
Good Pears Are Ripe Pears
Behind the industry's problem is this question : When is a winter

pear ready for the retail market -- when it is green and hard and will bear
a lot of handling ( and probably will fail to please most customers ), or
when it has been ripened and is ready to eat?
Patient purchasers can lay aside the green fruit for a ripening
period, and the juicy sweetness of the pear pays them well for the delay.
But the average consumer is an impatient con sumer when it comes to the
food he buys , and he dislikes the processing delay .
The winter pear itself is a bit particular about its ripening habits .
All of the important varieties -- the Anjou , the Boso , the Comice --are most
delioious and attractive when they are ripened or " conditioned." under
rather exacting temperature and humidity control . Consumers , of course ,
do not have the time or inclination to condition pears ; and shipping ,
wholesaling , and retailing agencies have been reluctant to initiate the
practice .
As a result , many domestio con sumers have shi ed away from a food
April 1949 9
that would add a European touch for fruit- and salad-appetites , often
too narrow in their scope . Generally this would not be a costly dietary
addition either , for during this last season , win ter pears at two pounds
for a quarter were no more expensive than choice apples .
Before 1941 , 30 to 45 percent of the U. S , winter pear crop had been

exported to the pear - loving countries of Europe . During the war , how
ever , exports of fresh fruits practically ceased , and since the war a
lack of dollar exchange in the European countries has made the pear in
dustry dubious of recovering this market in the near future , The pear
industry , of necessity , has had to call for assistance ,
The Department of Agriculture's Production and Marketing Administra

tion is aiding the industry in its attempts to broaden market outlets by
paying shippers a " diversion benefit " of 45 cents a box for pears sold
and delivered to markets in 18 States in the central and southern parts
of the country . In these States , consumption of winter pears is low
compared to that in the northeastern States . In addition , for pears
from the 1948 crop , like payments are being made for pears sold and ex
ported to countries participating in the European Recovery Program .
However , the reluctance of winter pears to round into proper con
dition is a handicap that no diversion program can overcome completely .
This is a handicap the pear industry recognizes .
Pear Conditioning Stressed
This past marketing season found the industry intensifying its whole
marketing program for the slightly - over - average 1948 crop of nearly 6
million boxes , Its frontal attack in the campaign had a double objective :
To demonstrate to all phases of the industry the essential nature of the
" conditioning " process , and at the same time to make the consuming pub
lio more winter - pear - conscious.
In addition to determining the importance of conditioning before
the consumer buys , efforts were made to find out which segment of the
trade wes best suited to perform the process . During the marketing season
the U. S. Department of Agriculture cooperated with the industry in the
program and conducted work in three consuming centers .
Field work in these studies has now been completed in three loca
tions : the Washington , D. C .; the Canton - Akron , Ohio ; and the Charlotte ,
N. C. , marketing areas , chosen because they were the areas in which the
industry was concentrating its promotion effortse
The project was carried out in the following manner : In each of
the three areas mentioned , 9 retail stores , cooperating in the industry's
promotion program , were selected by the Department as the basis of an
experimento As nearly as possible an equal number of the stores wer
located in high , medium , and low income distriots in the areas chosen .
In an effort to determine the effectiveness of the industry's promotion
efforts , three of the stores in each area received a demonstration
sponsored by the Oregon -Washington - California Pear Bureau , plus posters
and other display material , and in addition began selling ripe pears after
the first week , The other six stores served 28 oheok stores . Three of
these six used display material . The three remaining stores continued
selling pears in their usual manner . The essence of the demonstration
was to give each oustomer in the produce dopartment a sample slice of
a properly ripened pear .
During the promotion work wholesalers and retailers were shown in

detail how to perform the conditioning accurately, and retailers wore
encouraged to stook pre - ripened pears . The ripening habits of each of
the important varieties were explained first - hand--how most of the pears
remain firm and green for 2-4 months after pioking when stored at tem
peratures around 30 degrees , and how the starches change to sugar rapidly
when the core temperature of the fruit is brought up to 65 ° F , at about
75 peroent humidity .
Retailers and wholesalers learned that as the pears were noeded they
could be conditioned by subjecting them to room temperaturo in an at
mosphere of high humidity for 36 to 48 hours , or wtil the pears yielded
to a slight thumb pressure at the stem end . At this stage the important
varieties were " breaking " or " on the turn , " but once they were again
placed in a cool room, their oondition still allowed a wook to 10 days
for the marketing period ,
During the 6 weeks of the experiment , Department of Agrioulturo

personnel observed the sale of 40,000 pounds , or approximately 910 boxes
of 44 pounds each , in 27 stores in the three areas . The results of the
study are now being tabulated . A report will be issued later.
Winter pears are now produoed principally in the three Pacifio
States where the climate and soil conditions closely resemble the native
lands of the fruit --France , Belgium , and England . Winter pears have
long been one of the staple fruits of Europe , though here they were often
little known outside their area of production ,
The indus try has been well aware of the relative obsourity of its
product . This was strikingly demonstrated by a man - on - the - street reoog
nition quiz conducted by the Pear Bureau several years ago in New York
City. Of the first 1000 pedestrians quizzed as to the meaning of the
word " B080 , " over 900 thought it was a Germen soldier, 75 or more had no
answer , three or four thought it was a type of processed milk and only
ono bow it for the delicious fruit it is .
TEST FOR FOOD FLAVORS SOUGHT
How does it taste ? That's the first question asked by a consumer

whon a new food produot comes on the market , Just as eager to find the
answer are food processors and food scientists at the New York State Ex
periment Station at Geneva . They find that preference for the new prod
uct by at least 75 percent of a large group of "test" consumers is usu
ally required before a new produot should be introduced . A recent report
by Professor J. C, Hening outlines the new food testing techniques of the
Genova food researoh laboratories .
‫נ‬
Do's and Don't's for the Produce Trade
By T. C. Curry
Law enforoement officials have compiled a splondid rooord when it

comes to recovering stolen automobiles . But the prudent motorist still
looks the ignition and the doors whenever he parks . He knows that the
police sometimes fail and that even if the oar is recovered , he will be
put to considerable inconvenience .
Similarly , the Perishable Agrioultural Commodities Aot has dono

mich to bring about honest dealing in the buying and selling of fresh
fruits and vegetables . During the calendar year 1948 , the Dopartment
of Agriculture's Production and Marketing Administration , through its
Fruit and vegetable Branch settled under author ity of tho aot, 1,148
Qa808 involving payments totaling $ 1,133,452.39 , But many of these
02888 would never have reached the dispute stage 11 buyers and sellers
had , figuratively speaking , looked the car .
The precautions that should be taken by anybody dealing in perish
ables are many and all of them can't be listed on these pages . But here
are a few of the more important " do's " and " don'tig" :
Be contract wise ,
In the first place , anyone now or old in the business should be

sure that the contraot is a valid and binding one--and olearly provable
28 suoh . A contraot may be defined as an agreement between two or more
parties to do certain things . In order to make an enforosable contraot
there must be a complete meeting of the minds on all essential speoifioa
tions . All parties to a contract must agree to the same torms and speci
fioations desoribing the commodity and the terms of sale . In tho ab
sence of an agreement to the contrary , the seller is within his rights
in billing the shipment " order notify " or " advise " in order to insure
payment before acceptance of the goods . On the other hand, open billing
might prove to be an embarrassing and costly situation for the seller in
the oase of insolvenoy on the part of the buyer .
Be explicit .
It is highly important to use descriptive terms which have definito ,

generally understood moen ings . Stipulations that are understandable are
also enforceable , Avoid the use of such terms as " beautiful, " " good color ,
"good quality , " "best" and so forth , There are no established standards
for the determination of the meanings of these terms . Those in charge
of enforoement of the PACA generally find that the seller is inolined to
undervalue and the buyer overvalue the meaning of these terms . Mis
understandings may be avoided if contracts are made on the basis of u.s.
Standards established by the Department , and these are inolusivo a ough
to fumich & satisfactory basis for wholesale trading .
Stick to the contract ,
Since contracts obligato as well as protect , it is necessary that

licensees deliver goods meeting all specifioations of the contract . Care
ful compliance with terms of contracts serves as inexpensive assurance
of a good business reputation -- and good business . En foroement of con
tract provisions is one of the more important obje otives of the PACA ,
Know business reputation 8 .
Under the act all commission merchants

merchants ,, dealers and brokors han
dling fruits and vegetables in interstate or foreign o ommeroe are re
quired to be lioensed , but it is still important to the tradesman to
imow that he is dealing with a reputable firm . Holding a licenso under
the PACA does not guarantee that the party is reliable. Lioenses can be
denied only in rare instances , such as when it is found , after formal
hearing , that the applicant is unfit to engage in the business . Aooord
ingly it is wise to investigate the ethical and finanoial reputation of
unknown individuals and firms through one of the well recognized commer
cial credit rating agencies , Similar information may often be obtained
through banks , better business bureaus and chambers of commeroe .
Handle quality products .
One of the significant truths turned up in the years PACA has been
in foroe has been that good quality creates business and poor quality
destroys it . Generally , with fresh fruits and vegetables inferior qual
ity inoreases risk and outs down profits and the range of outlets . In
the produce channels it tends to aot as a deterrent to trading and it
increases the incident of complaint under the act .
Among those responsible for the Administration of the law , the
feeling on this quality issue is so strong that it probably should also
be stated as the first of the " don'tig" to the trade .
Don't take a gamble on low grade or inferior produce,

With the return of the buyer's market , quality will mean even more
in transactions of fresh fruits and vegetables . Consumers have good
memories and with increasing volumes of produce on the market they will
be able to trade more and more where they are pleased , rather than
simply where they have been able to obtain produce .
Don't take cheoks from strangers .
During PACA's existence , scarcely a day has passed without its com
plaint against bad check artists .
Don't extend too much oredit .
The wholesale business is a fast moving trade , often temporary and

seasonal in duration . The act has largely restrioted the activities of
fly - by - nighters in the trade but over - extension of credit leads to de
April 1949 13
fault of payment . Of a total of over 41,000 complaints received since
1930 over 50 percent have alleged failure truly and correotly to account
and pay for either consigned or purchased goods .
Don't deal with chronic kickers ,
In the wholesaling industry a few individuals have gained them

selves the reputation of being constant kiokers because of their steady
complaints against all produce , regardless of its quality. Generally,
these complaints have only nuisance value but unnecessary headaches ought
to be avoided in any business ,
Don't hesitate to report a violation,

Finally , it is extremely important that defaults of contraot , fraud
ulent practices and other violations be reported without delay . Contact
may be made with the Washington , D. C. Regulatory Division office through
a direct Washington wire . ( Phone Republio 4118 ) PACA regional offices
may be oontacted in New York City , Chicago , Fort Worth , and Los Angeles .
TREE -RIPENED PRE - PACKAGED PEACHES

HAVE INCREASED CON SU MER APPEAL
Farm pre - packaging of peaches --after they have gained their tree
ripened flavor and before they have been bruised in bulk handling --oan
bring Louisiana peach growers additional profits and larger markets the
L.S.U. Agricultural Experiment Station says .
" Pre - packaged , tree -ripened poaches outsold three to two the same
kind of fruit displayed in an open bin even when the packaged variety
cost one oent a pound more ," J. M. Baker , marketing specialist of the
station , said in a bulletin entitled " Pre -packaging Tree -ripened Loui
siana Peaches " recently published by the Experiment Station . The bulle
tin covers marketing experiments conducted cooperatively with pr oduoers
and retailers in the 1947 and 1948 seasons .
" The object

object of the 1948 experiment was to learn whether tree
ripened peaches could be paokaged at the farm in North Louisiana and
transported 400 miles in a refrigerated truck to stores in Baton Rouge
and New Orleans and arrive in acceptable condition ," Prof. Baker said,.
"We already knew
know they could be pre -paokaged successfully in retail
stores . "
The fruit was pa ckaged in eight- and six - peach boxes with a trans
parent window through which consumers could see the peaches . A total of
1,702 two - pound pas kages shipped during the season arrived at the retail
store in highly satisfactory condition with an average loss of only one
peach out of 189 , The general quality of the fruit was unusually well
preserved and housewives liked the finer flavor , freedom from injury and
better keeping traits of the pre -packaged fruit .
Oklahoma Marketing Returns
Increased By RMA Work
By Leighton G. Foster
Major agrioultural marketing advances were made last year in Okla

hom as a result of work being conducted under the Marketing Service
Provisions of the Research and Marketing Act of 1946 .
Many farmers are getting a better return on their eggs . Fruit and
vegetable growers are being helped by marketing specialists and a spe
cialized market information service ,
A program to establish State grades and standards for grass and

legume seed has been started . A method for reclaiming pink bollworm
infested cottonseed for planting aided growers , Farmers were assisted
in treating diseased peanut seed so that it could be planted safely.
The Oklahoma State Board of Agriculture recently reported these
achievements , The work is being carried out by the board with State and
Federal funds , in cooperation with the Production and Marketing Adminis
tration , U. S. Departinent of Agriculture ,
The Agrioultural Extension Service , Agricultural Experiment Station,
Soil Conservation Service , State Seed Laboratory , wholesalers , retailers ,
chambers of commerce and farm organizations have helped to make the pro
gram funotion smoothly .
Here are the details of the accomplishments in Oklahoma :
Eggs Sold on Quality Basis
Until the State began a marketing program this year , eggs and poultry
were sold with little regard for quality standards . As a resulty Oklahoma
eggs and poultry have been discounted on the markets .
In 1947 the Oklahoma State Legislature passed a voluntary oandling

and grading law . Last year under the RMA program , the State was divided
into eight distriots , and a poultry and egg marketing specialist was
appointed for each of the areas , Candling and grading procedures were
demonstrated . Folders , posters , newspapers and radio programs were used
to advance good marketing techniques .
Pamphlets outlining the advantages of purchasing graded oggs were

distributed to consumers .
There 18 moh evidence of the suoce83 of the program. Al though

15
April 1949
candling and grading are voluntary , a fourth of the State's ege produo
tion already is being graded and candlad . Participating produoers are
getting a premium over non - partioipants .
Fruit and vegetable Marketing Aided
Little fruit and vegetable marketing information was available to

Oklahoma farmers when this program began . Often some shipping points had
too much produce while some receiving points had too little .
Under the project the posting of daily price quotations and summa -
ries of market conditions was started at all shipping points , large and
small .
Marketing specialists were stationed at the shipping places . These

men advised farmers concerning the best time to harvest , the correot
handling , packing and loading procedures and helped to find the best out
lets .
In addition , the specialists furnished grade labels at cost and

supervised the labeling process ,
The work on watermelons was especially successful. A million molons

were graded and labeled, The melons were followed through marketing
channels in northem and eastern States . It was found that these Okla
homa melons were among the best received in the terminal markets that
were studied .
Seed Standards Established
Oklahoma has started work on the establishment of State grades and

standards for native grass and small - seeded legumes . There are no Fod
eral grades for the grass and legumes .
The work involves the setting up of methods for determination of
the percentage of different types of seeds in one lot and for germina
tion tests for each kind of seed.
grades and standards are established,

It is believed that if seed
farmers will be encouraged to plant more grass and legumes . The farmers
will be assured , through the grades and standards program , of getting
good soed,
Damaged Cottonseed Reclaimed
Farmers were aided in applying a method for reolaiming cotton seed

that was damaged by pink bollworm . Pink bollworm broke out in eight
cotton - producing counties in southwestern Oklahoma .
The work was in the nature of a pilot study on the reclamation of

planting . Cotton seed moved from the infested area had
for planting.
cottonseed for
to be heat-treated before it could be sold. So samples of all ootton
Beed from the bollworm counties were tested for germination before and
after the 150 - degree heat treatments . Then tests were needed to learn
whether this heat - treated seed would germinate properly and be suitable
for marketing .
Through the germination tests , producers were able to find out what
soods from the area were satisfactory for planting. Whon bollworms In
fest areas in the future , the methods for testing seed germination that
were found to be mooersful in the RMA projeot can be used to solve the
problem of the damaged sood.
Peamt Seed Treated
A method for treating peanut seed unsuitable for planting , to make

it usable , was developed under the program .
Tests showed that moh low quality seed could be made suitable for
planting by treatment with merourio dust. Farmers and peanut Bhollers
were assisted in determining standard methods of treating send . As a
result the supply of planting seed was greatly increased .
MARKETING OF PREPACKAGED APPLES STUD TED :
The advantages and disadvantages of marketing apples in consumer

size packages are being studied in a large - scale Federal- State project
that got under way recently. The over -all objective of the work is to
inorease the salability of apples and the efficienoy of marketing theme
The study 18 being carried out with the assistance of shippers ,
distributors and retailers as well as producers , Cooperating agencies
are the Washington State Apple Commission , the Washington Agricultural
& periment Station , and the Marketing Researoh Branch of the Produotion
and Marketing Administration , U. S. Department of Agrioulture . The work
is being dono under the Researoh and Marketing Aot of 1946 and was roo
ommended by the RMA Deciduous Fruit Advisory Committee .
Transparent Film Bags Compared

Since late Deo ember , 62 oarloads of Winesap apples have been shipped
from Washington State to 21 oities in all sections of the country . Addi
tional carloads are being shipped this month . Of the 52 carloads , the
equivalent of 30 carloads were prepaokaged in to and 6 - pound flexible
transparent film bags. The rest of the apples were shipped in wooden
boxos which have been the standard containers for northwestern apples
for several year 8 . In most instances , each car had some of both types
of oontainers , Cost and salability studies also are being made on oom
meroial shipments of Washington Apples paoked in open -faoed oartons and
mesh bags . Through a postcard questiomaire consumers are asked to in
dioate what they believe are the good and bad features of the pa okage
they purchased ,
April 1949 17
USDA Develops Potent Insecticide
By E. 0. Umsted
New pyrethrum - like chemicals that kill insects have been made syn
thetically for the first time, USDA announced in Maroh . The chemical
make -up of the synthetio materials is almost identical with that of the
insact - killing principle of pyrethrum , This remarkable development ,
comparable to the synthesis of rubber , is the culmination of intensive
studies during the last 15 years by chemist F. B. LaForge and his a880
ciates of the Bureau of Entomology and Plant Quarantine .
One of the compounds was found to be six times as toxio to house
flies as the combined toxio principles of pyrethrum flowers .
The discovery may be the beginning of a way , through chemistry , of

providing new inseotioides of wide importance . But migh must be done
before enough of the material can be produo ed to appraise its usefulness
fully , and much must be learned in order to determine whether it can be
produced oommercially .
Pyrethrum , one of the mo at useful in seotioides , is obtained by
grinding the flower heads of a plant belonging to the same botanioal fame
ily as chrysanthemums . Both the finely ground flowers , known as insect
powder , and oil extraots of the flower are used to kill insects .
Pyrethrum Imports Deolining

This plant grows in widely separated parts of the world. The most
important commercial souroe of pyrethrum before the war was Japan , In
recent years our imports have come chiefly from Kenya Colony and the
Belgian Congo . Up to 20 million pounds of pyrethrum flowers have been
imported into the United States in a single year . But in recent years
imports have been considerably le 88 owing to the high cost of the mater
ial as compared with that of resently developed synthetio organio in
sootioides that have appeared on the American market .
Pyrethrum has been used widely as a household insootioide and for
control of a number of important agrioultural insect pests . During the
war practically all pyrethrum went into insecticides furnished the armed
services because of its remarkable effectiven 968 against disease - carrying
ins eots . It was the prinoipal ins oot killer in the 35 million aerosol
bombs which helped proteot our armed forces from malaria and other in
880t - carried di seases . An important property of this inseotioide is its
80-called rapid "look down A or paralyzing effoot on insoots . One of
1ts ahief advantages lies in the fact that it may be used with safety on
agriou Itural orops , in food establishments , dairy barns, and households .
About 2 years ago the structure of the toxio ahemical in pyrethrum

became known with certainty . It had taken 13 years of intensive effort
to reach this point . Now , after two more years of intensive laboratory
study by LaForge , M. S. Schechter , and their associates , the component
parts have been reassembled in proper order to make a chemical with in
sectioidal properties .
Preliminary tests with some of the new pyrethrum - like materials in

dioate that they are at least as effective as the pyrethrum materials of
plant origin . They have the same desirable quality of quick lock
down action . The chemical make -up of the synthetic materials indicates
that they will not break down and lose their insect -killing value as
quiokly as the natural material . Moreover , it appears that the toxicity
to higher animals will be found to be about as low as that of the plant
product .
Applications for patents to protect the invention have been filed

and a brief note outlining the method of synthesizing these compounds
will be published in an early number of the Journal of the American Chem
ical Society . A detailed description of all syntheses will be published
later .
HIGH MARKETING COSTS INDICATED BY STUDY OF TOMATOES

GROVIN IN SOUTH CAROLINA AND SOLD IN NEW YORK CITY
Tomato producers in South Carolina , marketing their orop in the New

York area , received 31,3 dents of the consumer's dollar spent for these
tomatoes in June 1948 , Marketing charges accounted for the other 68,7
cents of the toma to dollar .
These figures are presented in a recent report " Marketing South
Carolina Tomatoes in New York City, " made jointly by the South Carolina
Agrioultural Experiment Station and the Bureau of Agricultural Economios ,
U. S. Department of Agrioulture. The study was made with Research and
Marketing Act funds .
Tomato growers in the State , it is shown , received an average of

$1,68 per 30 -pound lug of green -wrapped tomatoes , and marketing charges
added another $3.71 to this amount by the time the crop reached oon
sumers . The average retail price for tomatoes in New York City, going
to market through the channels studied was $ 5.39 per lug .
Of the 68.7 cents of marketing charges included in the consumer's
tomato dollar , grading , paoking and assembly took 12.4 cents i inter -market
transportation , 8.9 cents ; cost of first sale in the market , 8,1 cents ;
and retail and wholesale margin 8 , 39,3 cents . Of the $3.71 of marketing
charges found in the retail price , the largest part or $2.12 went for
wholesale and retail margins . The retail and wholesale margins include
charges for ripening and repacking . Waste and spoilage caused by deoay ,
cracks , insect damage , and bruises were found to be one of the most
costly items in the ripening and repacking of green -ripe South Carolina
tomatoes . Observations of a repacking operation in di cated an average
loss from the se jau ses of 8 pounds per 30 - pound lug .
MARKETING BRIEFS :
Cotton . --Loans on 1949-crop American - Egyptian cotton will be avail

able this year at 90 percent of parity, the same level at which 1948 and
prior crops were supported . Loans are available to producers on a non
recourse basis through April 30 , 1950. Loans are available on cotton
classed as No. 5 or better in grade and 1 3/8 inches and longer in sta
ple length with appropriate differentials to reflect differences in
value resulting from quality and location .
Dairy Products --Prices of Class II milk (milk going to all uses
except fluid milk and milk drinks ) paid to milk producers in the Fall
River Lowell - Lawrence , Mass . , milk -marketing areas have been
and the
brought into line with those of the Boston market , respecting the amount
allowed to milk handlers for handling this milk . This was accomplished
through amendments to the Federal orders regulating the handling of milk
in the two areas , and is effective April 1 .... Milk producers in the New
Orleans milk -marketing area have been assured a minimum price of $ 5.56
per hundredweight for Class I milk ( chiefly fluid milk and fluid cream
in this market ) during the months April through August .... USDA announced
March 29 that it had taken emergency action to suspend a portion of the
provisions for pricing Class III milk as provided in the Federal order
regulating milk handling in the Cleveland milk -marketing area . ( Class
III milk in this area is that which goes into " surplus " milk uses such
as the manufacture of condensed skim milk. ) The suspension , requested
by milk handlers and producers , will lower the price of skim milk paid
to producers 80 as to encourage the utilization of larger quantities of
skim milk during the coming season of heavy milk production . The price
April 11 ,, reduces by 25 cents per hundredweight the
change , effective April
producer price for skim milk used in the manufacture of bulk condensed
skim or whole milk ,
Fats and Oils . --USDA is now offering a testing and certification

service , on a fee basis , for determining the oil content and oil quality
of flaxseed and soybeans . Testing for oil quality is for iodine number
and free fatty acid content of the oil . The testing service is addi :
tional to the grading service under the U. S. Grain Standards Act....

USDA purchases of 1948 -crop flaxseed as a price - support operation by the
Commodity Credit Corporation will be discontinued April 30 , 1949 ,
Fruits . --USDA has announced purchase by the Commodity Credit Corpo

ration of 15,825 tons of raisins from processors located in California .
Included were 15,600 tons of sun - dried Thompson seedless raisins at an
average price of $ 159.85 per ton and 225 tons of sun - dried Sultana
raisins at an average of $ 154.98 per ton .... Georgia peach growers have
favored by referendum vote a continuance of the marketing agreement and
order that regulates the interstate shipment of peaches grown in Georgiao
Continuanoe was favored by 94.5 percent , by number , of the produoers
voting , and by 95.8 peroent , by volume , of the production represented in
the voting .... California tree fruit growers have favored by referen
dum vote a continuance of the marketing agreement and order program reg
ulating the handling of fresh Bartlett pears , plums , end Elberta peaches
grown in California , Continuance was favored by 97.5 percent of the
Bartlett pear growers voting and by 96.9 peroent of the production rep
resented in the voting of the plum growers voting in the referendum ,
96 percent by number and 94.1 percent by volume of produotion repre
Bontod in the voting favored continuance . Elberta peach growers voting
in the referendum favored continuance by a vote of 92.5 percent by num
ber and by volume of production represented in the voting of 93.2 per
cent .
Grain .--Price - support programs for 1949-crop oats , barley , and rye
have been announced by USDA , For oats , support will reflect to pro
duoers equal to
a weighted average rate equal peroent of the oats parity
70 peroent
to 70
prio . 28 of April 16 , 1949. For Barley and rye , it will reflect a
weighted average equal to 72 percent of the barley and rye parity prices
28 of April 16 , 1949 , These rates reflect the approximate feeding value
of these grains in competition with oor .... Also announoed was a price
support program on 1949- orop wheat , computed on the basis of 90 percent
of the wheat parity price as of July 1 , 1949, the beginning of the mar
keting year . The program will be available to farmers from time of har
vest through January 31, 1960.... Another price- support program covers
1949- orop grain sorghums . The loans and purchase agreements will be
available from harvest - time through January 31 , 1950. Loans will mature
Maroh 31 , 1950, or earlier on demand , and holders of purchase agreements
must deolare in March 1960 (or earlier , if determined by the manager of
CCC ) their intentions to sell to CCC .... In the 8 months ending with
February 1949, exports of 0. S. grain and grain products totaled 11,
811,000 long tons , compared with 10,902,000 long tons for the same per
iod a year earlier.
Poultry.--On March 24, PMA urged broiler producers to review their

production and marketing plans for the next few months in view of ex
pected heavy marketings from farm flooks and uncertain storage demand
for broilers during this period ,
Broiler raisers , PMA said , are ourrently producing about 50 peroent

moro broilers than a year ago . Despite this large increase , prices to
producers have been relatively favorable , largely because of compara
tively small supplies of dressed poultry in cold storage . The price
situation is likely to become less favorable in coming months , USDA
officials also pointed out that no price support for broilers will be
available this year .
There may be market supply of chickens in the late

an excessive
summer , owing to the large broiler output and larger marketings of ohiok
ens from farm flooks . Farmers generally have stated their intentions to
raiso about 7 peroent more chickens this year than last .
Tobacco .-No change in the originally announced 1949 marketing
quota for flue - oured tobacco is contemplated , USDA announced in Maroh .
The original quota , proclaimed in August 1949 , resulted in a total allot
ment of 960,623 acres , an increase of about 5 percent over 1948 .
April 1949 21
ABOUT MARKETING

cently, may be obtained upon requesto To order , cheok on this page the
publications desired, detach and mail to the Production and Marketing
Administration , U. S , Department of Agriculture , Washington 25 , D. C.
Statement by Charles F. Brannan , Secretary of Agriculture , to press

conference regarding significance to United States Wheat Farmers of now
International Wheat Agreement , Washington D. C. , March 23 , 1949 . 2 pp
( Processed )
Statement of Charles F. Brannan , Secretary of Agrioulture , before
the House Committee on Banking and Currenoy , on Maroh 21 , 1949 , with re
speot to H, R. 2682 , a bill to amend the CCC Charter Act and the Critical
Materials Stookpiling Ast . 4 pp. ( Processed )
Statement of Charles F. Brannan , Secretary of Agriculture, before

the Special Suboommittee of the House Agrioultural Committee on March 22
1949 , with respeot to corn Boreage allotments and marketing quotes .
( Processed )
A talk by Ralph S. Trigg , Administrator of PMA and President of CCC ,

U SDA , at the Citrus Institute , San Bernardino , Calif . , Saturday , March
13, 1949 . 11 pp . ( Processed )
The Fats and Oils Outlook , by George L. Priohard , Director , Fats

end Oils Branch , PMA , at Urbana, ill . , Maroh 30 , 1949. 6 pp. ( Processed)
Publications
Federal - State Market News Seryioe Summaries of Weighted Average

Prioes Received at Auction Markets , by Varieties , by Weeks , by
Eastern Auótion
Markets, ( 1948 ) for : Apricots, ' 7 pp .; Neotarines, 9 pp .; Poaches
Pears, 18 pp.; and Plums , 31 pp . (PMA)
(PMA ) ( All processed )
U. S. Standards for Grades of Fruit Preserves or Jams ( CFR 7, Seo
tion 52.333 ) Effeotive March 14 , 1949 , ( PMA ) 17 pp . (Processed)
Market News Offices : Location , Commodities , Offioials in Charge .
PMA . March 1949. 9 pp . ( Processed )
Check List for USDA Standards for Farm Products , ( PMA ) January 1949 ,
Summary of Regional Cold Storage Holdings for 1948 and 1944-49 , Av
erage , by Months . (PMA ) Maroh 1949. 53 pp .
Comparative Qualities of Some Varieties of Cotton Grown at Texas
Experiment Stations , Crop of 1948 . ( PMA in cooperation with The Agri
22
ABOUT MARKET ING ( Contia)
cultural and Mechanical College of Texas . ) Maroh 1949 . 17 pp (Proo
essed)
Storage for School Lunch Food and Supplies . ( Bureau of Human Nu

trition and Home Economics and PMA ) (PA -63 ) March 1949 , 11 pp ( Printed )
Receipts and Disposition of Livestook at 66 Publio Markets , Calen
dar Year 1947. (PMA )" 9 pp. (Processed )
Receipts and Disposition of Livestock at 66 Public Markets , Calen
dar Year 1948 , ( PMA ) 9 pp .( Processed )
Tobacco Price Supports : Loans , Marketing Quotes and Aoreage Allot

ments . ( PMA ) March 1949. 2 pp . ( Printed )
U. S. Consumer Standards for Celery Stalks . ( PMA) Effeotive March

27 , 1949 .6 PP . ( Processed )
Marketing Imperial Valley Lettuce : Summary of 1948 Season , ( PMA )

December 1948 , pp . 24 ( Processed )
Marketing Georgia Peaches : 1948 Season . ( PMA) 14 pp. (Processed )
Benton Harbor Cash Market Fruit and vegetable Summary : 1948 Soa
son , June 1 to November 2 . 3 pp . ( Processed )
Wholesale Market Prices for San Francisco for Certain Fruits and
Vegetables : 1948 . ( PMA and California Department of Agrioulture ) Jan
uary 1948. 12 pp . ( Processed )
Flexibility of Operation in Dairy Manufacturing Plants . (Ciroular

No. 799 ) ( PMA ) September 1948 . 40 pp . ( Printed )
Rations Fed to Milk Cows : 1948 . ( Bureau of Agricultural Economics )
January 1949. 24 pp . ( Processed )
Feed Statistios , Inoluding Wheat and Rye . ( Bureau of Agricultural

Economios ) December 1948 , 44 pp . (Processed )
Milk Produotion on Farms and Statistics of Dairy Plant Products ,
1948. Bureau of Agricultural Economics ) February 1949, 28 pp . (Proo
essed )
Fruits and Nuts : Bearing acreage 1919-1946 , ( Bureau of Agrioultural

Economics ) CS-32 . January 1949, 39 pp. (Processed )
April 1949 23
MAY 1949
MARKETING
ACTIVITIES
JIUNN
A TO
DEP T
Washington 25, D.C.
IN THIS IS SUE :
HOG SELLING ON A ME RIT BASIS

By M. J. Cook .
.... Page 3
Individual lots of hogs mis t be sold on their merits if the best

porkers are going to bring top prices . Mr. Cook is in direct charge of
administering the Packers and Stockyards Act which assures this service
to producers .
THE WHY'S AND HOW'S OF WHEAT ACREAGE ALL OTMEN TS

By John C. Bagwell .
... Page 9
The subject of wheat acreage allotments is a burning issue out in

the wheat country . Mr. Bagwell , who heads up the Produo tion and Adjust
ment Division in the Office of the Solicitor, USDA , simplifies same com
plex legal language .
TECHNICAL RESEARCH TO BACK TOBACCO STANDARDS
By Frank B. Wilkinson Page 11
Tying what's old and new in research to commeroial tobacco standards

is the goal of PMA's new Wash
Wash ington
ington ,,D. C. , laboratory . Mr. Wilkinson
is in charge of the Tobacco Standards and Technioal Research Division of
the Tobacco Branch .
MARKETING IN ACTION Page 16
Marketing techniques must be judged by their results in practical

application , agreed representatives of the National Association of Mar
ke ting Officials attending the recent meeting of the organization's At
lantio States Division . This report summarizes some of the highlights
of the two - day session .
PRUNE MARKETING STUDIED
By Leighton G. Foster . Page 23
An aggressive merohandis ing program will be the California prune

industry's answer to lagging sales of its product, according to a recent
survey made by the California Bureau of Markets in cooperation with PMA .
Mr. Foster is in charge of the division servicing State departments of
agrioulture and bureaus of markets under the Research and Marketing Act
of 1946 .

U. S. Department of Agriou lture
Washington 25 , D. C. Issued monthly. Vol . 12 , No. 5
Hog Selling on a Merit Basis
By M. J. Cook
Top value in hogs sold for slaughter is dependent on conformation

and " finish " as well as weight . For that reason the practice of selling
hogs on a strict weight schedule does not meet the provisions of the
Packers and Stockyards Act which requires that livestock agencies furnish
" reasonable selling services" to producers . The Livestook Branch of the
Produotion and Marketing Administration interprets "reasonable selling
service " to mean that commission agencies must sell each lot of consigned
lives took on its merits under competitive conditions .
Selling individual lots of hogs on their merits instead of selling
all hogs within a given weight range at the same price is essential if
quality production is to be rewarded with premium prices , It is the in
tention of the Livestook Branch , through its Packers and Stockyards Divi
sion , to assure the producer that his hogs will sell on their merits-
and not be priced arbitrarily on weight classification only .
Selling Practices Surveyed at Yards
About two years started a special survey of hog
ago the Division
marketing at all super vised stook yards to find out whether commission
firms were handling hogs in conformity with the selling standards set
out in the Packers and Stockyards law . The results showed that scheduled
selling , or the selling of hogs with prio is based almost solely on weight
bracket classifications carefully defined by paoker buyers , was being
followed exclusive ly by commission firms operating at a number of mar
kets .
" Schedule selling" might best be explained in the words of a veteran

commission man who testified in an administrative hearing in 1942 :
The buyer OMA 8 out and tells what he will give us for certain
weights , and all you can do is weigh them according to the weights at
certain prices . Any school boy can sell hogs nowadays .
Since the adequacy of weight schedule selling had not yet been
raised in 1942 this commission man's opinion may be considered both
accurate and unbiased . In the testimony which followed he explained that
the only possible services coinnission firm salesmen could perform for
producers amounted to efforts to outsort packer buyers at the scales
and get inferior , or light , or heavy hogs , into a weight class ification
disco
carrying more favorable prices . As a result sales men were uraged
from proper selling practices .
In analyzing schedule selling
selling certain advantages for commission
firms , paskers, and dealers must be recognized . This system of handling
permits the rapid movement of hogs from selling agencies to pack ers or
May 1949 3
dealers , with a minimum expenditure of time and effort on the part of
commission firm salesmen , yard men and packer or dealer buyers ,
TO 8 ame extent schedule selling appears also to have certain ad
vantages to stockyard operators for it requires only a minimim utiliza
Hon of hog pon 8 , pens are required if hogs received at a
Few sales
public market , instead of being penned , sorted , shown to buyers , and
601d in pens , are promptly weighed to buyers under an arrangement where
by the prices are determined at the soales almost so le ly on the basis of
the average weight of the hogs in the different lots .
Some supporters of weight schedule selling have maintained that the
system benefits all parties involved , inoluding the individual consignor
of hogs . Their contention is principally that under weight schedulo
selling more producers can "top the market . " And it is true that under
this system nearly any producer can get the " top price " by watching the
weight of his hogs .
The fallacy of this situation is explained by the studies of the

Division . It holds that whenever hogs are sold and priced entirely under
some weight bracket classification the shipper who consigns an above
average , or outstanding lot of hogs , gete little , if any recognition
in the price he receives . Under schedule selling , if a shipper's lot of
hogs falls within a certain weight classification , he receives approxi
mately the same price as the shipper who has consigned medioore , or in
ferior hogs , which also fall within the linits of the same weight brack
et .
Slaughter Value Dependent on several factors

Hogs of different weights , usually barrows and gilts ranging from
1804 to 240 # , are generally more in demand for slaughter purposes than
are lighter or heavier weights , The average weight of hoge in a uniform
lot is properly one of the major price determining factors to which hog
buyers give consideration in making their bids . However , there are many
other fao tors such as finish , type , and amount of fill which are equally ,
if not more important than weight in determining actual slaughter values .
Imparti al tests have indicated that there may be a spread of as much as
$ 3 per hund redweight in the live value of hogs , which under a weight
schedule me thod of purchasing , would have gone over the scales to packers
at the 8 ame , or approximately the same , live per owt . prices . Under
schedule selling the premium carmission firm salesmen were able to ob
tain from pa ok er bu yers for above & verage , or outstanding , lots of hogs
sel dom exceeded 25% per owt .
Under schedule selling by weights , lots of hogs of comparable fin

ish , but varying a few pounds in average weight, have been purchased by
pa okers and dealers wth spreads in prices of as much as 50 ¢ per hundred
weight . A few pounds variation in the average weights of lots of hog 8
of comparable quality could not justify this spread in the prices paid .
Although peokers seem to attach great significance to average weights in
buying hogs , investigations have shown that in connection with their
purchases at certain markets , some buyers regularly bought mixed lots of
om
1
47
Hogs of all descriptions are brought in to the Nation's stookyards. It's the
intention of the administrators of the Packers and Stockyards Division , Livestock
Branch , PMA , "to assure the producer that his hogs will sell on their merits -- and
not be priced arbitrarily on weight classification only ."
May 1949 5
hogs ranging in weights from 160 # to as much as 300 # at top hog prices ,
from hog speculators who normally put the maximum fill in the ir hoge be
fore reselling them. At the same me.rkets , the same buyers deolined to
purchase similar
mixed lots of consigned hogs at corresponding pr 1008
direot from commission firm sale smen . If pa okers could afford to pur
chase mixed lots of hogs, varying in weights from 160 # to 300 # from
speculators at the scheduled price for top hogs , there could have been
no real basis for discounting shippers' hogs from 25 ¢ to 50 % per cwt. ,
or more , merely because the weights of the producers ' lots failed to fit
exactly in to the weight brackets the packers had established .
There is another feature of weight - schedule selling and buying which
may account , to some extent , for its apparent popularity with certain
packers and dealers . It is generally recognized that the use of scheduled
selling and buying has the ten den oy to le vel - off prices or bring about
lower quotations for lots of hogs sold at publio markets than would be
realized if such lots were sold competitively on a merit basis . Many
packers purchase a large proportion of the hogs they slaughter direct
from producers , either at their slaughtering plants or at country buying
station 8 . In conduo ting these direct purchases , packers usually pay
prio es based on differentials they have 88 tablished below quoted sales
prices of hogs handled at public markets located in the same trado terri
tory .
Lots Very in Slaughter Value

In order to bring about more wide -spread selling according to merit ,
there is urgent need for appropriate recognition on the part of commis
sion firm hog salesmen and packer bu yers that there are factors other the
weight , which make certa in lots of hogs more valuable for slaughter pur
poses than other lots .
Although the P& S Division completed its study of hog selling ser
vices late in 1947 it was necessary to delay action to establish merit
selling of hogs at publio ma rkets until early in 1948 . Such conditions
as the lack of sufficient hog sales pens ma de impracticable immediate
change from schedule selling to pen - to - pen selling on a merit basis . In
addition , the study indicated that some selling agencies were not
ploying hog salesmen who were fully competent to sell hogs on a morit
basis . As soon as substantial improvements had been made in these mar
kets they were advised that selling hogs on the weight schedule system
did not constitute reasonable selling services , as required by the P & S
act, and it must be discontinued . Since that time , registered selling
agencies have largely responded well , and hogs have been sorted , show
to buyers , and sold in their merits in the sales pene , at the highest
available bids .
In gene ral the results obtained so far have been enoouraging . At

two stockyards where the practice of selling hogs on weight schedules
was most firmly entrenched , the change to me rit selling has brought
favorable prices and volume of hog receipts .
reactions-- both as to hog
Shippers of lots of hogs , whioh are above average in quality , aro ob
taining more recognition of the extra slaughter value in such hogs in
the prices they receive than they did under schedule selling .
At other markets the results have not been uniformly so favorable .
Selling agencies at certain markets had followed the praction for years
of channeling hoge regularly to one or two dominant packers or dealers .
Upon the elimination of schedule selling, these markets experienced dif
fioulty in attracting additional hog buyers to their markets . After
having received little enouragement for several years in their efforts
to buy hogs at the so markets , buyers naturally were reluotant to return
to what , in the past , had boon pretty much " olosed markets . " Paokers
and dealers at publio markets are subje ot to gertain restriotions in the
oonduct of their buying operations , but under the Aot they also have
certain rights the most important being the right to bid in competition
with other bu yers on all consignments of li restook offered for sale . In
cooperation with sto okyard companies , and other market groups , packers
and othor possible outlots for hogs have been informed that , if they will
put buyers an markots La oking adequa te buying competition , the maintenance
of open market o aditions will be assured undor which all buyers can
buy competitively .
Switoh Achieved Cooperatively
Throughout the period of the study the P & S Dindaian had the whole
hoartod support and oooperation of many leaders in the livestook mar
koting industry . This cooperation on the part of loadors in the industry
mar de possible , with practically no oonfusion or misunderstanding , the
transition from might braoket Balling of hogs at the scales to merit
selling of hogs in the sales pas assigned to commission firms on the
da to ne odfiod It has been gratifying that sino , the change was mado
thero her been many converts to merit solling . Some of the strongest
proponents of weight sohodule selling , particularly among commission men ,
are now the most vigorous advocates of selling hogs on a merit basis .
Tharo ar taioations that some dealers and pa okers , who wmder
schedule selling pretty much dominated the hog divisions at certain mar
kets , are not too happy about the change ma do in selling methods . The
regular ahannal lag to them of the bulk of the hoge received at those
markets has been oa sidorably disturbed they now have to get out and bid
opealy against other brayer . The only commission man who has voiced
disapproval of the change , 80 far as has boer notod , stated his position
Tory frankly . Under so ho du le selling he stated ho normally finished
Mputting his hoga over the soulo " by noon or 1:00 o'clook , whereas under
the now ry tom ho frequently doesn't finish until after 3:00 Ololook.
He admittod , howevor , that he has notiood quite a few new names among
his hog shippors, profumably producers who formerly marketed their hoge
through diroot channels .
Elimination af sahedulo solling of hogs represents anly one of many
aotions taken in recent yoars under authority of the packers and sto ako
yards aot to bring about improvement in the services and faoilities a
vailable to livestook
of the regular supervisory work ,patronizing
producers marketing specialists station edAs ata part
publio stookyards. the
major Ulvestook markets are engaged regularly in observing and studying

the methods of rolling and buying being used by commd.8 sion firms, paok
ors , and doalors in their day- to - day market operations for the purpose
May 1949 7
of ascertain ing whether any unfair, deceptive , or disoriminatory practices
are being used.
On the basis or information developed by such studies , appropriato 1
oorreo tive astion is taken whene ver suoh practions are discovered . In
handling rato regulation under the Aot, proposed inoreases in yardage or
commission rate & are conditioned upon the elimination of existing inad
equacies in facilities or services . All supervisory , investigative , and
rate regulatory aotivities the Act authorizes are coordinated in such 1
manner as to accomplish its overall objectives -- that is , to assure live

sto ok producers of open competitive markets , reasona bly free from unfair
trade practices , where they can obtain reasonable stookyard and selling
services at rates which are fair and nondiscriminatory .
U.S. SAVINGS BONDS ARE EXCELLENT FARM RESERVES
The farm ing business needs stronger farm financial reserves- & back
log comparable to that built up and maintained by other well -managed
businesses . The farmer noods a strong reserve to protest his operations
and to safeguard himself and his family in such emergencies as drought ,
flood, orop failure , and outbreaks of livestook and plant diseases . Ho
needs
lower
to build up his holdings in U. S. Savings Bonds , in oase pricos go 4
His bus iness has even greater need than most , because if the
farmer loses his farm , he loses his home and his capital as well . Many
farm loaders and so on omists have pointed out the advantage of U. S.
Savings Bands as a safe place for this reserve .
Savings Bonds are baoked by the full ore dit of the United States ,,
the best security in the world . And they grow into more money , or draw
interest, at fixed rates . They are readily cashable , too . If priods in
*
general should go dow , the owner of Savings Bonds will have now bar
gaining power to take advantage of new opportunities .
Amounts of various Farm Products Required To Buy
A $ 1,000 Series E Savings Band at Cost Prio . of $ 750
1932 1939
Yearly Yearly 1949
Average Average February
Hogs, 200 lb ......... 60 20

112
Cattle , 1,000 lb ..... 18 10 4
Milk , swt ............ 586 446 173
Eggs , Cases 176 144 60
Wheat, bu .. 1,964 1,085 386
Corn , bu . 2,374 1,321 670
Cotton , bales 23 16 5
Tobaoco, lb. ........ 7,143 ... 4,871 ..... 1,631
Potatoes , bu . 1,974 1,076 436
Apples , bu . 1,229 1,172 253
Because of the possibility that acreage allotments may be pro
claimed for next year's wheat orop , there is widespread interest
in the applicable legal provisions. This article will answer
many of the questions being received by the Production and Mar
keting Administration relative to aoreage allotments for wheat . --
Edi tor
The Why's And How's Of

Wheat Acreage Allotments
By John C. Bagwell
The Agricultural Adjustment Aot of 1938 , as amended-- including amond

ments made by the Agri oultural Act of 1948 -- provides that supplies of
wheat may be adjusted when necessary through aoroage allotments . Briefly,
the adjustment is made as follows : The national acreage allotment re
quired to produce an adequate supply of wheat is determined . The na
tio nal allotm then apportionwho

ent . is The rly amo
edle faiten counties , and
ng States , the
individual far ms pla as a
n ds to preven
t productio n
and marketing of excessive supplies of wheat .
The Agricultural Adjustment Act of 1938 provides that the national
which will , on
acreage all otment for any orop of wheat be that acreage which
the basis of the national average yield of wheat , produce an amount ade
quate , together with the estimated carryover at the beginning of the
marketing year for such orop and imports , make available a supply equal
to a normal year's domestic consumption and exports plus 30 percent of
suoh oonsumption and exports . The national acreage all otment may not ,
however , be less than 55 million acros .
Marketing Year Defined

" Marketing year , " in the case of wheat, means a 12 -month period ex
tend ing from July 1 of one year through June 30 of the following year .
"Normal year's dome stio con su mption and exports" means the yearly aver
age quantity of wheat consumed in the United States during the preceding
10 marketing years and the average quantity of wheat exported during
such years , adjusted for trends in suoh oonsumption and exports .
A national acreage allotment for wheat becomes effe otive when offi
oially " proclaimed " by the Seore tary of Agriculture - and the Secretary
may proolaim an allotment evon though the supply situation is such as
not to require the proc lama tion of a national marketing quota . The
national aoreage allotment must be proclaimed not later than July 15 for
the next orop of wheat .
May 1949 9
The acreage
national allotment is apportioned equitably among
States , counties, and individual farms . The appor tion ment among States
is made on the basis of the acreage seeded for production of wheat
during the preceding 10 calendar years , with adjustments for abnormal
weather and trends in acreage during the 10 -year period . The apportion
ment of the State acreage among counties is made on the basis of acreage
seeded to wheat during the preceding 10 calendar years , with adjustments
for abnormal weather and trends
trends in acreage during the 10 - year period ,
in acreage
and for the promotion of soil conservation practices . The county acreagé
is apportioned among in dividu al farms on the basis of tillable acres ,
crop - rotation practices , type of soil , and topography, Not more than 3
percent of the county allotment may be apportioned to farms on which wheat
has not been planted during any one of the three marketing years pre
ceding the marketing year in which the allotment is made-- except that
any farm which received an allotment in 1942 may retain its status as
an " old " farm if certain designated war crops were produced thereon
during the war emergency years 1945 , 1946 , and 1947 .
Cooperators Eligible For Price Support
In the absence of marketing quotas , failure of producers to comply
with allotments established for individual farms involves no penalty
other than the loss of price support . By complying , the producer bo
comes a " cooperator , and , as a cooperator , is eligible for price
support ,
The Agricultural Act of 1948 , as it relates to price support after

January 1 , 1950 , states that " compliance by the producer with acreage
allotments , production goals and marketing practioes prescribed by the
Seoretary may be required as a condition of eligibility for price
support . The same legislation also provides that the minimum level of
price support to cooperators shall be 20 percent above what it otherwise
would be-- as long as it does not exceed 90 percent of the parity price
if acreage allotments are in effeot at the beginning of the planting
season ,
Aoreage allotments are designed to copewith " moderate " surpluses .

When surpluses are heavy , marketing quotas may be proclaimed. The subject
of wheat marketing quotes-- oon si derably more complex than acreage allot
ments -- will be covered in a subsequent article ,
NEW USDA BULLETIN EXPLAINS

AGRICULTURAL PRICE PROGRAMS
"Price Programs of the U. S. Department of Agriculture, 1949" --Mis

cellaneous Publication 683 -- explains in simple language price support ,,
section 32 , national school lunch , marketing agreement and order , sugar ,
consumer subsidy , and supply programs . Copies may be obtained from the
Information Branch , Production and Marketing Administration , U. S. De
partment of Agriculture , Washington 25 , D. C.
Technical Research To
Back Tobacco Standards
By Frank B , Wilkinson
Tobacco grades , sometimes as difficult to define as they are im

portant , are designated by our system of tobacco & ten dards . The differ
ences and dis tinc tions among some types are so elusive they nearly defy
definitim -- but in general the standards are a reliable yardstick of
quality , value , and usefulness in tobacco ,
Since value in a particular tobacco is primarily dependent on its
fitness for one of many specific uses in the tobacco industry , it is
imperative that the efficiency of official tobacco standards be main
tained at a high level . This can be accomplished only through research ,
careful analysis in the laboratory , and the development of a more defi
nite basis for field inspection .
In order that the necessary research can be done with the most mod
ern and efficient equipment available , the Standards and Technical Re
search Division , Tobacco Branch , United States Department of Agriculture ,
has been authorized to establish in Washington , D. C. , a small but mod
ern tobacco research laboratory .
Objectives Are Interrelated
The direct obje otives of this laboratory will be threefold : ( 1 ) TO

develop and standardize , in cooperation with Federal and State agencies ,
physical means of testing tobacco ; (2 ) to measure and establish interre
lations between ohemioal and physical properties of tobacco and quality
as it is commer oially recognized; and (3 ) to inoorporate these technical
laboratory findings into workable field standards ,
This laboratory , when fully equipped, will have facilities for

various phases of laboratory research and will consist of three separate
units : A tobacco inspeotion room, a physioal testing room, and a room
for chemioal analysis and other researoh investigations .
Performing the chemical research will be Dr. Max Phillips , Senior
Chemist of the Tobao o0 Branoh , while Mr. Mebane T. Lea , a practical and
experienced tobacco man , will con duot the physioal research investiga
tions .
The small but oompleto research faoilities will enable the Division
to perform a double funotion of cheoking against the efficienoy and ade
quacy of the present standards and , at the same time , probe new areas to
find a more definite basis for the establishment and applioation of to
May 1949 11
bacco standards . Tobacco appetites -- and the tobacco industry -- are con
stantly changing . The Division will keep an eye on these economic shifts
and relate research developments to commercial utilization .
Tobacco is grown commercially in the Western Hemisphere in regions

ranging from Canada to Argentina but no plant is more sensitive to soil
and weather conditions . Nearly every climate produces its own peculiar
type of tobacco with its own character , flavor , aroma, and usefulness .
In the United States alone are produced 26 different types of tobacco ,
each of which are divided in to 20 to 100 or more grades . In addition,
there are a number of other types of small production which are grouped
together as miscellaneous types .
Experience has demons trated
that only certain types or kinds of
tobacco can successfully be produced in any given geographical area and
frequently the area which will produce the desired kind of tobacco is
very limited . After years of experimentation producers are learning
what varieties and strains are the most suitable to their location . Ac
cordingly, for each area more efficient cultural practices , methods of
harvesting and curing and processing are being developed . Federal ,
State , and private investigators are adding their contributions to im
proving the yield and quality . Foremost among these are the scientists
of the Tobacco , Medicinal and Special Crops Division of the Bureau of
Plant Industry , Soils and Agricultural Engineering . Close cooperation
between this Division and other interested agencies is necessary in
order to keep the development of standards in line with the qualities of
tobacco produced from the newer strains and cultural methods .
Production Goals Have Dominated Research
Generally these efforts have been directed chiefly toward develop

ing different strains or varieties , new fertilization and cultural prac
tices , and improved methods of combating field diseases and insects .
All too frequently the results of these costly , extensive , and well
planned experiments have been judged largely on the basis of increased
yields . This is due to the fact that there has been no scientific basis
for determining or measuring the quality of tobacco ,
At present the most reliable index to quality is the Federal grades

as established for each type and as applied by practical and experienced
tobacco men . But frequently these grades do not adequa tely reflect im
por tant differences which influence the desirability of the finished
product for a speciric commercial use . Often differences will be very
slight and possibly not at all apparent at the time the tobacco is in
spected --only to show up readily in the final producto Undesirable fla
vor or aroma may be apparent only after the tobacco has been aged through
different and time- ccasuming stages of fermentation .
Extensive chemi cal investigations háve been made on tobacco , per
ticularly by Russian and German chemists , and much of these data has
been published , These data , generally speaking , throw little light on
the components which govern the quality of tobacco as it is commercially
recognized Unfortunately , this is due to the fact that many of the in
vestigators have failed to correlate their findings with the quality of
tobacco as it is commoroially recognized or with the preference of the
average smoker . Various attempts have been made to find me thods or
means of measuring the physical properties of tobacco but to date no one
has developed satisfactory methods of mechanically measuring the various
elements and degrees of quality on which the commercial value and uso
fu Iness of tobacco are judged , and on which official grades are based.
Because of the speed with which tobacco must be graded commeroially ,

physical measurements and chemical ana lys es at the auctions have rigid
limitations , In ti ma , it is hoped that suitable physical tests and
ahemical ena lyses can be developed which will serve as a reliable check
on the adequacy of the grades as applied in the field ,
North Light a " Must" for Grading

Tobacco inspe otion as now practio ed make s few demands so far as
equipment and facilities are con cerned but for laboratory purposes there
are two 888 en tials --air conditioning and north lighting . These have
been carefully provided for in the new in spection room in the Washing ton
Laboratory Aid conditioning as sures constenoy in moisture content .
Natural nor th light will vary in intensity but its steady quality will
not involve direot sun rays and their deceptive glares. Color is one of
the most important factors in the grades in some types , and these par
ticular tob ao cos have a flair for looking , and therefore , grading dif
ferently under different light . Artificial lighting , for this purpose ,
has not been accepted by the Division as yet, but experimental use of
fluorescent lighting in different degrees of intensity at different wave
lengths will be made in the laboratories in an effort to determine its
practicability .
In the tobacco inspection room the tobacco will be typed and class
ified under ear tomatioally regulated condi tions of humidity and tempera
ture control . Color studi es will be made in this room and in coopera
tion with the Eastem Regional Research Laboratory in order to establish
color distinotions of more definite boundaries . In a similar manner ,
the smoothness , maturity , body or thickness of the tobacco , width , and
finish will be determined . The degree of uniformity , elasticity and
por cent of injury present in a lot of tobacco can be analyzed , and the
findings applied against the standards which already have been estab
lished
controlled
Physical Tests closely
In the completely cork - lined physical testing laboratory air condi

tioning will be very ac cura toly controlled to provide ideal conditions
for making physical tests , Tests of porosity and moisture -holding ca
pa city demand control of air movement as well as of humidity and tem
perature . " Burn " tests as well as mechanical tests for determining
tensile strength will also be made here ,
When all the data pertaining to the physical nature of the tobacco
have been recor ded , the leaves will be pulverized in a "Wiley " mill to
convert the leaf tobacco into a handy form for storage and chemical in
13
May 1949
vestigation . Tobacco samples will be stored relatively dry in airtight
glass jars , clearly labeled as to type , group , quality , color , and other
specific information ,
Special Equipment Essential to Chemical Resear ah
The ahemical researah laboratory is fully outfitted with the essen -
tials of electrical and gas heat , compressed air and vacuum , and fume
hood for removal of noxious gases and vapors . Special equipment in
oludes such devices as an electrically heated "muffle" furnace equipped
with instruments whioh control and register temperatures and will be
used for the determination of the mineral oomposition of tobacco . An
other essential is an insu lated and thermostatically controlled oven
which will be used for determination of moisture content and for drying
precipitates and extracts isolated from tobacco ,
While physical tests and compositional studies of a preliminary

nature are now in progress , some of the faoilities and equipment has not
as yet been completely installed. The range of the work will expand as
the laboratories fulfill their purpose in the tobacco industry .
EASTERN SHORE STRAWBERRIES

TO BE FEDERALLY GRADED
Eastern Shore strawberries will be federally graded and inspected

this season according to a New Jersey Department of Agriculture release
based on a report in the trade papers . The release points out that deal
ers buying on a market are most interested in promoting this inspection
as a meens of facilitating movement of produce to their receivers , The
New Jersey release further states that it is much easier to sell inspect
ed produce as the tra de becomes more quality conscious . The change is
being made this year in an effort to compete successfully with straw
berries from other sections . Years ago there was inspection at most of
the Bastorn Shore markets , but during the war years the servioes were
relaxed Now bu yers are paying the cost of inspection for the first
year in an effort to get it started again .
GOOD FOOD BUYS OFFER

NUTRIENTS PIUS ENERGY
It isn't always the food with the most energy value that's the best
buy for your money , point out Iowa State college nutritionists . High
energy " straight " calorie foods are luxury items in the diet for they
furnish the body with little besides fuel , say the nutrition ists . Some
foods such as white potatoes , whole wheat bread, rolled oats and liver
furnish as many as six nutrients in addition to a good supply of calor
ies , while milk inexpensively supplies calcium , protein and riboflavin ,
in addition to fuel value .
Here is a summary of many of the highlights of the Annual Meet
ing of the Atlantic States Division of the NATIONAL ASSOCIATION
OF MARKETING OFFICIALS , held in Washington , D. C. , April 25 and
26 , 1949 , Representatives of 23 State departments of agriculture
and bureaus of mar kets attended .
Marketing in Action
Cropping up again and again in the Atlantic States Division of the
National Association of Marketing Officials was the theme that success
ful marketing is aggressive marketing. From John I. Thompson's welcom
ing address to Dr. H. L. Stier's final comments on practical marketing
research the accent was on action . John I. Thompson is Assistant Ad
ministrator for Marketing and Dr. Stier is the newly eleoted Chairman of
the Division and Chief of the Maryland Department of Markets .
The brand of marketing action embraced by the assembly , however ,
must be one soundly rooted in research as well as practical marketing
experieno e . In his statements on modernizing techniquess Mr. Thompson ,
while pointing out the need for keeping every marketing feature in pace
with the great soientific and technological advances of the day , stressed
that revisions should be made logically - progressively analyzing each
marketing step .
This approach was confirmed by Dr. Roger B , Corbett , agricultural

counsel of the National Association of Food Chains , in his review of his
notwenty - five Years ' experienoe in Farm Marketing. Emphasizing the need
for keeping marketing on a sound economio keel , Dr. Corbett pointed out
that marketing practio es must be adjusted to meet not only the physical
marketing conditions and the consu mer demands , but also the nature and
quality of the partioular crop to be marketed . Dr. Corbett said that
mar keting was a business in which costs as well as grade techniques had
to be considered
Con su mer Preferences Discussed
Consumer potentials as well as consumer preferences came in for a

good deal of comment in the discussions. Dr. Corbett brought up the issue
first by stating that in all markets the consumers could generally be
divided into three classes -- the 15 per cent who buy quality , no matter how
high the price; the 70 per cent who shop and who are quality and price
conscious ; and the 15 per cent who are absolutely price buyers . In under
taking any new marketing techniques this last 15 per cent has to be con
sidered to avoid the problem of prioing the produot out of reach of this
purchasing segment .
Fain Cesar , Chief , Marketing

Marketing and Inspection Division of Oklahoma
con sidered an appraisal of the average in come of the consumers - to - be
May 1949 15
served an important prerequisite to intelligent marketing . When the
consumer's average income is known , Mr. Cesar pointed out , then the mar
keting services , the price and quality levels can accurately be de
termined ,
Consumer Contacts Studied

Con su mer preference and consumerbuying potential were given con
siderable attention in the marketing disous sions, As Dr. Corbett and
Mr. McCallistor pointed out - direct contact with the con su mer is being
lost as the trend toward self service grows . Moreover , this problem is
magnified by the dearth of research at the retail or consumer level , ob
served by K. J. Mo Callister of the Marketing Research Branch .
In discussing the newer techniques in retail marketing , such as

self - service , Dr. Corbett said : "In this form of marketing , it is im
portant to realize that the housewife herself makes the final decision.
As marketing men we can play an important part in her decision , through
advertising , and sales promotion programs .
In discussing another new development in marketing --retail market

reporting ---Mr . K. J. McCallister of the Marketing Research Branch , ob
served that today the consumer acoepts or rejeots , or she buys in re
duoed amounts , This situation , pointed out Mr. Mo Callister , increases
the importance of studies at the retail level . Statistioson amounts
purchased , quality studies , and indioations of consumer reaotion are
helpful in adjusting prices and market supply, con oluded Mr. McCallister .
The need for inoreased knowledge at the retail and oon su mer level
has been 200 en tuated by the realization that many retail facilities
have not adopted the general marketing advances , Several marketing
studies covering the retail and consumer levels were reported . As
Leighton G. Foster, Chief of Distribution Researoh Division , PMA ,
pointed out , the objectivo of most of these studies has been to con
duct surveys de signed to probe immediate marketing problems , rather than

to solve marketing problems involving fundamental research .
Mr. Foster said that the policy in many of the pro jeots has been
simply to get factual evidence--" of getting pio tures of the problems on
the soreen to get a more general head -scratching among all those oon -
cemed with the matter . "
Separate Nature of RMA Stressed
" It is the intent of Congress that our marketing problems will be
solved ," said Dr. Joy , Assistant to the Administrator of PMA , in his
discussion af Activities under the RMA . Dr. Joy stressed that Congress
was anxious that RMA activities be kept separate and clearly identified ,
He reported that in committee hearings these suggestions had been recom
mended : ( 1 ) Activities must be coordinated ; ( 2 ) Results must be re
viewed frequently and cooperatively ; (3 ) Agencies must
must get their heads
together the determination of research needs ; ( 4 )
in Heads of State
agenoies must submit current and complete outlines of work performed ;
and ( 5 ) In reporting progress , the cooperative nature of the work should
be emphasized
State Pro jeots Outlined
Mr. Harry Westoott , Chief , North Carolina Division of Markets ,

said that in solving marketing problems his State had followed two gen
eral offensives : ( 1 ) to exhaust the local outlets first , and ( 2 ) to do
basis educational work with the retailers themselves .
Similar State approaches were outlined by Mr. Dan J. Baldwin , Chief

of the Kentucky Division of Markets , and Mr. Fain Cesar, Chief of the
Oklahoma Marke ting and Inspection Board , Mr. Baldwin's report pointed
up the value of cooperation at the State level . He said that Kentucky's
work wder the Researoh and Marketing Act has been generally similar to
the program which has been functioning in North Carolina . Mr. Baldwin
related that daily market reports -- extremely important to Kentucky's
broad network of livestook au otion markets--was the first service ini
tiated . In working out marketing problems , Mr. Baldwin considered two
techniques most important: First , to teach farmers how to grade and pack
a quality produot , and second , to obtain a report on the condition of the
product at the consumer level .
This seoond point touches on the orux of the services carried on in
marketing Oklahome. watermelons . Mr. Cesar pointed out the importance of
complete and advance weather reporting to the suocessful marketing of
melons . In Oklahoma this information , together with reports on market
con ditions , is made available da ily to all produsers and marketing agen
oies .
Oklahoma melons are carefully packed and sized, reported Mr. Cesar .
When quizzed from the floor about sugar content , Mr. Cesar replied that
high sugar content in Oklahoma melons is guaranteed providentially by a
" geographic iron belt extending from Cana da to Mexico , and Oklahoma is
in the very heart of this happy land . "
E. V. Cov ille , of the Virginia Division of Markets , reported on
three pro je ots covering poultry and eggs , hay and grain and a fruit tree
survey . Under the poultry and egg project the volume of officially
graded poultry is ino reasing . From February 1948 to April 23 , 1949,
over 5 million pounds were graded with 3 million pounds tagged with the
Virginia quality label . The hay and grain project consists of a survey
made of the trade in more than 10 counties to determine facts about the
volume , quality , demand and market outlets . Under the fruit tree sur
vey, approxima tely 3,200 growers have been contacted , and information is
being compiled by counties . The age and variety of the trees is tabu
lated along with the ao reage and conditions of orchards .
Special Topics Included in Program

Of partioular interest to the marketing officials were the six
speoial disous sions included for the ir direct bearing on marketing prob
lems. Among these was a talk by Harry W. Henderson , Information Branch ,
PMA , in which the importance of the interchange of marketing information
was stressed. During this dis ous sion the PMA publication , MARKETING
ACTIVITIES was cited by the assembly as the most likely medium for the
exchange of both Federal to State and State to State marketing informa -
Hon .
May 1949 17
Another of the special backgrounding topics was offered by Dr.
Bushrod Allin , of the Bureau of Agricultural Economics . In a discussion
of recent economic trends , Dr. Allin pointed out that while prio es of
agricultural were at uneasy levels and the trend was down
commodities
ward there were economic props now which did not exist in
important
other comparable post-war periods . Foremost among these are the farm
programs and plans , the high level of income and personal holdings in
securities , bonds and savings . ' It was considered by BAE that these will
forestall a greater than 10 percent decline in net farm income during
1949 , he reported . Dr. Allin then discussed the proposed farm plan of
Secretary of Agriculture , Charles F. Brannan .
New Poultry Grades Being Prepared
Two PMA programs dealing with the establishment of poultry grades

and consumer awarene 88 for moat grades were outlined for the assembly .
In introducing his discussion on poultry grading problems , Mr. W. Do
Termohlen , Director of the Poultry Branch , stated that it has been the
Department's experience that bureaucratio standards for grades do not
catch on in the poultry industry . The branch has found that industry
advisory committees with task force groups made up of industry repre
sentatives and staff members of State departments of agriculture and
markets , and the colleges , are essential and useful in the formulation
of poultry standards , Mr. Termohlen pointed out that two basic problems
are involved in establishing poultry standards : Getting the standards
established , and then putting them into effect , He stated that the task
force sub - committee on which three State marketing officials , Messrs . E.
J. Lawless , Pennsylvania Poultry Marketing Specialist , F. W. Risher ,
Florida Marketing Specialist for Dairy and Poultry Products , and Mr. Cesar
are members , has made great progress toward establishing new standards
and grades for live and dressed poultry .
George Wahl , PMA Livestock Branch , stated that one of the prime
objectives of the branch with regard to the ir grading programs was "to
enlist the house wife's aid in viewing the whole problem of market grades.
The Branch'8 preparations for this approach include an illustrated talk ,
"How Federal Meat Grades Help you Shop " , which was offered to the as sem
bly by Miss Catherine Nawn , of the Livestock Branch . She pointed out
that this presentation is intended to provide the housewife with the in
forma tion required to buy and cook moat with confidence . She emphasized
that the inspection stamp of the BAI does not deal with quality -- only
whole somene 88 . " It is the grade stamp of the Livestook Branch which is
based on confirma tion , fatness and quality -- that is, texture and firmess
of flesh -- which determines quality .
Retailers Are Trained
For those Statesinterested in promoting new and more efficient

marketing techniques at the retail level , the illustrated lecture pre
sented by Mr. Arthur E. Browne and Robert Andrews of the Fruit and
Vegetable Branch is direct evidence that this work is progressing on a
broad soale . Mr. Browne pointed out that his branch is attempting to
make clear to the retailers themselves , the critical nature of their
vital part in the marketing channel. As a means of carrying this out
the Department has entered into a contract with the United Fresh Fruit
and Vegetable Association , under which that organization agreed to con
duct courses of instruction in produce merchandising for retailers and
their employees in cities and towns throughout the United States . In his
remarks accompanying the illustrations , Mr. An drews explained how the
course not only helps retailers build more attractive displays , but also
to care properly for fresh fruit and vegetables and thus reduce loss
es and increase sales .
Transportation Trends Reported

William C. Crow, Director of the Marketing Facilities Branch re
ported that of the recent trends in transportation which affect market
ing the most significant are the increasing diversion to trucks of much
of the commodity transport originally hauled by rail , and increases in
the level of rates , Mr. Crow pointed out that available statistics for
a number of large wholesale markets show that 50 percent of fruits and
vegetables , 60 percent of eggs , 98 percent of live poultry , 66 percent
of cattle , and 70 percent of hogs were being brought in by truck .
Four reasons were cited as major causes for this shift :
1. The 50 percent over - all increase in rate levels during the past
2 1/2 years . It was pointed out that this was from a relatively high
base, for as Mr. Crow reported , the index of railroad rates was consid
erably above the commo di ties price index between the two world wars ,
2. Shippers were seeking to avoid the extra handling at each end

necessary with most ra il connections .
3. Truck transportation provides greater speed , for delays en route

are largely eliminated ,
4. Truck transportation is flexible . Destination changes can be
effected enroute, and contact with new markets and sources of supply can
be made readily .
Mr. Crow summarized by stating that transportation inefficiencies

raise costs to consume rs and cut producers ' re turns , and he suggested
several answers to this pressing problem . 1. More effi
agricultural problem
cien cy must be implanted in railroad operations , 2. Production of many
commo dities may be shif ted closer to markets to get within trucking
distance . Trucking operations as a release from higher rates , must
3.
be kept free from hampering regulations of routes and rates .
RIJA - Extension Work Outlined
Discussing the Extension Marketing Program under RMA , H. M. Dixon ,

of the Extension Service , USDA , reported that 40 States and territorial
extension services are participating in educational projects in market
ing und er the RIIA act . Mr. Dixon said that there are in operation 97
State projects falling under the three following general lines of work :
May 1949 19
Improving marketing methods , facilities and equipment ; con su mer educa
tion ; and developing new market information and basio data by market
areas . In addition , reported Mr. Dixon , a regional project is under way
in the New York City as a pilot demonstration in a metropolitan area.
Mar ke ting Agreements and Price Support Programs Discus sed
In leading the panel discussion on market agreements and price
support programs , Mr. S. R. Smith , Director of the Fruit and Vegetable
Branch , emphasized that the Department depends heavily on the advice and
cooperation of industry in carrying out the various marketing agreements .
Mr. F. F. Hedlund , Assis tant Direo tor of the F & V Branch , pointed out
that under the system of marketing agreements , at least two - thirds of the
producers and one -half of the handlers in a given area must approve the
plan before it can be put into effect .
The two other members of the panel were Mr. K. R. Slamp , Director
of Pennsylvania's Bureau of Markets , and Chairman of the Atlantic States
Division during the past year , and Mr. George Chiok , Chief of the Maine
Division of Marketing . In discussing marketing agreements , Mr. Slamp
pointed out that Pennsylvania is an important producer of potatoes and
eggs , and there fore vitally interested in marketing agreements affeoting
the 8e products . Mr. Chick observed that in Maine the operation of mar
keting agreements might be improved if they applied only to out - of - State
shipments . Mr. Chiok fur ther commented on the changes in Federal potato
grades to go into effeot this season .
Federal - State Relations Reviewed
In initiating the di soussion of Federal - State marketing relations

W. W. Oley said that one of the most pressing needs is to work out a
more uniform pro cedure with respect to transferring men from State to
State . He said that it is imperative that the 17 Eastern States now
operating under cooperative inspe otion and grading agreements with USDA ,
make their personnel moves through a central agenoy .
Commen ting on these cooperative agreements , Mr. M. W. Baker , Assis -

tant Director of the F & V Branch , pointed out that under our cooperative
agreements State agencies are giving more attention to shipping point
inspeotion than to inspection at terminal markets . There is a definite
need for more attention to inspection at the terminal points , reported
Mr. Baker . In conclusion , he observed that inefficienoy at any level or
point in the inspection system reflects on the whole service ,
Chief of the Fresh Fruit and vegetable Inspection Service , E. E.
Conklin reported that under cooperative agreement , slightly less than a
million cars of fresh fruits and vegetables were inspeo ted during the
1947-48 fis oal year -- an all time high . Mr. Conklin further observed
that the three most important commodities with respe ot to fresh tonnage
were : potatoes , citrus , fruit and apples , in this order . The quantity
of fresh citrus fruits in the future is expeo ted to be less , sinoe a
greater proportion is being proo e88 edo Mr. Conklin reminded the States
that continuous inspeo tion in processing plants is now available for
use in connection with the U. S. cons umer grades .
Under continuous inspection for consumer grades , potatoes , tomatoes,,
spinach leaves and celery stalks may now be marked with a shield reading
"Packed under continuous inspection of the U. S. Department of Agricul
ture , " and showing the proper U. S. grade , Mr. Robert Bier of the Fruit
and Vegetable inspeo
inspectio
tionn service stated that at the present rate of
preparation , all Bast Coast inspeo tion requirements should be met with
out any great difficulty .
Mr. Spencer Duncan of New York State , said that one of the problems
encountered in inspection service has been the inevitable changes with
respect to commodity purchases . In view of this , training programs in
volving lar ge numbers of personnel have to be modified or at least pro
moted circumspe o tly , said Mr. Duncan ,
Market News Developments
C. D. Schooloraft, Chief of the Market News Division , F & V Branch ,

PMA , observed that there is a great similarity between market news prob
lems in different areas . Pointing out that funds for market news ser
vice are somewhat limited , he said that the objective of the Federal
program is to provide the national aspects of the service , leaving it up
to the States to develop th 080 as poots of a State and local nature , Mr.
K. L. Phillips , in charge of market news service in New York State ,
called attention to the problems connected with joint supervision of
market new employees encountered by both Federal and State governments .
Discussing the growth of market news service , L. M. Davis , Chief of
the Dairy and Poultry Market News , PMA, U SDA , pointed out that 10 years
ago there were 8 or 9 offices in the field , Today , including the Fed
eral and State offices , there are 28 . Fifteen States are now joined in
cooperative agreements , said Mr. Davis , end he considered these cooper
ative features indispensable in conducting the program .
C. L. MoColloch , Livestock Market Nows Service , Livestook Branch ,

pointed out that lives took market news has not had the recent expansion
of the poultry and egg service , but the tendency is in that direction .
Mr. MoColloch stated that the relationship between livestock meat markets
and poultry and egg markets is becoming more generally recognized and
consequently there is a conoerted attempt to expand the dissemination
of the market news information now available . Often , too much can be
asked of market news , cautioned Mr. McColloch , but the program will give
produoers a ba sis upon which they can bargain . If the grading among
markets is kept uniform , the system can be improved , he observed ,
Expansion in Grain Market News
Mr. G , A. Collier of the Grain Market News Service recalled that
the Grain and Feed Market News began with simple price quotations and
amounts moved . Today producers and marketing men are demanding addi
tional information including trends , shifting demand, sources of supply,
direction of movements , world supplies, international influences , agree
men ts affeoting markets and similar data .
May 1949 21
Market Services Summarized
Although Mr. S. R. Newell , Deputy Assistant Administrator for Market

ing , PMA , spoke at many points in the two - day session , some of his remarks
seem particularly appropriate for the summary . Mr. Newell has over - all
responsibility for the Department's working relations with State de part
ments of agriculture and State bureaus of markets .
Speaking on the subject, " What's New in Marketing Services , " S. R.

Newell stated that in his opinion the outstanding development
development for the
long pull is a new outlook and an awareness of the significance of mar
keting services in dealing with agricultural problems . Mr. Newell com
mented briefly on his 25 year's association with the marketing officials
and paid tribute to the late Randall Ethridge , former Chief of the Divi
sion of Markets , North Carolina , whose type of service added prestige to
every State department of agriculture and to the standing of the organi
zation of marketing officials , Mr. Newell said that the recognition of
the need for more and better marketing services has been manifest in the
caliber of the men employed by the States for this work in the last two
years , and in the broader attitude of the States toward the program . Mr.
Newell commented favorably on the recognition among the State groups for
the necessity of obtaining harmony with respect to determining objectives
in the fields of activity .
Mr. Leighton G. Foster, in introducing a discussion of marketing

service projects under the RMA emphasized that it has been the function
of his office to assist States set up projects that will come under the
scopo of the act. Mr. Leo V. Card, of the Marketing Research Branch ,
PMA , called to the attention of the assembly the fact that results of re
search must be tied into ma rket service work .
Research Must Pay Off in Application

As final speaker , Dr. Stier reemphasized the importa noe of a volun
tary and dynamic working relationship between persons engaged in the
three major aspects of marketing work ; research , education and service .
Dr. Stier pointed out that in planning marketing projects in his Stato
Maryland -- these three functions are considered in that order . First ,
get the facts through research ; second , develop their practical applica
tion through exten sion education methods , and then put into effect a
marke ting servi ce am
progr to meet existing needs .
In tying together the highlights of the sessions, Dr. Stier said
that one of the most valuable services that can be rendered is assembly
of facts and figures reflecting important trends and relationships in
marketing farm products . He continued that the data must be put in a
form that is understandable and usable , if producers or handlers are to
use such inf orma tion as a basis for improving marketing practices .
In conclusion , Dr. Stier stressed the necessity for sorting out these
facts from opinions or conjectures if accurate decisions are to be made
by producers and hand lers concerned with the problems of when , where and
how to market their products . " The accuracy of facts , timeliness of rec
ommen da tions, and practical rather than theoretical application " he said,
" are essential to the success of any State marketing program .
Prune Marketing Studied By Leighton G. Foster
A recently completed study of the California prune situation indi

cates that, in general, wholesalers and retailers believe the industry
may be able to solve its ma for marketing problems through an agressive
merchandising program ,
The study was made by the Bureau of Markets of the California State
Department of Agriculture with the cooperation of the Produotion and Mar
keting Administration , U. S. Department of Agriculture , under the author
ity of the Research and Marketing Act of 1946 .
The report on the pro jeot, " Prune Marketing Survey , " states :
" Jobbers and retailers ... recognize the value of brand advertising
but believe that in addition prunes need a general sales development
program featuring food values , vitamin content , new uses , promotion in
hotels , schools , domestic soience olasses and other promotional activi
ties .
Dried Fruit Doldrums
" Several dealers expressed the idea that people had forgotten about
prunes and had ' lost their education ' for dried fruit generally ; and one
jobber mentioned this as a cause of the general , apathy toward prunes by
retailers .
" In several cases the opinion was expressed by dealers that there
had been few new developments in the prune business for 20 or 30 years ;
and while the impression by dealers may not be accurate , there was an
of ten - repeated 5.0.5 , cali on the part of dealers for prune industry
support in their endeavors to interest con sumers in prunes .
Although prunes sold quite well dur ing prowar days and in wartime,
the industry has had difficulty moving available supplies during the
postwar per iod,
In addition to disolosing the belief , generally speaking , among

jobbers and retailers that there is great need for a prune merohandising
program , the study indicates the need for price stability . Grooers said
pri oes were too high during the 1946-47 marketing season . It also was
reported that many persons who stopped buying prunes because of the high
prices in 1946-47 have not resumed purchasing them although prioes are
consi derably lower today than two years ago .
Another point brought to light is that oonsumers are di scouraged
from bu ying produots not readily located on the shelves . The study
May 1949 23
showed that prune 8 are a roving occupant in most store s -- some grooers
place them in the fresh fruit department , others with canned goods , and
some times they share the shelves with soap .
Some other findings of the survey show that although prine sales are
down , wholesalers and retailers still find this dried fruit a profitable
item , With the switah from bulk handl ing to the sale of primes in oon
sumer - size pa okages , prunes probably can be sold throughout the year
rather than on the present seasonal basis .
Further results showed that the quality of prunes is generally good ,
although confusion exists in the trade over what constitutes large ,
medium and small prunes . Demand for oamme d prunes is mixed , some deal
ers reporting sales are good while others say they are not .
Industry Surveyed at All Levels
California carried out this survey during the latter half of 1948
to determine the nature and possible solution of the marketing problems
faoing the prune industry . packers , and shippers of
First, producers ,
pru nes were interviewed . Then a representative of the State departament
of agrioul ture talked with brokers , prima ry distributors , jobbers ,
primary
wholesalers and retailers who handle prunes .
.
The representative visited 18 oities throughout the Nation . -

soutives representing 14,606 chain grocery stores - half of the chain
grooers in the country -- were interviewed .
Jobbers and officials of voluntary organizations selling to at least

18,500 reta il stores were also included in the survey . A large number
of retail grooers themselves were also quizzed though this group repro
sents only a small per centage of the 375,000 independent retailers in
the United States .
BUYING HABITS CHANGE
Consumers ' buying habits changed oonsiderably during the war period ,
reports a Louisiana extension servio e marketing release . Surveys show
that impul86 buying has been boosted by newer teomiques of displaying
food produots . As an example , it has been es ti ma ted that 57 percent of
the cheese bought by food shoppers is purchased on the spur of the mo
ment .
The State report observes that some of the present praotices of

marketing farm products will have to be adapted to fit the convenient
oon su mer packages of fruits and vegetables and other items whi ah are bo
ing made available . Produ o ers will need to market produots which can be
easily packaged and made into a good display . Those produoing aroas
which fail to change their mothods to meet the preferences of consumers
will find a deolining demand for their pro duots , cono ludes the report.
MARKETING BRIEFS :
Cotton . --All 1948 -orop loan cotton ( including American - Egyptian )

that is still under loan on August 1 , 1949, will be pooled on that date
by the Commodity Credit Corporation for producers ' accounts , USDA ha 8
announo ed. The loans mature July 31 , 1949, On Maroh 17 , loans were
outstanding on about 4,400,000 bales of 1949 - orop ootton from the 4 ,
400,000 bales of 1948 -orop cotton from the 4,865,000 bales placed under
loans to that date . Producer 8 may sell their equity in the loan ootton
or redoem the oot ton from the loan and then sell it on the open marke to
Dairy Produots, --USDA has announced an additional program to sup

port prices of milk going into manufao turing uses during 1949 at a nat
.ional average of 90 per cent of the parity equivalent price for manufao
turing milk, in accordance with the Agrioultural Aot of 1948. The sup
port operations will be carried out through of fers by USDA to purchase
nonfat dry milk solids , when necessary . In carrying out any necessary
support operations , USDA will offer to buy in any area during 1949, non
fat dry milk solids of U. S. Extra Grado at 12.25 cents per pound for
spray type solids and ll conts for roller type solids for delivery be
for o September l end at 12.75 cents for spray and 11.50 cents for roller
for delivery on and after September 1 .... USDA has recommended that a
Federal order bo 188 ued to regulate the handling of milk in the Lima ,
Ohio , md. Ik marketing area . The Federal order , requested by milk pro
di oers supplying the Lima market , would establish minimum prices to pro
duoers and require handlers to pay produoers the minimum price .....
During April and early May , USDA announoe d amendments to the Federal
or ders regulating the handling of milk in the following milk -marketing
areas : Duluth ( Min . ) -Superior (Wis . ); Dayton -Springfield ( Ohio ),
clinton ( Iowa ), Philadelphia , and Quad Cities (Davenport, Iowa , and Rock
Island , Moline , and East Moline , 111. ) .
Fats and 0118 , High laurio acid fats and oils and rapeseed oil
have been removed from import control by USDA . Specifically , the items
thus decontrolled were listed as rape seed oil , babassu nuts and kernels ,
babassu nit oil , copra and coconut oil , palm nut kernels , and palm
Lornel oil .
Fruits and Vegetables.--USDA has recommended adoption of a Federal

marketing agreement and order to regulate the handling of California
early potatoes . The program , which had been proposed by growers , would
cover all the State except two counties included in another marketing
agreement and order . It applies only to potatoes harvested and pre
pared for market between April 1 and July 15 of each year .... Potato
shipments for the 1949 season from Virginia and North Carolina will be
limited to U. S. No. 1 or better in grade .... The oitrus export program
was terminated May 7. Under the program , which became effective Decem
ber 1 , 1948 , benefit payments of not more than 25 percent of the f.4.8 .
prico were made to U. S. exporters of oitrus fruits to emo ourage ex
ports of fresh and proo essed citrus fruits and juices to certain Euro
pean countries eligible to receive aid und er the Foreign Assistance Act
May 1949 25
of 1948. The program was ended because freezes in California , Arizona
and Texas had reduced the supply .... In April , USDA reo ommended adoption
of industry - proposed amendments to the California -Arizona lemon market
ing agreement and order program , The recommended amendments provide
that regulations issue d for lemons grown in southern California may be
different from those issued for lemons grown in central and northern
California .... Also in April, USDA announced its acceptanoe , subjeot to
formal industry approval , of amendments to the Federal marketing agreo
ment and order program that regulates the handling of California - Arizona
desert grapefruit . The amendments provide for ( 1 ) separate regulations
for white and pink grapefruit , and
and (2 regulationn of grapefruit ship
(2 )) regulatio
ments by minimum standards of quality and matu rity whenever the seasonal
average price of grapefruit exceeds the parity level .
Grains.-- As of Maroh 31 , 1949 , 295,913,497 bu shel : of 1948 - orop
oorn and 23,270,176 hundre dweight of grain sorghums were under Commodity
Credit Corporation loans and pur oha se agreements .. Purchase by CCC of
23,300,000 pounds of flour (542,890 bushels of whoat equivalent ) for de
livery to Pacifio coast por ts by May 16 was announoed in April . Cumi
lative purchases of flour between July 1 , 1948 , and April 21 , 1949 , were
1,342,970,000 pounds .... Price - support programs recently announced on
1949 crops : Dry edible peas , 60 per cent of the comparable parity price
on July 1 , 1949, beginning of the marketing year ; dry edible beans , 80
peroent of the parity price as of September 1 , 1949; and soybeans grada
ing 0. S. No. 2 and containing not more than 14 percent moisture , 90 per
cent of the comparable price for all soybeans on September 1 , 1949 ,
Livestook.A supplemental export alloca tion of 73 million pounds

of pork for the April - June quarter of 1949 was announced by USDA in
April . About 66 million pounds of this was assigned to the United King
dom , which was allowed no meat under the original April - June allocation
announo ed March 30 . This allooation will permit maintenange of the
existing fresh meat ration in the United Kingdom during the period of
low domestio prodution . The remainder of the allocation , about 7 mil
lion pounds , is being allotted to other countries whose requirements for
pork during this quarter have not been met . All purchases under the al
location will be met through commercial trade channels .
Sugar .-- In the three through March , 1,412,058 short tons ,
months
raw value , of sugar were charged against the quotas for all offshore
areas , as compared with 1,007,854 tons charged against quotas for this
quarter a year earlier .
Tobacco .--Late in April , USDA announced that a series of meetings

would be held to help develop a standard policy on pla cement of inspeo
tion services for new flue - cured and Burloy tobacco markets , and for
additional sales on old tobacco The meetings are planned for
markets .
Danville, Va . , ; Durham , Aberdeen
Aberdeen , and Wilson , N.C .; Lexington and Hop
kinsville , Ky.; Florence , S. C .; Valdosta , Ga .; and Greenville , Tenn .
Dates and times of the meetings were to be announced later by State FMA
offices , To be oco growers , warehousemon , farm organization representa
tives , and others interested in to bao co are invited .
ABOUT MARKETING :
The following addre8808 and publioations , 1ssued recently , may be

ob ta ined upon request . To order , chook on this page the items desired ,
detach and mail to the Produo tal on and Marketing Administration , U. S.
Department of Agrioulture , Washing ton 25, D. C.
Addresses
Our All - America Agrioul tu re, by Charles F. Brannan , Seoretary of

Agrioul tu re , at a Pan - Amerioan Week luncheon , Washington , D. C. , April
13 , 1949 . 6 pp. (Proo essed )
Summary of remarks by Ralph S. Trigg, Administrator of the Produo
tion and Marketing Administration and President of the Commodity Credit
Corporation , U. S. Department of Agriculture , at the State Conference of
Cainty ACP Commit toomera , Richmond, Va . , April 21 , 1949.
Publioations:
Prio . Programs of the United Statos Department of Agrioul ture, 1949 .
(PMA ) March 1949. 62 pp. (Printed ) ( Soe p. 10 of this issue of Mar
keting Activities for further dosoription of this publication . )
Costs and Quality of Cotton Ginning in Relation to Method of Har
vesting and Type of Ginning Equipment, Yazoo- Mississippi Delta , Seasons
1946-47 and 1947-48 . ( PMA) April 1949 , 64 pp . ( Processod )
Rooommended Spe oification 8 for Standard Paokage 8 and Paoks for
Frozen Eggs . (PMA ) Marah 1949 . 24 pp . ( Prooosted )
Agrioultural Conservation : State Summaries of Practices , 1947 .
( PMA) March 1949 . 51 pp. (Proo e88ed )
Comparative Qualities of Lint and Seed for Some Cottons Grown at
Florence , S. C. , Crop of 1948 . (PMA and Clemson Agricultural College
1949. 15 pp. ( Processed )
cooperating ) March 1949,
Potato Prefereno es Among Restaurant and Hotel Buyers . (USDA )
MP -682 , April 1949. 92 pp. ( Printed )
Que stians and Answers Cono erning the International Wheat Agreement
of 1949. (Office of the Secretary ) April 1949. 13 pp . (Proo essed )
Farm Production , Farm Disposition , and Value of Principal Crops ,
1947-48 , by States . ( Bureau of Agrioultural Eoon omios ) May 1949, 41
pp. ( Processod)
Farm Production , Disposition , and Inoome From Milk , 1947-48 . (Bu
reau of Agrioultural Boonomios ) April 1949 , 12 pp. ( Processed )
Moat Animals --Farm Produ otion and Income, 1947-48 . ( Bureau of Ag
rioul tural Economios ) April 1949 , 8 pp. ( Processed )
27
May 1949
JUNE 1949
MARKETING
ACTIVITIES
PI
DE
Washington 25 , D.C.
1
IN THIS ISSUE :
WHEAT MARKETING QUOTAS AND THEIR LEGAL ASPECTS

By John C. Bagwell . ... Page 3
The law wheat marketing quotas is extremely complex , But
on
Nr . Bagwell , in charge of the Production and Adjustment Division , Office

of the Solicitor , clarifies all the technicalities .
FEDERAL BEEF GRADES HELP YOU SHOP

By Catherine A. Nawn Page 7
You can save yourself from many meat shopping worries if you become
familiar with the Federal grades for beef . Miss Nawn of the Livestock
Branch , PMA , describes the official grades you'll find at the meat
counters .
ALCOHOL FROM FARM PRODUCTS BETTERS GASOLINE PERFORMANCE

By E. 0. Umsted . Page 11
The gags about mountain flivvers running on moonshine may be true

after all . USDA tests show that small carburetor injections of grain
alcohol boost the performance of low octane gasoline . Researchers say
that the development may create a new outlet for farm surpluses and
wastes . Mr. Umsted is in PMA'S Information Branch .
THE EVOLUTION OF COTT ON SEED GRADING

By Marion C. Whitten ... Page 13
Cottonseed climbs from a ginning refuse to a valuable and versatile

producto This advance has brought with it the need for an official cot
tonseed grading system . Mr. Whitten or the Cotton Branch , PMA , outlines
the highlights in the development of this service ,
FROZEN CITRUS PUREES MAKE FINE DESSERTS
By Thomas McGinty Page 17
A new process that preserves the natural fruit flavor in frozen
orange and lemon purees is a big advance in the growing market for proc
essed citrus . Mr. McGinty is in the Information Division , Bureau of
Agricultural and Industrial Chemistry .
UTAH PRODUCERS BENEFITED BY RMA MARKETING SERVICES
By Leighton G. Foster Page 19
Utah producers of peaches , potatoes and apples have been aided di
rectly by a marketing program
program resulting in more efficient methods and
better quality produce for consumers . Mr. Foster is in charge of the
USDA division servicing State departments of agriculture and bureaus of
markets under the Research and Marketing Acto
MARKET ING BRIEFS O Page 21
ABOUT MARKETING Pago 23

Production and Marketing ter
Admin . permission .
In the May 1949 issue of MARKETING ACTIVITIES , Mr. Bagwell dis
cussed the manner in which supplies of wheat may be adjusted by
acreage allotments in the absence of marketing quotas . In this
article he describes the way supplies of wheat may be adjusted
through acreage allotments in conjunction with marketing quotas .
Wheat Marketing Quotas

And Their Legal Aspects
By John C. Bagwell
When farmers market more wheat than this country and foreign coun
tries can readily absorb , two things happen : ( 1 ) Supplies pile up with
a resultant strain on storage facilities , and ( 2 ) there is a heavy down
ward pressure on prices , which means that price support operations must
be broadened and intensified . The obvious solution to the problem of
too - heavy marketings is to reduce the volume of marketings So as to
bring them into line with reasonable domestic and export requirements .
What are reasonable domestic and export requirements ? The Agri
cultural Adjustment Act of 1938 , as amended , ( the AAAct ) says , in effect ,
that they are " equal a normal year's domestic consumption and exports
plus 30 percent thereof , less the estimated carry - over as of the be
ginning of the marketing year . . 11 This amount is known , technically ,
.
as the national wheat marketing quota .
Terms Are Defined
In this definition of the national wheat marketing quota , a " normal

year's dome stio consumption and exports" means the yearly average quan
tity of wheat consumed in the United States during the preceding 10 mar
keting years and the average quantity of wheat exported during such
years , adjusted for trends in such consumption and exports . 1 Marketing
year " means , in the case of wheat , a 12 -month period extending from July
1 of one year through June 30 of the following year . " Carry - over " means
the quantity of whe at on hand at the beginning of the marketing year ,
not including any wheat which was produced during the calendar year then
current , and not including any wheat held by the Federal Crop Insurance
Corporation .
The first step in putting a national marketing quota into effect is

the is suance of a " proclamation " of the quota by the Secretary of Agri
culture . Whenever it appears that the total supply of wheat ( the carry
over of wheat in the beginning of the marketing year plus the estima ted
production of the commodity in the United States during the calendar
year in which such marketing year begins) will exceed a normal year's
June 1949 3
domestic consumption and exports by more than 35 percent, the Secretary
is required to procla im a national marketing quota not later than May 15
prior to the beginning of the marketing year for which such quota is
proclaimed
Effective January 1 , 1950, the Agricultural

Aot of 1948 requires
that this proclamation be issued between
January 1 and July 1 of the
marketing year which begins in the next calendar year . If a national
marketing quota is to be proclaimed for the marketing year beginning
July 1 , 1951 , such quota will have to be proclaimed between January 1
and July 1 , 1950, This change in the law will also require a proclama
tion before January 1 , 1950 , if a national marketing quota is to be pro
ola imed for the marketing year begiming July 1 , 1950.
Requires Two - thirds Approval by Farmers

The next step is the referendum to determine whether the farmers
favor or oppose a national marketing quota for wheat . The AAAct provides
that the referendum shall be held between the date of the issuance of
the proclamation of a national marketing quota and June 10 preceding the
marketing year for which the quota is proclaimed . Approval by two - thirds
of the farmers
voting in the referendum is required to put marketing
quotas into operation .
Effective January 1 , 1950, the Agrioultural Act of 1948 advances
the date for holding the referendum from June 10 to July 25 of the same
marketing year . In view of this change , any referendum with respect to
a national marketing quota for the marketing year beginning July 1, 1950,
would have to be held before
before January th
1 , 1950, e date on which the
change in the law is effective ,
Proclamation Date Advanced
Thus , the effect of the amendments made by the Agricultural Act of

1948 was to advance the final date for proclaiming a national marketing
quota for the marketing year beginning July 1 , 1950 , from May 15 , 1950 ,
to December 31 , 1949 , and to advance the final date for holding the ref
erendum The proclamation of
from June 10, 1950, to December 31 , 1949,
a national marketing quota for a marketing year beginning July 1 , 1951 ,
and thereafter will have to be made not later than July 1 of the calendar
year preceding the calendar year in which such marketing year begins ,
and the referendum must be held not later than July 25 of the calendar
year in which the national marketing quota is proclaimed ,
Approval or disapproval of the national wheat marketing quota by

producers would have a bearing on the level of price support during the
marketing year beginning July 1 , 1950, Title II of the Agricultural Act
of 1948 provides that if the quota is disapproved by more than one - third
of the wheat producers voting in the referendum , the price support level
will be only 50 percent of parity . But if the quota is approved, the
applicable support level-- which will range from 60 to 90 percent of
parity, depending upon supply--will be increased 20 percent as long as
the level does not exceed 90 percent of parity .
Circumstances some times make changes desirable .
The AAAot , for example , makes it possible for the Secretary of Agri
culture to inorease or termina te quotas , when necessary , to ( 1 ) make a
vailable free of marketing restrictions a normal supply of wheat , (2 )
meet a national emergenoy, or ( 3 ) meet an increase in export demand .
In addition , if the total supply proclaimed by the Secretary with
in 45 days after the beginning of the marketing year with respeot to
which a quota was proclaimed is less than the total supply specified in
the original proclamation , the quota must be increased accordingly. And
if the July or August crop estimate of the Department shows that the
total supply as of the beginning of the marketing year is less than а
normal year's domestic consumption and exports plus 30 percent thereof ,
the Secretary is required to proclaim that fact by July 20 or August 20 ,
as the case might be , and thereupon quotas become ineffective .
Between July 1 and July 15 , 1949 , the Secretary of Agriculture is

required by the AAAct to proclaim a national wheat acreage allotment if
marketing quotas are to be proclaimed for the marketing year beginning
July 1 , 1950 . The national acreage allotment for any crop of wheat is
that acreage which will , on the basis of the national average yield of
who at , produce an amount adequate , together with the estimated carry
over at the beginning of the marketing year for such crop and imports ,
to make available a supply equal to a normal year's domestio consumption
and exports plus 30 percent of such consumption and exports . The nation
al acreage allotment, however , may not be less than 55 million acres .
Aoreage Allotments Based on Several Factors
The Secretary apportions the national acreage allotment among States
on the basis of the acreage seeded for production of wheat during the
preceding 10 calendar years, with adjustments for abnormal weather and
trends in acreage during such period, He apportions the State acreage
allotment among counties in the State on the basis of the acreage seeded
for production of wheat during the preceding 10 calendar years , with ad
justments for abnormal weather and trends in acreage during such period
and for the promotion of soil - conservation practices . And he apportions
the county aoréage allotment among farms in the county on the basis of
tillable aores , crop- rotation practices , type of soil , and topography .
Not more than 3 percent of the county allotment may be apportioned to
farms on which wheat has not been planted during any of the three mar
keting years preceding the marketing year in which the allotment is made ,
except that any farm which received an allotment in 1942 may retain its
status as an " old " farm if certain designated war crops were produced
thereon during the war emergency years 1945 , 1946 , and 1947.
The marketing quota for an individual farm on which the acreage
seeded is not in excess of the farm acreage allotment is the actual pro
duction of wheat on the farm . If the farm acreage allotment is exceeded ,
the " farm marketing excess " must be determined . The farm marketing ex
Dess is the normal production or the actual production , whichever is
smaller , on the acreage in excess of the farm acreage allotment ; but
such farm marketing excess may not be larger then the amount by which
June 1949 5
the actual production on the farm exceeds the normal produotion of the
farm acreage allotment if the producer establishes such produotion to
the satisfaction of the Secretary .
The farm marketing exce88 is important because , when marketing

quotas are in effect , the producer is subject to a penalty on the farm
marke ting excess equal to 50 percent of the basic loon rate on the com
modity applicable to cooperators ( those who comply with their individual
farm acreage allotments. ) The penalty may be postponed or avoided by
storing the farm marketing excess in accordance with regulations issued
by the Secretary of Agriculture or by delivering such excess to the
Seoretary for disposal . Until the farm marketing exce88 is stored, der
livered to the Secretary , or the penalty paid , the entire orop of wheat
is subjeot to a lien in favor of the United States for the payment of
the penalty , and each bushel of wheat marketed by the producer to any
person within the United States is subject to the penalty payable by the
bu yer who may deduct the penalty from the purchase price . The commodity
is regarded as " marketed " even though it is used on the farm . If the
wheat is stored , the penalty mist be paid by the producer at the time
and to the extent of any depletion of the stored wheat, except depletion
resulting from causes beyond the producer's control .
If the acreage planted to wheat on the farm is less than the farm
acreage allotment , the amount of wheat from any previous crop required
to be stored in order to avoid or postpone payment of the penalty is ree
quired to be reduoed by an amount equal to the normal production of the
number of acres by whioh the acreage allotment exceeds the planted
acreage . The stored amount is also required to be reduced to the ex
tent that the actual production on the farm is less than the normal pro
duotion of the farm acreage allotment ,
Nonallotment " Farms Exempted
A wheat marketing quota is not applicable to any farm on which the

normal production of the acreage planted to wheat is less than 200 bu
shels or on which the a orsage planted to wheat does not exceed 15 aores ,
And the marketing penalty is not applicable to wheat produced on any
farm olassified as a " nonallotment " farm if the acreage harvested there
on is not in excess of 15 acres or the acreage allotment for the farm ,
whichever 18 larger .
In addition to penalties on his farm marketing ex0888 , the producer
who plants more than the acreage allotted to his farm runs the risk of
forfeiting the benefits of price support . The Agricultural Aot of 1948 ,
as it relates to price support after January 1 , 1950, states that " com
pliance by the produs er with acreage allotments , production goals , and
marketing practices prescribed by the Secretary may be required as a
condition of eligibility for price support . "
The Agricultural Act of 1948 made other changes in the marketing
quota provisias of the AAA ta These changes relate primarily to cor
tain definitions of terms and to conditions under which quotas may be
proclaimed Since these changes are not effeotive until January 1 , 1950 ,
they will not affect any proclamation made for the marketing year be
ginning July 1 , 1950 .
Federal Beef Grades Help You Shop
By Catherine A. Nawn
Consumers who want to
get their money's worth when This stamp shows
they buy beef should become
familiar with tho Federal that the meat was
beef grades . Federally
graded beef is easily rec
Federally graded .
ognized by the purple grade
stamp it carries .
This purple grade stamp

vouches for the fact that
the beef has been judged for
quality by competent offi
cial meat graders . On a
carcass of beef the grade U.S
na me is in the form of a CHOICE
B
ribbon - like stamp clearly
CHOICE
printed continuously across
the major cuts so that it USDA
appears on every retail cut. US
The purple stamping fluid CHOICE
used to stamp the grade on US
the meat is a pure vegetable CHOICE
compound which generally U.S.
CHOICE
disappears in the cooking U.S.
process . CHOICE
U.S.
Also purple , but not CHOICE
to be confused with the
E20 .USDA
US- C
grade identification , is
U.S.
the round stamp used in
CHOICE
Federal meat inspection , U.S.
The round purple stamp shows CHOICE
that the beef has been in U.S.
speated and passed as whole CHOICE
some food . U.S.
CHOR.
Factors Considered
In determining the This stamp shows that

grade of beef carcasses ,
the Federal grader takes
the meat was Federally
into consideration three inspected and passed as
principal
Conformation ,
factors , namely : wholesome food .
finish , and
June 1949 7
quality . Conformation is the general shape or contour of the carcass or
wholesale cut ; finish is the degree of fatness on the outside and inte
rior of the carcass and the quantity of fat that lies between the mus -
cling ; and quality is deter
determined
mined by the texture , color , firmness of
flesh , evidence of tenderness , and the degree of marbling which is the
intermingling of the fat throughout the lean . The grader also considers
other factors in his evaluation of meat . The consumer , however , needs
to know only the proper interpretation of the Federal grade as assigned
to the beef .
Different Grades Suit Different Cooking Needs
The U. S. official grades of beef that are usually available to

consumers are Choice , Good , and Commercial , In order that consumers may
know , by merely looking at the grade stamp, the quality of the meat they
are getting , brief descriptions of these grades of beef are as follows :
CHOICE - Beef graded Choice is the highest quality usually avail

able in retail shops . It has all the characteristics that produce high
palatability and a thoroughly satisfactory eating quality in meat . The
lean is smooth and velvety and ranges in color from a pale to a deep red,
the finish or the fat covering is abundant, firm and flakey , the bones
are red and porous indicating youth in the animal, and the " marbling " is
quite extensive .
Rib cuts of the Choice grade are noted for their flavor , savori
ness , and tenderness and they are most desirable as oven roasts . Beef
of this grade may be cooked to varying degrees of doneness , But many
co nsu mers feel that a rib roast of the Choice grade is the finest when
cooked to the rare or medium rare stage with a nicely browned exterior,
and a cut slice that is rosy red with an abundance of red juice . Also
rib and loin steaks of this grade will assure great satisfaction for they
are consistently tender , juicy, and very rich in flavor . Other cuts of
this grade from the chuck , as well as the round , when properly prepared ,
will have a well - developed flavor and will be juicy and tender .
GOOD The characteristics that qualify beef for the Good grade are
much the same as those of the Choice grade except they occur to a lesser
degree , The Good grade is most popular with consumers because the cuts
generally are leaner . Housewives will usually have greater opportunity
to buy Good grade at the retail market, for it makes up the largest per
centage of federally graded beef .
COMMERCIAL Another popular grade of beef is Commercial . Beef ele
igible for the Commercial grade may be the product of young animals that
do not have enough finish to qualify for the Good grade , or it may be
prod uced from more mature animals , There may be a wide difference in
the appearance of identical cuts of this grade , but consumers , may choose
their cuts according to their preferences by relying on the Federal grade
stamp as their index to quality .
Steaks and roasts from this grade may not prove to be as tender nor
as flavorful as those from the other two grades , but normally if the beef
8 larketing Activities
18 cooked with moist heat at low temperature for a longer period of time
than me at of the higher grades, it will be quite acceptable . Commercial
grade beef furnishes a large amount of lean meat at an economical price .
Federal Graders Aid Large- Scale Purchasing
Federal meat graders are providing a valuable service to buyers of

meat other than individual consumers . Officials and other purchasing
agents for steamship lines , railroads , hotels , and Federal, State , city
and county institutions find in the meat- grading service a direct aid in
buying meats that suit their particular needs . Definite specifications
based on the official standards may be prepared, and under this proce
dure purchase8 are made on the basis of competitive bids or contraots
that require the meats to be graded and identified by Federal graders as
conforming to the purchasers ' specifications . The many purchasing agents
for public and private institutions who are using the service
service report
that it results in soon omy and convenience ,
Grading Service Summarized
An understanding of the Federal meat grades is a great help to the

individual con su mer as well as to the large- order purchaser , and for both
the grade stamps take away much of the uncertainty of buying .
To make meat buying simpler , it should be kept in mind that:

(1 ) The three grades of beef identified by Federal grade usu
ally available to consumers are Choice , Good , and Commercial .
It is important to the homemaker to remember that meat of all
grades is excellent for some specifio purpose , if it is pre
pared properly .
(2 ) The round purple stamp shows that the meat has been in
spected and passed as wholesome food . The purple ribbon stamp
rimning the length of the carcass and appearing on all princi
pal retail outs specifies the quality .
(3 ) Retail markets can readily obtain federally graded meats

if cansu mers insist on such meats in their purchasing .
In addition to beef , other meats such as calf , real , lamb , and mut
ton are also graded by the Federal service . In general , the three grades
of these meats available to consumers are the same as the grades out
lined for beef .
Letter Designations Are Not Federal Grades

Frequently oonfusion arises between official grade designations
such as Choice and Good , and letter designations There have been in
stanoes in which beef has been labeled Grade A or AA and the implication
has been that it was federally graded . This is more than misleading --it
is incorreot , for letter designations have never been used in Federal
me at grading . The three U. S. official grades of beef generally found
June 1949 9
in retail stores are Choice , Good and Comnercial . These grades provide
consumers with a wide range of quality in meats which have many dif fer
ont us 08.
The consumer who wants to become an efficient buyer should keep in

mind the benefits of the Federal grading
grading service
service . By consistently se
le oting meat according to official grades , as indicated by the purple
stamp, the homemaker will be assured of getting the quality she wents .
PMA CORN RESEALING PROGRAM

OFFERS OPTIONS TO PRODUCERS
A oorn resealing program under which produoers oan , not later than
October 31 , 1949 , (1 ) extend their
loeng on 1948 -crop corn to mature
July 31 , 1950 , and ( 2 ) put purchase agreement oorn under loan to mature
July 31 , 1950, in areas where both purchase agreements and loans are
available was announoed May 31 by the Produotion and Marketing Adminis
tration , U. S. Department of Agriculture .
Farmers who extend their loans or put the purchase agreement corn
under loan will be entitled to a storage payment of 10 cents a bushel if
the corn is delivered to the Commodity Credit Corporation at maturity of
the loans .
The program is designed to slow down the excessive movement of oorn

off the farms that would result from heavy deliveries of loan and pur
chase agreement corn to the CCC this fall . Through March 1949, approxi
me te ly 243 million bushels of 1948 -crop corn had been put under loan and
agreements.. Farmers in most areas
52 million bushels under purchase agreements
have until June 30, 1949 to put oorn under loan or purchase agreement ,
and by that time the total may be close to 500 million bushels .
Producers Have Three Options
Under the original program , loans on 1948 - crop corn become due on
September 1 , 1949. The May announcement gives farmers the option of
paying off loans at that time and redeeming the oom , delivering the
oor to CCC , or , not later than . October 31 , 1949 , extending the loans to
mature July 31 , 1950 .
The original program also provides for purchase agreements under
which the CCC agrees to buy , during the 30 - day period immediately follow
ing the maturity date of the 1948 loans , any quantity of corn up to the
maximum covered by the agreement at applioable loan delivery rates . The
May 31 announcement gives producers in areas where loans are available
the option of selling purchase agreement corn to CCC , of keeping it , Or
putting it under loan by Ootober 31 , 1949, at the 1948 loan rates , so as
to mature July 31 , 1950. In areas where only purchase agreements and no
loans are available , the sales or retention period is the same as that
in the original program ,
Alcohol From Farm Products
Betters Gasoline Performance
By E. 0. Umsted
On two roomt trips of nearly 1,000 miles each , a USDA test truck
ran suo cessfully on relatively inexpensive low - octane gasoline fortified
by periodio injections of aloohol and water . Results of these tests
indioate that use of a loohol in motor vehicles is potentially a vast new
market for surplus grains .
The USDA researchers report that on the first trial the truck op
erated as well on 58 - octane gasoline plus alcohol - water injection as it
would have on regular gasoline , which has an octane rating of 74 or bet
tor . The alcohol -water mixture ( 85 peroent alcohol , 15 pe roet water )
was injeoted automatically into the truck carburetor when the engine was
under heavy load , as when it was olimbing hills , aocelerating in traffio ,
or pa ssing other vehioles , The engine gave knook - free performance even
with the low - o0 tane gasoline.
For the second trial run , the engine of the truck was equipped with
a high - compression head (8.25 - to - l comprossion ratio ). This made it
necessary to supply the engine with fuel having an effective octane rat
ing of at least 85. On this trip , 74 - octane gasoline plus alcohol - water
injeotion was used satisfaotorily.
Outlet for Farm Surpluses and Wastes
Because of the tremendous consumption of motor fuel s --more than 80

million gallons a day-- general adoption of aloohol - water injection could .
open up a wide new outlet for sur plus grains and other agricultural com
modities . Alcohol can be made from a variety of these products . The
usual method is by fermentation of wheat , corn , and other crops . USDA
soientists in charge of the injection experiments are working to lower
the cost of alo ohol and also to inorease the value of feed byproducts
produced by this process . They are also deve loping methods for convert
ing oorncobs and other farm residues to alcohol ,
The researchers point out the potential importance of alcohol - water

injection in extending the country's supplies of petroleum . Alcohol is
equivalent to 100 - ootane fuel, and it can be used to increase the effeo
tive og tane ratingwor anti -kook quality -- of gasoline. Its use makes
possible a wider utilization of low -o0 tane fuels , which are cheaper and
can be produced from petroleum in greater quantity than high - octane gas
oline ,
The road tests were conduoted by USDA's Bureau of Agricultural and
June 1949 11
Industrial Chemistry , and financed under the Research and Marketing Act
of 1946 .
The truck used in the tests was a standard model fitted with a
small tank under the hood to hold the alcohol - water mixture . A simple
device inje ots the mixture , as needed , automatically into the carbur etor .
In je ction is controlled by engine-manifold vacuum , which aocurately re
flects the engine load ,
Fuel consumptiou for the first 938 -mile trip was 106.7 gallons of
58 - octane gasoline , plus 8.85 gallons of the alcohol - water mixture . The
truck averaged 8.8 miles to the gallon of gasoline -- about normal for
this type of vehicle , which weighed 10,300 pounds when
when loaded
loaded for the
trip . As these figures indicate , l gallon of the mixture was used for
every 106 miles of driving . The experimenters report that the mixture
was being injected about 20 percent of the time the truck was on the
road, and that during this time the mixture amounted to about 30 percent
of the fuel consumed . Because the alcohol served both as fuel and to
increase the anti - knock quality of the gasoline , there was a saving in
gasoline consumption estimated at about 6 percent .
Crude Petroleum Saved
But the real fuel saving is shown by the fact that every gallon of
aloohol and water used permitted the engine to burn 12 gallons of low
grade gasoline ( 58 octane ) in place of 12 or more gallons of ordinary
gasoline ( 74 ootane ) . In producing gasoline from petroleum, the yield
decreases about 1 percent for every inorease of l octane number in the
refined gasoline . On this basis , use of 58 - octane fuel rather than fuel
rated at 74 ootane represents & saying of about 16 percent in terms of
crude petroleumo
on the second trip , with a high - compression head on the engine , it

was found that each gallon of the mixture allowed the use of 21 gallons
of 74 - octane fuel in place of the 23 gallons of 85 - octane fuel that would
have been required if the mixture had not been used .
During at least 80 per cent of normal driving --when a car is running
on the level and up to about 40 miles per hour -- the engine will operate
satisfactorily on gasoline of 50 oo tane number or even lower . Since
ordinary gasoline is 74 octane of better , much of its anti - knock quality
is in effect wasted . But when the engine is working hard , a relatively
high - octane fuel is required . Alcohol -water injection can provide the
necessary anti - knock quality when needed . It will increase the effec
tive octane number of gasolines by as much as 20 ootane units in many
ins tano es . In other words , alcohol - water inje otion can be used in
present - day Qars with straight - run or low - octane gasoline to give the
performance of regular or premium - grade gasoline , and it can be used with
regular gasoline to give super - premium gasoline performance . This is
particularly important in view of the current trend toward high - compres
sion engines , which require super -octane fuels . With alcohol -water in
jection , the oo tane requirements of the se engines can be satisfied with
the ordinary automobile gasoline s available today.
The Evolution of Cottonseed Grading
By Marion E. Whitten
Cottonseed , once a nuisance to ginners , has become one of the major

cash crops of the South and Southwest . Playing a substantial role in
the healthy growth of this re la tively new industry has been the develop
ment of a sound cottonseed grading system . But the evolutionary process
that both the industry and the grading system have undergone to date is
by no means completed ,
Cottonseed orushing got off to a slow start shortly before the

Civil War , and as late as 1875 only 5 percent of the estimated production
of cotton soed was being crushed for oil . No refining process had been
developed at that time and outlets for the inedible product were limited ,
the oil being used principally for soap and to a lesser extent as a fuel
for miners ! lamps . Because the demand was small , prices of cotton sood
were low -- 80 low , in faot , that cotton produoers generally abandoned at
the gins all but the seed required for next year's plantings . There the
seed would accumula to until gimers were forced by law to dispose of it .
Commercial Utilization Expanded
had changed markedly about the turn of the century .

The situation
Proo esses had been developed for bleaching and deodorizing raw cottonseed
oil , and substantial quantities of the refined produot had appeared on
grocers' shelves in the form of cooking oil , shortening , and oleomarga
rine . At the same time , chemists were beginning to discover many addi
tional non - food U8 es for cottonseed oil . The increased demand had
caused prices to advance sharply and mills had begun to examine more
critically the quality of their raw material ,
The mills had good reason to worry about the quality of their raw
material . In 1899 it was a common practice of ginners to use their seed
piles as general refuse dumps . This mixture of tin cans , papers , oinders ,
and seed they shipped to crushers under the general designation of " oot
tonseed That year , largely because of such practioes , the Interstate
Cottonseed Crushers As soo ia tion -- an organization established to expand
and improve the cottonseed oil industry -- adopted two rules to govern the
purchase of cottons eed . These were :
Section 1. Prime cottonseed shall be clean , dry , and

free from dirt , trash , and hulls ,
Section 2. Cottonseed not coming up to the requirements

of prime seed shall be considered off seed . Off seed or dam
aged seed shall be settled for on its merits and comparative
value as against standard prime seed .
June 1949 13
Adoption of these rules brought some improvement . But by 1910,
with more than 70 pero ent of United States cottonseed produotion being
processed , cottonseed oil mills found that the rules adopted in 1899 were
still inadequate . So the mills appealed to the U. S. Department of Ag
riculture for assistance in the establishment of values for " off seed "
and requested that the Department , in some way , prevent the inclusion of
foreign matter in seed delivered to oil mills ,
As a result of oonferences with the Bureau of Markets and Rural

Organization , a method of judging and measuring deterioration was pro
posedo This was known as the " out and count " method , which was handled
as follows : A sample of 100 seed was taken at random and cut open . Each
kemel that was discolored was laid aside and the total counted as a
percentage of deterioration . Rates of discount were established from
time to time . An additional rule was provided for reducing the weight
of a shipment by the weight of foreign matter in excess of 1 percent .
Grades Revised in 2015
This rule , however , of unfair competition , for ,

opened a channel
in order to curry the favor of a large seller , a mill would overlook the
presence of foreign matter and ginners found it more economical to ship
trash with the seed than to sort out the trash and ship the seed sepa
rately. In other respects , too , the "out and count " method of discount
ing cottonseed was uns atisfactory . The industry recognized that the
basis of discounting was inaccurate and misleading and that samples drawn
and portions used for analysis were not representative . Accordingly ,
the Interstate Cottonseed Crushers Association in 1921 began a restudy
of the grading rules and appointed a committee of chemists to investi
gate the question of damaged seed .
But little progress in developing an official system of grading
cottonseed was made until 1924 , when the Cotton Marketing Division , then
in the Bureau of Agricultural Economics , undertook a study of the subjecto
By that time the industry had become aware of the fact that , contrary to
previous opinion , the price for seed should be based on other factors as
well as average oil content , and that grading should be broadened to in
oludo more than an evaluation of the degrees of oil deterioration . Oil
is still considered the dominant factor in the price of cottonseed , but
the value of cake and meal recovered per ton of seed is a clos e second
to that of oil and , in some instances , the value per ton has been greater
than the value of the oil recovered per ton of seed.
The Cotton Marketing Division's study revealed a large number of
variables in the composition of cottonseed not theretofore reported
The residual fiber content , moisture content , protein content , oil con
tent , end kemel content were found to vary greatly. For example , the
oil content of different lots of seed were found to vary by as much as
180 pounds of oil per ton of seed and the protein content by more than
200 pounds , representing variations in value of more than 40 percent .
Price studies showed that the ratio of the value of a pound of oil to a
pound of 41 per cent protein cotton seed cake varied from 1 : 4 to 1 : 6 . The
most frequent ratio was one to five ,
These findings indicated that a system of grading might be develop ed
which would include a quantity index based on this ratio of oil and cake
value . By using an assumed average oil and protein content as a base , a
quantity index was derived , The calculations were based on an analysis
of seed and represented the theoretical total pounds of oil and meal .
The next step was to take into account losses due to free fatty
acids . due to free fatty acids
Los ses aoids also were reduced to a simple
formula using 1,8 percent of fatty acids as the average breaking point
between prime oil and oil requiring discounts , ( Later the factors of
moisture and foreign matter were made a part of the quality index . )
Analysis of normal seed when compared with seed grown under adverse
conditions indicated an unbalanced condition . It was therefore necessary
to develop a correction factor for finding the index of subnormal seed
sin ce such seed would not yield in actual practice the products as ex
pected from normal seed.
After further study , an interbureau committee was established in

the Department to develop accurate methods of sampling , handling and
analyzing cottons eed . This committee secured the cooperation of private
chemists interested in all phases of the oil milling industry . As a re
sult of the studies , in May 1932 , the Secretary of Agrioulture issued an
order establishing the grades , methods of sampling , analyzing and grading
cottonseed sold or offered for sale for crushing purposes in the United
States . Under this system , the quality and quantity of oil and the other
products of cottonseed as determined by chemical analysis are the most
important factors in grading .
Standards Extended Throughout Cotton Belt

The cottonseed have been used on a voluntary basis by a
standards
substantial part of the cottonseed processing indus try since they were
promulgated . Cotton seed crushing mills in the states in the Mississippi
Valley area ( Arkansas , Louisiana , Mississippi , Tennessee , southeast
Missouri and southern Illinois) have used the standards for purchase al
most continually since they were published in 1932 . In 1937 , at the re
que st of the cott ons eed industry , the Cotton Division undertook the
supervision of sampling and grading . The use of the standards has grad
ually extended throughout the Cotton Belt, until in 1947-48 , approxi
ma te ly three - fourths of all cottons eed sold for crushing purposes were
graded by the of fioial U. S. standard methods .
Periodic research is conducted by the Cotton Branch , Production and

Marketing Administration to determine if adjustments are required in the
grading system to make it reflect, as aocurately as possible , the actual
technology currently employed in the
milling value of the seed under technology
cotton seed crushing industry . Minor corrections have been made from
time to time . A comprehensive study of the relationship of the present
system of grading to the actual outturn of products obtained at mills
using the system , is now in progress . This study covers results obta in ed
during a recent 5 - year period ,
June 1949 15
Although the present system of grading cottonseed by chemical analy
sis has proved satisfactory as applied to large lots such as carloads of
seed, it is recognized that this system is too expensive and time con
suming for application to small lots as sold by most cotton producers .
Studies are now being made that are designed to develop a simplified
system of grading that will be feasible for small lot sales by farmers ,
SED DRYING WITH CHEMICAL

PROVES SUITABLE IN TESTS
A new approach to the problem of farm drying of seed which U808

ohemio als instead of the conventional heat methods has been developed by
engineers of the U. 3. Department of Agrioulture , The met hod appears
method
suitable for use by the small grower . It avoids the fire hazard which
exists with heated air drying and also avoids the danger of reduoing
germination by overheating of the seed.
In laboratory experiments followed by farm tests lupine seed was

dried with air dehydrated by passing it over caloium chloride . The
chemical sells in the range of 3 erats a pound , and it took about 3
pounds to reduce the moisture content of 100 pounds of lupine good from
17.3 to 13 per oent .
The seed is dried in a tight bin with a soreened bottom through

which dried air is fanned . The moistened air from the top of the bin is
then recirculated to the bottom of the dryer . In the dryer unit it
passes first over brine from the oaloium chloride , then over the flakes
of the chemical and then back to the bin again ,
Wholesale handlers of seed can afford more elaborate and closely
regulated equipment for drying seeds with heated air . This new method
is simple and safe , and with the exception of the fan oan be built by
any man reasonably handy with tools says the Department . It is likely
to be used most in the Southeast where the humidity of unheated air is
usually too great to make it practical to dry seed satisfactorily .
FREDERICK J. HUGHES RETIRES
Frederick J. Hughes , a career employee with more than 40 years ser

vice in the Federal Government -- the last 35 with the U , S. Department of
Agrioultur - retired on May 31. At the time of his retirement , Mr.
Hughes was Chief , Administrative Services Division , Budget and Manage
ment Branch , Produotion and Marketing Administration , Mr. Hughes has
accepted an executive position with a large hotel corporation with head
quarters in New York City .
New Frozen Citrus Purees
Make Fine Dessert Products
By Thomas McGinty
Frozen orange and lemon purees are now being sold to bakers and
ice - cream manufacturers in many parts of the country . These products
were developed in the Los Angeles , Calif . , laboratory of Bureau
of Agricultural and Industrial Chemistry (recently moved to a new build
ing in Pasadena ). They give natural lemon and orange flavor end extra
smoothness to sherbets , ices , and pies , and offer citrus growers a prom
is ing new market for their fruit .
Work on the pur ees began about 2 years ago . A commercial firm soon
became interested , and in 1948 it packed a million pounds of citrus
pur ee for bakers and the ice -cream industry . Last summer one large dairy
sold 750,000 pounds of sherbet made from frozen orange puree .
New Process May Utilize Navel Oranges

Particularly important to California oitrus growers is the possi
successfully from navel oranges .
bility that purees may be produced successfully
This type of fruit , which constitutes better than a third of the Cali
fomia orange production , previously has not been suitable for process
ing because of the tendenoy of the fruit or juice to turn bitter . Pre
liminary tests by the Bureau now indicate that the new pureeing process
will overcome this difficulty and may permit the manufacture of a satis
factory product from navel oranges ,
Large - soale production of frozen citrus purees , thus far confined

to California , is virtually just beginning . The USDA experimenters an
ticipate that the process will soon be expanded to other citrus -producing
areas , particularly in Florida .
When properly prepared and stored at low temperatures (minus 10 to

zoro F. ) , the puroes keep the flavor and nutritive value of fresh or
anges or lemons remarkably well
remarkably well for a year or more . In addition to
end
their use in a variety of desserts , suoh as cakes , pies , ice creams ,
sherbets , they also make flavorful jams , marmalades , and beverages .
Citrus pur ees , like purses from other fruits , differ from fruit
Juions in that they contain more of the fruit pulp . They give more body,
smoothness , and superior flavor to prepared food products . Increasing
quan titie 8 of oth er fruit purees have been produo od for about 18 years .
But the manufacture of frozen pur 888 from oranges and lemon 8 was not
undertaken on a substantial commercial soale until last year . The roa
son for the delay was the prevailing opinion that citrus purses would
June 1949 17
develop off - flavors in storage as a result of their high content of
citrus - peel oil .
By applying special prooessing methods , including some adapted from

methods that had previously succeeded with other fruits, the USDA 801
entists were able to overoome the peel -oil problem and other diffioul
ties . A few experimental packs of orange and lemon puree were put up by
the Los Angeles Laboratory during the 1947 season . After a year's stor
age at zero F. , the product prepared by the laboratory's process re
mained in excellent condition . No off -flavors had developed , and losses
of vitamin C were negligible. Commeróial production began shortly there
after and was immediately successful.
In the procedure developed at the laboratory , sound ripe fruit is
first thoroughly washed ( preferably with a detergent ) , rinsed in cold
water , and dried . The stem end of the fruit is out off , and dis oolored
spots are removed from the fruit so that no dark speoks will appear in
the brightly colored puree . After it is trimmed , the whole fruit is out
up , crushed , and then soreened to produoe the puree . The final produot ,
which contains less than 1 pero ent of peel oil , flows into a stainless
steel tank , where sugar is added ( 1 part sugar to 5 parts puree ) , and is
then filled into enamel - lined cens , sealed , and frozen ,
RATE OF FREEZING VEGETABLES

HAS NO EFFECT ON VITAMINS
Quick freezing or slow freezing -- it makes no important difference

so far as the quality and vitamin content of frozen vegetables are con
cerned , except in the case of asparagus whose texture as a cooked vege
table may be altered if frozen too rapidly or too slowly . For all prac
tical purposes , however , the rate of freezing usually employed in home
freezers will yield satisfactory products with respect to quality , mutri
tive value , and freedom from bacteria .
These conclusions , based
on extensive tests carried on by food
soientists at the State experiment station at Geneva , New York , have
significance for both commeroial and home freezing . In the New York
station , peas , snap beans , spinach , com , lima beans , and a sparagus were
frozen very rapidly , very slowly and at intermediate rates , In all in
stano es , except with asparagus , no difference could be detected after
thawing and after cooking between lots frozen at different speeds . Also ,
the vitamin content of all lots remained substantially the same for all
the vegetables tested , including asparagus .
The bacterial content of peas and whole - kernel sweet oorn frozen at
the different speeds was also determined . At the most rapid rate of
freezing , the vegetables congealed so rapidly that the bacterial oontent
of the frozen product was essentially that of the blanched vegetables .
Freezing at slower rates allowed a small amount of baoterial growth watil
the freezing temperature was reached , but during freezing storage there
is a slow death of the bacteria in the frozen state .
Utah Producers Benefited
By RMA Market Services By Leighton G. Foster
Many Utah peach growers have profited from a Federal -State marketing
service program that got under way in 1948 ,
In one section of the State where marketing specialists aided farn

ers , peach producers were able to get a premium of 50 cents a bushel for
much of their orop because of uniform quality .
Last year in this area only 283 baskets of peaches were turned down
by dealers for reasons of quality during the entire harvest season , com
pared with a daily rejection of 300 to 550 baskets in previous years.
In an other section of the State where the program was in operation ,
growers who had decided against harvesting their peaches because of ad
verse market conditions were informed by marketing specialists of a sud
den demand for the fruit , Acting quiokly , the farmers were able to sell
a good deal of their orop at the best prices since 1945 , because of this
speoialized marketing information ,
The peach marketing work is only one phase of this program in Utah .
Work also is being done on potatoes and apples ,
Services Financed Cooperatively
The program is being carried out by the division of marketing of

Utah State Department of Agrioulture. It is financed cooperatively by
the State and the Produotion and Marketing Administration , U. 8. Depart
ment of Agrioulture, under the marketing service provisions of the Rom
search and Marketing Aot of 1946 . Similar marketing service work is
being conduo ted in 22 other States .
The peach work began before harvest time with a series of meetings
with growers . At these 808sions
98881ons marketing specialists and inspeotors
outlined the advantages of good - quality , graded fruit . And the growers
presented their problems. Nearly 450 persons attended the nine pre
harvest meetings . The Agricultural Extension Service in Utah arranged
the 6688 ions .
Shortly before the harvest began , marketing specialists went into

the poach areas of the State .
Each specialist was assigned a small section of a growing area .

The men went up and down country roads looating peach orohards , Tho
specialists oalled on farmers to talk peaches . " Thoy sounded out farm
Jume 1949 19
ers on their problems and plans, discussed with them the best stage of
maturity at which to harvest fruit , and helped them with harvesting and
grading problems . Often they worked with the growers briefly in the har
vest operation , showing them the best methods of handling the fruit .
At packing sheds the speoialists sometimes went to work helping with

the packing even before introducing themselves as marketing experts . In
this way they learned the operations in each shed and were regarded as
friends before they started making suggestions for improvements.
The specialists explained to packers the reasons for shipping good
quality fruit , the advantages of grading peaches and the best way to '
pack the fruit . Farmers were so impressed by the results of this work
that they requested an expansion of the services in 1949 , Cooperatives ,
shippers , inspectors and brokers also were pleased with the program .
Potato and Apple Problems Studied
In addition to the successful peach marketing project important work

also has been done or potato and apple marketing problems in Utah .
The potato work showed that retailers and wholesalers preferred out
state potatoes , especially those from Idaho , because of the poor quality
of many Utah potatoes . Most Idaho potatoes offered for sale in Utah were
graded and of good quality while many Utah farmers marketed large quanti
ties of inferior , ungraded potatoes , Efforts are being made to improve
this situation .
Apple quality was obserred in grocery stores

stores and in wholesale
houses . It was found that the marketing of Utah apples was disorderly ,
with little or no attention paid to grading and quality . The State's
apples were unable , because of the quality factor , to compete with those
shipped into Utah .
As a result of these observations, Utah wholesalers and retailers

agreed to set up a merchandising program for the State's apples if grow
ers , packers and shippers agreed to market only good quality , graded
apples . The Utah Agrioultural Experiment Station and the State Horti
oultural Society of Utah helped in the apple survey .
COTTON IMPROVEMENT PROGRAM PROVES BENEFICIAL
Louisiana cotton producers have benefited materially by the one

variety ootton improvement program , 2.0cording to a statement is sued coop
eratively by Louisiana Extension Service , the Louisiana State University
and Agrioultural end Mechanical
and College , and USDA . All ootton in the
organized parishes studied was sold on the basis of its grade and staple
length , with the shift toward produotion of cotton of a uniformly longer
staple length being considered the most important result of the program .
MARKETING BRIEFS :
Dairy . May 18 USDA announced its decision to raise the minimum

prio e assured to producers of Class I milk in the Dubuque , Iowa , market
ing area in order to to bring
bring Dubuque
Dubuque prices in line with those of the
nearby Quad Cities and Clinton markets . The change , which also would
vary the minimum prioos seasonally as is done in the other markets , must
be approved by two - thirds of the produoers in the Dubuque area before it
can become effective . The seasonal prices announood in the Department's
deoision would raise the differential price for Class I milk over a
year's period by an average of 17 1/2 cents per hundredweight . Prices
handlere have paying for Class I milk will not be changed since
been
they have been paying a 30 cent per hundredweight premium on all classes
of milk .... A decision to increase the differentials used in determining
the minimum prices to be paid milk producers for class I and Class II
milk in the Omaha -Council Bluffs milk marketing area was announced May
27 by USDA . The differentials are added to a basic prioe (representing
the price paid for milk going into menuf ao tured dairy produots ) in com
puting the Class I and Class II prices under the provisions of the Fed
eral order regulating the handling of milk in the marketing area . The
pro posod differentials are varied 888sonally to engourage output in the
Beasons of lower production , and they range from 75 cents to $ 1.15 .
is ting differentials range from 60 cents to $ 1.00. Before the ahenge can
be put into affeot it must be approved by two - thirds of the producers in
the area.
Fats and Oils ,--Recently announced results of a survey conducted

for PMA by the Bureau of the Census , United States Department of Com
meroe , shows that soybeans processed by the solvent method of extraotion
from October 1 , 1947 to September 30 , 1948 , increased materially from
previous years . A total of 61 million bushels , about 38 percent of the
total orush during this period , was thus proo 888ed as contrasted with
about 45 million bushels , or 27 to 28 percent of the total crush , proo
688ed by that method in each of the two preooding crop years . Results
of the survey showed that soybeans processed by the sorew press method
in October 1947 - September 1948 amounted to about 88 million bushels , or
54 pero ent of the total oru ah, whereas 109 million bushels were processed
by sorow prog8es in 1946-47 . A total of 13 million bushels was processed
by the hydraulio press method in 1947-48 compared with 16 million a year
earlier .
Fruits and Vegetables.-- May 17 USDA announoed a program beginning

September 1, 1949, to support 1949- crop sweetpotatoes at an average of
80 poroent of the July 1 , 1949, parity price . Support prices for the
1948 sweetpotato orop averaged 90 peroent of the July 1 , 1948. parity
prioo. Dollar - and -oent support prices for the 1949 orop will be announo ed
as soon after July I as possible , and will be based on U. S. No. I grade
washed sweetpotatoes packed in new containers and loaded in oarlots or
truoklots . The 1949 schedule will not inolude a separate price for U.S.
extra No. 1 grade sinoe sweetpotatoes making this grade generally sell
in commeroial markets at more than the support price , Porto Rioans and
at higher
Nancy Halls will be supported at levels than other varieties ,
higher levels
Golden and Jersey varieties will be supported at 20 con ts per bushel
less than tho Porto Risans and Nanoy Halls , and other varieties at 50
June 1949 21
cents per bushel less than the Porto Ricans and Nancy Halls . If nood
should develop in any area for support of U. S. No. 2 grades , support
prices , terms and conditions for them will be announced at that time .
Grains.-- In order to make price support available to producers of
wheat harvested before the beginning of the marketing year , July 1 ,
interim 1949- crop wheat loan and purchase agreement rates in specified
counties in ll States , and at three terminal markets handling early
harvested wheat , have been authorized by PMA . The three terminals are
Kansas City , Mo. , and Los Angeles , Calif . , with an interim rate of $2.16
a bushel for U. S. Grade No. 1 wheat , and Galveston , Texas , with an in
terim rate of $ 2.26 a bu shel . The ll States are Arizona , California ,
Georgia , Kentucky , New Mexico , North Carolina , Oklahoma , South Carolina ,
Texas , Tennessee , sind Virginia , with interim rates based on wheat parity
prices as of April 15 , 1949 , Final rates for all States and terminal
markets cannot be announced until July , since legislation requires that
rates be established at not less than 90 percent of parity at the be
ginning of the marketing year . The interim rates include a deduction of
3 cents a bushel as a margin of safety against a possible change in par
ity prices at that time . April 15 , 1949 wheat parity was $ 2.17 a bushel .
If wheat parity at the beginning of the marketing season is $ 2.17 a bu
shel , the national average of loan rates for U. S. Grade No. 1 wheat
wou ld be $ 1.96 a bushel , as compared with a national average of $2.00 €
bushel on the 1948 crop.... A program permitting farmers to ( 1 ) renew their
loans on 1948 -crop farmstored wheat, oats , and barley , and ( 2 ) put pur
chase agreement 1948 -crop wheat , oats , and barley under farm - storage
loan to mature on April 30 , 1950 , or earlier on demand, was announced
May 12 by USDA . Wheat farmers taking part in the program will receive
an immediate storage payment of 7 cents a bushel for the 1948-49 storage
period, and from 10 to il 1/2 cents , depending upon the area , for the
1949-50 period on wheat delivered to the Commodity Credit Corporation at
ma turity of the loans . For oats and barley no storage payments will be
made for the 1948-49 storage period , but payments amounting to 8 cents a
bushel for oats , and 10 cents for barley, will be made for the 1949-50
storage period on oats and barley delivered to CCC at maturity of the
loans . The program is designed to slow down the flow of loan and pur
chase agreement grain off the farms in excess of market requirements .
It is also a part of the Department's overall objective of encouraging
farm storage of grains for orderly marketing and effective price supporto
Sugar . --USDA , the British Ministry of Food , and the Cuban Sugar
Stabilization Institute 'jointly announced May 13 that agreement had been
reached for purchases by the Commodity Credit Corporation and the British
Ministry of Food of a total quantity of 750,000 long tons (approximately
850,000 short tons) of raw sugar from the Institute . Under this arrangeon
ment the British Ministry of Food will purchase 350,000 long tons and
CCC will purchase 400,000 long tons , including 5 cargoes ( approximately
50,000 long tons) already delivered to CCC by the Institute . The agree
ment provides that the first 100,000 long tons for the Ministry and
150,000 long tons for ccc will be purchased at a price of 4 cents per
English or American pound , and that the price of the remaining 500,000
long tans shall determined with in the upper limit of 4 cents per
pound, by the average monthly spot price for Cuban free world sugar , as
reported by the New York Coffee and Sugar Exchange , for the months of
July to November 1949, inclusive .
22
ABOUT MARKETING

United States Agriculture and Point Four , a statement by Charles F.

Brannan , Seoretary of Agriculture , at Washington , D. C. , May 12 , 1949 .
4 PP . (Processed )
Eetter Conservation and Better Living , a talk by Charles F. Brennan,

Secretary of Agriculture , at Washington , D. C. , May 12 , 1949 , 10 pp .
(Processed )
Hog Cutting Tests and Meat Prices , by A. T. Edinger at Chicago ,
Ill . , May 24, 1949 , 10 pp . ( Processed )
Publications :
State Agricultural Department and Marketing Agencies With Names of

Officials . ( PMA) May 1949 . 8 pp . ( Processed )
Motion Pictures of the United States Department of Agriculture , 1949 .
(USDA ) MP - 673 , 1949 . 53 PP . ( Printed )
United States Standards for Potatoes , Effective June 1, 1949. ( PMA )

April 1949 . 12 PP • (Processed )
United States Standards for Grades of Frozen Strawberries . Effeo

tive May 1 , 1949, ( PMA ) April 1949 . 21 pp . ( Processed )
Interstate Movement of Dairy Cattle for ll Northeastern States ,
1948 . ( Bureau of Agrioultural Economics ) April 1949, 10 pp . (Proo
088ed )
The International Wheat Agreement of 1949 : A Statement of the Seo
retary of Agriou lture . ( Office of Foreign Agrioultural Relations ) March
1949 . 23 pp. (Prooossed )
Summary 1949 Flori da Strawberry Season . (Federal -State Market News

Service ) April 1949 . 2 PP . ( Processed)
Market News Service Summaries of Michigan Fruit and vegetable Crops ,

1948 Season ( PMA -Michigan Dept. of Agri , Bureau of Foods and Standards
cooperating ) Individual Summaries : Marketing the Michigan Celery Crops
Grape Crop ; Apple Crop ; Peach Crop ; and Pear Crop .
Marketing Florida Prepackaged Sweet Com (Florida Agricultural
Experiment Station and PMA ) April 1949 , 27 PP . ( Processed )
June 1949 23
July 1949
MARKETING
ACTIVITIES
C
Washington 25, D.C.
IN THIS IS SUE :
NEW JERSEY LIKES ITS COOPERATIVE EGG AND POULTRY AUCTION MARKETS
By Warren W. Oley Page 3
Director of the New Jersey Division of Markets for many years , Mr.
01 oy has played a prominent part in the development of New Jersey's 00
operative egg and poultry auotion markets . In this artiole he describes
the way these highly successful markets operate ,
LONG - TIME OUTLOOK FOR BEEF CATTLE FEEDERS
By Preston Richards Page 9
The long - time outlook for oattle feeders is generally more favorablo
than for prodwers of most other agrioultural commodities , says Mr.
Richards , though he warns that it calls for a thorough recognition of
the spe ou lative nature of the business . Mr , Richards 18 Assistant Di
rector of the Livestock Branch , PMA..
TIMELY MARKET NEWS IS RADIO'S RESPONSIBILITY
By R. C. Bentley • Page 14
To producers and handlers of farm commodities market news is only

as valuable 48 it is usable . Mr. Bentley , Market News Editor of WOI ,
Ame 8 , Iowa , explains how his radio station keeps its listeners on top of
the market .
SWEET CORN PREPACKAGING STUDIED

By Donald R. Stokes ... ... Page 20
Sweet oorn , oleaned and trimmed in pao ka ges of three or five ears
is finding encouraging consumer approval . The benefits -- 28 well as the
problems still to be answeredare outlined by Mr. Stokes , PMA marketing
researcher who helped oonduot the joint RMA -Florida projeot discussed .
MARKETING BRIEFS . • Page 23

Produotion and Marketing Admin . permission .
U , S. Department of Agriculture
Washington 25, D. C. Issued monthly . Vol . 12 , No. 7
New Jersey Likes its Cooperative
Egg and Poultry Auction Markets
By Warren W. Oley
New Jersey farmers are strong supporters of their cooperative egg
and poultry auction markets . These markets , strategically located for
the assembling and selling of quality produots, last year handled eggs
and poultry having a value of about $ 15,000,000.
Consumers in the
great population centers
served by New Jersey
agriculture recognize
that they too have a
big stake in the coop NEW
erative egg and poul PATERSON YORK
try auction marketing
sys tom . For the auo
tion markets , through
the use of modern moth
ods , assure the con
FLEMINGTON
servation of quality by LOCATION
moving eggs and poul EGG and POULTRY
AUCTIONS
try rapidly from the
produser to the OOD
su mor , TRENTON
HICHTSTOWN
PHILADELPHIA
Began in Thirties PHILADELPHIA
The cooperative MT. HOLLY

auction system of mar
keting eggs and poultry
TO
YORK
NELL
in New Jersey dates

TO
back to 1930 , when an

attempt was ma de to
start an egg auction MILES
at Toms River . This FROM
idea , however , did not VINELAND FLEMINGTON_481 54
HICHTSTOWN 43 48
take well with poultry MT. HOLLY 20173
producers in that area . PATERSON 96116
VINELAND 38HIS
Egg prices in Toms Riv
or had cons istently
commanded a 2 -vent pre
mium over New York
quoted prioes and the
now market did not
3
July 1949
guarantee mvintenanoe of this differential. Furthermore , the New Jersey
Bureau of Markets (now the Division of Markets ) insisted , that eggs be
sold only after in spection and only after grading in lino with official
Stato requirements ,
Later in 1930 a few poultry leaders from Hunterdon County met at

Trenton and discussed with representatives of the Bureau of Marketas the
possibilities of an emotion . These progressive poultrymen saw that an
avotion market would solve are of their most serious problems . The
problem grow out of the faot that their eggs , in general , were sold to
buyers who paid 3 or 4 cents a dozen less than the New York price . The
Hunterdon County produo ers saw , too , the advantage of marketing a graded
produ ot .
Soon an aution market at Flemington , in Hunterdon County , was
organized as an associa tion incorporated under the Stato Agrioultural

Cooperative Acto And how that market has grown over the past 20 years )
For the first sale , some 25 poultrymen pledged about 65 cases of eggs .
In 1948 the association sold over $ 6,600,000 worth of eggs , poultry , and
lives took . In 1930 , the market's facilities consisted of a rented sel
lar . Today the Fleming ton market is housed in a commodious brick build
ing , with adjacent buildings for livestook , and properly construoted
candling rooms , storage rooms , a theater - like sales room , and office
space .
Commodities Vary With Market

The success of the Flemington market led to the establishment of
other markets , which are still flourishing . At Vineland eggs only are
sold . The Hackettstown market is principally a livestook auo to on but
sells a substantial volume of poultry . At Paterson only poultry and
eggs are sold . The Mount Holly market sells eggs , poultry , and live
stock . The Hightstown market is a comb ination fruit , vegetable , poultry ,
and egg auction ,
A summary of the egg and poultry sales at all cooperatives during
the year ending October 31, 1948, shows that 724,134 cases of eggs were
sold for $ 13,404,000 , while 4,599,000 pounds of live poultry were sold
for $ 1,564,000 .
All produoers who are members of the auction associations have made
great strides in produoing eggs of high quality during the years the mar
kets have been operated , Each poultryman is responsible for production
of clean , quality eggs . In this he has been greatly aided by the county
agricultural agents and poultry extension specialists . In addition , the
associations themselves employfield mesa who visit farms , especially
where it is believed a better quality could be produced . This service
has ino reased the vo lume in the top grades and has been very helpful in
reducing complaints as to grading and price returns . The field men sug
gost up - to - date methods of cleaning , sizing , storing , and handling .
They are able to offer expert advice as to humidity and temperature con
trol in egg cellars or holding rooms and as to pa oking methods that will
avoid breakage .
Each produo er 18 identified by a lot number , which is permen ent as
long as his membership is maintained, He delivers his produot to the
market or patronizes a truoking service endorsed by the cooperative .
One of the markets has four grading stations looated in adjacent produc
ti on areas to which members take their eggs . These stations are estab
lished primarily to relieve the small - scale producer of the need for
traveling long distances with a few eggs . Eggs assembled at the grading
stati ons are hauled to the cooperative market . One cooperative holds
only one sale a week , while all others have two sales . Members are
urged to market their produotion twice weekly where possible .
Produo ers per ohase empty cases from their market . Cases are condi
tioned and weighed, and have the tare weight stamped on them . All the
auotion 8 except Paterson use official New Jersey grades and weight
classes for eggs . The members select their eggs for the various sizes .
Where white and brown eggs are produced , colors are kept separate . The
producer is supplied with shipping tags , one of which is attached to
each case marketed . The tag in dicates the producer's lot number , the
size of egg , and the color of shell .
All Lots of Eggs Carefully Inspected and Graded

On arrival at the market, the case is weighed , the tare weight do
ducted , and the net weight marked on the shipping tag . Some partly
filled cases are received , and the se go to candlers who candle the en
tire case and separate the eggs according to size , color , and interior
quality . A detailed candling report is kept of each lot number 80
handled in order to make accurate returns to the producer . All other
cases go to the licensed inspector and his assistants where a sample of
each lot is taken to determine the grade of the lot . After in spection ,
all ages are staoked as cording to grade and size . White and brown eggs
are kept separated .
The association's preparation for the sale inoludes listing in du
plioato all cases on a sale sheet . The listing is actually a method of
offering eggs to buyers in various quantities . Here again grades and
sizes are not mixeda
The conduiot of the sale , aside from the service of the auotioneer ,
is a matter of projeoting on a screen or wri ting on a sales board the
exact information that appears on the sale sheet. This inoludes the
number of cases offered , the lot number or numbers , and the grade and
net weight of each case. The sale sheet has space provided where the
final bid and the buyer's name is reoorded ,
As each bu yer completes his purchases he is required to pay cash ;

receipted invoice on which is listed the qumity pr
to pick up his receipted
chased of each lot number , weight of each case , grado and size ; and to
present this in voioe to the personnel handling the supply in the storage
room . Each bu yer is then given the eggs he bought . One exception to
this is where the services of a house buyer are used by absentee buyers ,
In such cases , the eggs are delivered 0.0.d. , plus cartage ; or , if the
aocount is substantial and credit established , the purchaser is billed.
5
July 1949
Buyers have an opportunity to visit the holding room and see the lots
before the sale commences .
Very rarely is there a shortage of buyers . The number of buyers

varies, but ranges from 25 to as high as 100 a sale . Some buyers attend
sales at more than one market and some come to the sale possibly once a
weak , or at time s when eggs are scarce . Many are regular buyers , attend
ing all sales at a given market . During the course of a year some 2,000
buyers attend one or more auo tion sale s .
Sales are greatly helped through adequate market news. The sales
prices at these markets are printed in several newspapers and used regu
larly over the radio . The market news af fice of the Division of Markets
publishes them in its Weekly Market Review , The auction prices are now
used in New Jersey in place of the New York quotations in determining
prices ob ta ined by other cooperatives in the State , and by individual
poultrymen in dire ot sales work .
A logical development of the New Jersey marketing program has been

the establishment of a candling -cartoning project, which recently marked
its tenth anniversary . Four of the cooperative ege auctions-- Flemington ,
Hightstown , Mount Holly , and Vineland-- are members of the New Jersey
Mount
Poultry md Egg Cooperative Marketing Association , Inc. , which operates
this project ,
Unification in Candl ing- Cartoning Services

Men y retailers had asked the various auo tions for candling - cartoning
service . However , the auo tions ' mana gements were of the opinion that to
set up four candling departments
departments.-- one at ea ah a uction --would be costly
as well as inefficient because of personnel and supervisory problems .
For thermore , they realized that even tually there would be four different
sales organizations competing with each other , duplicating service and
selling efforts , and thereby running up costs of distribution . The Di
vision of Markets was also interested in having everything coordinated
" und er one roof ," 80 that supervision of inspection could be as econom
ioal as possible , And , with qua lity to be certified under an official
sea of approval , the Division of Markets was anxious , above all , that
l
the quality be exactly as certified-- and it was felt that a better job
of in spe otion oou ld be done in one big establishment rather than four
small ones .
The idea of a special M000 perative of cooperatives , " with one
candling - cartoning plant and selling overhead , solved these problems , and
the New Jersey State Certified Fresh Egg project was born . The four
member cooperative auo tons of the "Certified Co-op ," or merely " Certi
fied , " as it is best known , sell all eggs over the auction block . HCer
tified " is treated like any other buyer , and must bid in its own eggs in
competition with all others .
The purchases at the auctions by " Certified " are on a wholesale

grade basis , determined by resident inspectors of the State Department
of Agrioulture at each of the four source markets . Only Grade A and AA
eggs are purchased for the candling project,
The high standards of the " Certified " package may be inferred from
the fact that , even af tor buying on a graded basis , relatively large
percentages of interior and exterior faults are found by the candlers
when the eggs are converted to retail grades . All faulty eggs are re
jected from the consumer pack , of course --not only because of the State
supervision , but also because the directors of the cooperative have in
structed management not to compromise with quality . As a result , espe
cially during the summer months of high reject percentage , " Certified "
has been known to lose substantial sums of money in maintaining the in
tegrity of its package of eggs and its enviable reputation with New
Jersey con su me rs ,
" Certified " has carried on an enterprising program of promotion of
ego consumption among New Jersey's city millions, and, at the same time ,
it ha 8 encouraged that State's poultrymen to strive for better original
quality . As an example of consumer promotion , the project's management
and the Division of Markets have
have recently
recently prepared a campaign to sell
He di um - sized eggs during the autum shortage of Large - size eggs . With
appropria to literature , point -of - sale displays , and food - page publicity ,
the idea of buying eggs on a weight basis will be suggested , It is bem
lie ved the con su mer should benefit from a seasonal shift of preference
from Large to Medium eggs , and a trouble some disparity between the prices
of Large and Medium eggs should be alleviated to the degree that the cam
paign succeeds ,
Quality Improved by Centralized Research
With such a centralized operation , it has been possible to carry on

research into problems of egg - quality conservation . Accurately kept rec
ords of causes of rejection from the candling line have been the basis
for a large - scale program of producer education in how to reduce losses
caused by breakage and deteriorated quality . Special problems of indi
vidual producers can be pinpointed because each case of eggs carries the
producer's lot number , and this identification makes it possible for the
various auo ti ans ' field men to go back to the source of trouble . Be
cause the same lot numbers are also purchased by many other auction bid
ders , this service of " Certified is helping to improve the quality of
the egę pack for all who buy over the auctions ,
There have been times when the large purchasing power of " Certified "
has operated to the advantage of the produo ers and their marketing or
ganizations . The pro ject is a dependable buyer , having definite requirem
ments of between ane and two thousand cases a week to fill its orders
for cartoned eggs . All auction buyers are not so dependable , of course ,
and some do quite a lot of shopping around . In the event that a large
buyer withdraws from one of the markets on sale day , as occasionally
happens , severe price breaks can be avoided by swinging the bulk of
" Certified " purchases to that market,
Through continual contaots with retailers of " Certified Eggs , " the
pro je ot's representatives have made great strides in teaching storekeep
7
July 1949
ers and milk dealers how to conserve fresh quality and to increase sales
of eggs .
New Jersey poultrymen have cooperated splendidly with the Division

of Markets in promoting poultry- and egg -marke ting programs. These asso
ciations through their boards of directors have worked together . In de
veloping the " Certified " program they pooled their efforts and brought
about the accomplishment of an ece -marketing system which starts on the
farm and ends on the retailer's counter .
FARMERS ' SHARE F FOOD DULLAR LOWEST IN 6 YEARS
Farmers recently have been getting less than half of each dollar
spent by consumers for farm food products , for the first time since May
1943 , the U. S. Department of Agrioulture reported in mid - June .
Farmers received only 49 cents out of each dollar spent for farm
food produo ts during April 1949 , the Bureau of Agricultural Economics
reported in the monthly Marketing and Transportation Situation , released
June 16. Preliminary estima te s indioate it was about the same or frag
tionally lower in May . The farmers ' share of the consumers ' food dollar
reached a peak of 55 cents several times between November 1945 and Jan
um 1948
A8 compa red with July 1948 , when the retail cost of a fixed quanti
ty of food reached an all - time high , the retail price of a " market -basket."
of foodstuffs had declined 8 percent by April 1949 , The entire drop
came out of the farm value , which shrank 16 percent . Marketing charges
were at about the same level in April as they were last July , and only
4 percent below the peak reached in May 1948 .
From April 1948 to April 1949 , the farm value of the market basket
went down 9 percent , marketing charges went down 1 percent , and the re
tail cost went down 5 percent . Retail prices of dairy products decreased
10 percent ; mis sellaneous produots , 12 per cent; and meat products , 5
per cent .
FINANCIAL RESERVE ESSENTIAL TO GOOD FARMING
By regular investment in Savings Bonds the dairymen can almost

automatically build up a financial reserve . Such a reserve is considered
by economists , to be a necessary part of every well -managed farming busi
ne88 . "A financial reserve is just as important as good land, good cows
and equipment in your business " , says Dr. Van B , Hart of Cornell Univer
sity . Many dairymen make it a practice to buy a Savings Bond out of
every milk check .
The Long -Time Outlook
For Beef Cattle Feeders By Preston Richards
When choice grade steers were selling at the highest prices of

record some months ago ; many beef cattle feeders had an idea that a new
era of per man en tly high prices had dawned . But they were wron E , as
events have proved . Now that choice grade steers are averaging about
$ 15 a hundred pounds under their peak , these seme feeders are looking
for a long period of extremely low prices . But they may be wrong again ,
for the long - time outlook for oattle feeders is generally more favorable
than for producers of most other agricultural commodities ,
On the supply side are a number of encouraging developments that

point to permanently lower per - unit production costs ,. More feed grains
are being produced and more efficiently -- than ever before . Forage and
pasture resources are being improved , in line with the over - all program
to conserve the Nations soil resources . Feeding practices have been
improved tremendously over the past 20 years and further improvement may
be expeo teda New breeding techniques show promise of hastening the de
velopment of beef cattle that will make better use of feed and that will
command higher prices in the market .
Several Factors Promise Strong Demand
From the standpoint of demand , there are several factors that point
to a heavier total consumption of meat over the years ahead . The popu
lation of the United States is now increasing at the rate of 2 million
persons annually --and meat is one of the foods most desired by consumers ,
The maintenance of full employment is one of our national objectives ,
and , during the next several years , industrial produotion and employment
are expe oted to contime on a high level . This means increased purchasing
power and increased demand ,
Any appraisal of the short - time or long - time outlook for beef cattle
feeders must inolude an analysis of the various trends that will affect
the outlook . Those trends include : (1 ) feed supplies , (2 ) the cattle
population , (3 ) the hog population , for pork competes at the meat counter
for the consumer's dollar, and ( 4 ) the probable demand for all red meats ,
Favorab le growing conditions and high crop yields were general over
most of the country last year , and nowhere did Nature smile more than in
the Corn Bolt . Rains came at the right time . Temperatures were ideal .
The 1948 oorn orop was the largest of record , exceeding the previous
record crop by about 400 million bushels . The total supply of feeds per
grain -consuming animal for the 1948-49 feeding season was also the
July 1949 9
largest of record . It is the se large feed supplies which provided the
underlying basis for the expansion in cattle feeding operations that has
ocourred this year and for the increase in hog produotion that is under
way .
Carry - over stocks of feed grains , especially corn , will be heavy on

October 1 , 1949, the beginning of the new feeding seas . If growing
oond itions are favor able this year -- and reports from the Corn Belt indi
oate that orops are off to a good start - feed supplies in 1949-50 will
again be large in relation to livesto ok, These heavy supplies will mean
that the number of cattle fod will be maintained at a high level, and
that the tendency for hog production to increase will continue .
Downward Trend in Numbers Checked
It now appears that the downward trend in oattle numbers which be

gen in 1945 was checked last year . on January 1 , 1949 , the number of
all oattle and calve s on farms and ranches was 78.5 million head,
slightly more than a year earlier . Even though small , this was the first
inorease in 4 years .
Because of the large proportion of cows in the present beef cattle

inventory , the number of cattle on farms and ranches can expand more
rapidly than usually is the case , If expansion in numbers does take
place , the ten dency in the next year or two probably will be for range
cattle producers to hold back more calves , heifers , and, in some in
stanoes , young for further inoreases
8 teers In the long run , this
will mean more battle and more beef, but in the immediate period ahead
it will restriot the number of cattle and calves available for slaughter .
Of particular significance to Corn Belt cattle feeders , it may me an
that the number of young steers , heifers , and oalves
calves for feeding will
be less plentiful .
The large oorn orop last year and the generally profitable cattle
feeding operations in recent years caused feeders to expand their oper
ations quickly . on January l of this year , the number of cattle on
feed in the entire country was 19 percent larger than a year earlier .
The tendency to feed more battle than last year has oon timiode Om
April 1 , 1949 , the estimated number of cattle on feed was 23 percent
greater than on April 1 last year . This indicates that market ings of
well - finished slaughter oattle will continue large for the next several
months .
If feed production is again large this year, cattle feeding next

winter and spring probably will continue an a large scale . But shortage
of the more desirable kinds of cattle , which may develop if range cat
hold back more than the usual proportion of calves ,
tle producers hold
heif ers, and young steers --would cause some changes in the kind of cat
tlo fed and in methods of feeding . Perhaps this is ane reason for the
increase in the mumber of heavy feeders (steers over 900 pounds ) placed
on feed during the past year ,
The combined 1949 spring and fall pig orop is now expected to be 96
million , which is 13 percent above 1948 and 8 percent above the 1938-47
average This means much larger pork supplies next fall and winter . If
com yields this year are average or better , the trend in hog produotion
will continue upward . Thus beef cattle feeders face the prospect of the
competition from inoreasing supplies of pork in late 1949 and perhaps
throughout 1950,
Following the removal of price controls in 1946 , prices of all live

stook advanced sharply . Prices continued high in 1947 and through most
of 1948. The principal reason for the high level of livestock prices in
1947 and 1948, as well as the high level of income from the sale of live
sto ok, was the unprecedented strong consumer demand for meats . Not only
did consumers receive much larger inoontes than ever before in those
years , but they spent a larger - than -usual proportion of their inoreased
inuomas for meat . Before the war , consumers spant about 5-1/2 percent
of their income for meat, but by second quarter of 1947 this proportion
had inoreased to 6-1 /2 percent and it continued near this l'igure for
more than a year . In the second half of 1948 , the proportion began to
decline and by the first quarter of 1949 it was down to about the pre
war level of 5-1/2 percent.
Meat Appetites Are Mysterious
We will probably never know definitely the reasons for the increase
in the proportion of consumer incomes spent for meat . Nor will we ever
know precisely why this percentage declined, It may have been that the
post -war shortage of consumer goods generally in 1946 and 1947 was a
factor causing consumers to spend a larger Share of their incomes for
meat . As con sumer goods of all sorts became more plentiful in 1948 ,
this may have caused consumers to reduce their expenditures for meats
and they increased their purchases of automobiles , refrigerators , radios ,
clothing , and the like . Or it may have been that con su mers were just
"meat hangry " after years of rationing . If that theory has any merit,
it would explain why oansu mers went on a meat -buying spree for & time-
and why , after their appetities were satisfied , they began to reduce the
volume of their meat purchases .
At any rate , the results of the decline in consumer demand for meat
soon became evident in the livestook marke to Beginning in the fall of
1948 , prio es of both cattle and hogs deolined greatly. The drop in
prices of the better grades of slaughter cattle probably was the most
pronounced on record for any peri od of comparable length . From August
1948 to Apr il 194 , the ave e price of choice grade steers dropped
9 rag
from about $40 to $ 25 per 100 pounds , a drop aggravated last January and
February by the tendency of many cattle feeders to bunch their marketing 8
within a period of a few weeks . The average price of hogs at Chicago dom
clined from about $ 30 to $ 18 in approximately the same period . So sunset
came rather quickly to what many had believed was the dawn of a new era ,
Employment
in June 1949 was a little under a year earlier and so
were personal income 8 .It seems likely, however , that the proportion of
consumer incomes spent for meat , a proportion that has already dropped
to the prewar level , will not decline further . If that assumption is
July 1949 11
correct, any changes in oonsumers income s --up or down --will be refleoted
in something like corresponding changes in the demand for meat . It
seems likely , too , that the consumer demand for meat during the remain
der of 1949, at least , will continue near the June level .
Cattle prioes , of course , will be responsive to the weaker oop
sumer demand during the remainder of 1949 88 compared with the same
period in 1948 , Other unfavorable factors include prospeots for heavy
hog marketin gis the last half of 1949 , and , if feed production is abun
dant , the likelihood that marketings of grain - fed cattle will continue
large . On the favorable side is the possibility that livestock prio es
have already dropped more than would be expected solely on the basis of
supply and domani condi tions . This a repetition of sharp doolinos in
prices of slaughtor cattle which occurred in late 1948 and early 1949
does not seem likely .
pointed out earlier , the long - time deman ! for beef

As has been
cattle feeders appears to be favorable , fundamentally . But even with
this favorable outlook , we should not overlook the fact that in recen
years there has been inflation in livestock prices . Not many people
feel that a return to pre -war price levels is in prospect , but it also
seems unlikely that the high levels of livestock prices in 1947 and 1948
can be regarded as a new normal ,
Cattle Prices Swing in Log Cycles

Even before the war the trend in cattle prices was upward . In each
year but ane since 1937 cattle prices have averaged higher than in the
previous year . And in each year since 1934 the purchasing power of cattle
in terms of all other commodities has been going up , Upswings and down
swings covering a long period of years ars , of course , a feature of oat
tle prices . The up swing which may have ended in 1948 is one of the long
est of record .
Long periods of rising prices are always favorable periods for cat
tle feeders . In such periods foeders who make the largest profits are
not necessarily the most efficient feeders but rather feeders who buy
the most cattle . This is true because the two important factors affect
ing profits once the cattle are bought are the cost of the gain in weight
and the margin between the price paid for feeder cattle and the price
received for the same cattle when sold for slaughter . In periods of ad
vanoing oattle prices this margin is nearly always wide , sometimes very
wide ,
A leveling off of cattle prices or a sharp down turn has the opposite
effect on feeders ' margins , as meny farmers who fed cattle last fall and
winter well know For the farmer who buys heavy feeders for a short
feed, mostly on grain , the results of a price decline usually are much
more severe than for the farmer who buys lighter cattle or oalves for a
longer feeding period. in which the use of grain is minimized
Although cattle feeders carmot look forward to a rising trend of
cattle prices in the next few years , the outlook for cattle feeding
could soaroely be desoribed as dark and foreboding . It is certainly
less favorable than in other recent years . And it does call for caution
and a greater degree of conservatism in the seleotion and purchase of
feeder battle than in other recent years --and a thorough recognition of
the speoulative nature of the cattle feeding business .
Beyond this , it means that cattle feeders will have to do a better
job of feeding and marketing . In addition to the margin between prices
of feeder oattle and prices of slaughter oattle , the other important
factor affooting profits from oattle feeding is the cost of gain . Re
duoing this cost is always a challenge to cattle feeders, an d ma ny
farmers have already made much progress in this direction . More foeders
must and will make more progress along this line . And along with great
er efficienoy in feeding , feeders probably will find it desirable to
follow a scheme - of more orderly marketing . Periods of heavy gluts in
market supplies of fed cattle , such as occurred la śt winter , as well as
periods of extreme soaroity ,
such as last summer , are unf a vorable to
consumers and costly to cattle feeders ,
GRAIN EXPORTS SET NEW HIGH RECORD
All previous records of United States grain exports were being bro
ken as the 1948-49 shipping season drew rapidly to a close on une 30,
the Produo tion and Marketing Administration , U. S. Department of Agri
culture announced in mid - June .
Grain exports in May were estimated at 1,707,000 long tons ( 65,411,000

bushels ) . This raised the july 1948 -May 1949 eleven months total to a
record of 16,450,000 long tons ( 637,283,000 bushels ) . This total and
the export rate of June , based on preliminary figures , comes within
striking distance of a pro jeoted high record 18,000,000 long tons (700 ,
000,000 bushels ) for the full year 1948-49 .
By comparison , the exports in May 1948 totaled only 1,108,000 long
tons (42,154,000 bu shels ) , the July 1947-May 1948 eleven months total
was 14,045,000 long tons ( 541,173,000 bushels ) , and the 1947-48 total
was 15,240,000 tons ( 588,000,000 bushels ) -- a record high at that time ,
July 1948 -May 1949 exports included 12,579,000 long tons (469,573,000 but
shels ) of wheat, wheat flour, and macaroni products , and 3,871,000 long
tons ( 167,710,000 bushe ls ) of other grains and grain products ,
of the total of 16,450,000 tons exported during July 1948 - May 1949 ,
6,264,000 tons, or 38.1 percent moved to the U. S. occupied Zones of Ger
many , Japan and Korea , An estimated 6,644,000 tons , or 40.4 percent went
to the European countries and China . The quantity going to the ECA soum
tries included grain and grain produots financed by the importing com
tries as well as by ECA . Another 3,542,000 tons , or 21.5 percent of the
July 1948 -May 1949 total , were shipped to India , the Union of South Afri
ca, Egypt , the Phillippines , Latin America countries , and other countries .
July 1949 13
Timely Market News
Is Radio's Responsibility By R. C. Bentley
Market news reports , like good advice , must be timely to be worth

while . Market reports carried by radio too early or too late in the day
to permit aotion based upon them are good only for the reoord or the
historiens . Certainly they do not adequately serve produo ers and han
dlers of farm commodities .
For example , a report on the hog merket reaching produoers от се

daily at the noon hour must be regarded critically for several reasons .
Even if it is a favorable report it may come too late in the day to allow
the average producer to move his hogs from the farm to a market . Though
the report may incorporate opening trends and developments , these fea
tures are stale by noon - day . Finally , it is unlikely that it will be a
decisive report so far as the next day is concerned , for it cannot re
flect the important olosing trends of the day's market .
Three Crucial Points in Marketing Day
There are three deoisive periods during the livestook marketing day .
The 8 : 30-9 : 00 period when figures on livestock supplies at the 12 major
markets are available ; the 9 : 30-11 : 00 period supplying the opening ro
ports covering prices being paid for various elasses and weights ; and
the olos ing summaries of the day's trading which are released some time
between 1:30 and 2,30 p.m.
For grain markets , four periods are important : The opening , at

markets,
9:30 a.me ; midmorning , at about 10:30 a.m .; noon or 12:30 p.m.; and the
olose, about 1:30 poma
Prodvoers and of the egg, butter and live poultry should
handlers
have their reports as ne ar 10:30 to 11:00 as possible ; for dressed poul
try , from 12:30 to 1:30 p.m. Generally, all other commodi ty market re
ports should be given as near the opening , noonday and olosing as possi
blo.
In order to serve rural listeners , radio stations must recognize

these strategio marketing periods in their coverage of market news . How
ever , a glance at the annual PMA Information Branoh Survey listing the
number of radio stations which carry marketing information during any or
all the time periods , will show that only a small proportion of the sta
tions carry market news reports which fall within the important midmorn
ing marketing period .
One of the exceptios- Station WOI at Ames , Iowa -- recently began to
study this deficienoy in market news coverage . Because WOI has for years
been broa doasting merket now every hour during the marketing day it was
in a good position to poll its listeners in 8 States on their time pref
eremo 68 . The results of such a poll substantiated what WOI had guessed :
That produoers want to hear market news reports when they can do some
thing with them
The poll referred to was a questionnaire which was sent last March
to all who received mimeographed livostook market reports 188ued by the
USDA market now sarvior . The questiomaire asked , among other things
what radio station thoy listened to and at what time each day , for mar
ket news . of the 1648 questionnaires returned from that portion of the
8 States which WOI servos , 383 reported they listened to WOI and of these
58 % were farmers . The 10 :30-11 :00 period of broadoast was the most pop
ular . Sixty - ono percent listened during the half hour broadcast . Other
periods during the day were listened to in the following order : 9:45
10:00 , 53 % 8 :50-9,00 , 42 % 1 : 30–2 : 00 , 20 % ; 12 : 15-12 :20, 8%; 6 : 30-6 : 34 ,
5 %. As is indioated by the percentages , a number of listeners tune in 2 ,
3 and 4 times daily .
PMA Survey Shows Broad Noon Coverage

Contrastthese results with the Nationwide statistio on market
news coverage . The June 1948 survey conducted by PMA covering 424 radio
stations in 14 midwestern States , shows that 67 percent of the stations
whioh broadoast market news reports of fer them at the noon periodi Only
17 pero ent carried market news data between 9:30 and 11:00 and this same
percentage figure hold true for the 1 : 00-2 : 30 period .
Originally when radio and market news were first oatahing on with
farmers there were good reason 8 why the noon period was the ideal time
for a market reporto Most farmors were stat ll using hor 868 and their day
light listening habits were molded largely by Dobbin's appetite . In
those days a farmer generally came in from the fields only when his horses
did , and even if he had a team he could trust to stand ima ttended , the
whole idea af mid - morning or mid - afternoon visits to the parlor was
tainted with lazino88 .
Today , the entire concept of the working schedule has been altered
for the farmer . Mechanization has offered him considerably more free
dom in planning his work . As a result , he will listen to the radio when
it serves him best , or he will have his wife listen so she can keep him
postede
Station WOI belie vos that timely market reports should be given
over the air as early as possible after they have been prepared, for
market news , to perform its maximum service , must reach all interested
parties at appr ad mately the same time .
The U. S. Department of Agrioulture spends in the neighborhood of

1 3/4 million dollars annually to assemble , analyze and prepare for
distribution market now covering all kinds of farm products . The Do
15
July 1949
partment assembles information on supplies coming to the various terminal
and local markets , supplies in storage ready for distribution , and prices
paid for the original product at the first assembly point, as well as the
processed commodities as they flow through the distributive channels .
For every single report , there are many underlying factors whioh should
be weighed and analyzed . Some will be reported directly in the broad
casts .
Hog Marketing Pio ture Cited as Example
What WOI is attempting to do for all producers and handlers can be

illustrated by following through with timely reports on one commodity
common to all Midwestern States -- the hog . The first part of the supply
and demand pio ture for a given market is always the number of hogs ex
pe cted for a given day . The figures are available between 10:30 and
noon of the preceding day and they are given over the air daily during
that time . A much more completo estimate comes in the following morning
from 6:00 to 8:30 a.m. , and this report covers all of the terminal mar
kets . These figures to be most useful are released periodically as they
are made available with final and complete figures by 9:00 a.m.
The live hog markets at terminal centers open between 8:30 and 9:00
2.m. and it usually takes about one hour before the opening reports are
made available . These opening reports giving prices paid for the various
quality hogs are given over the air at intervals between 9:30 and 11:00
a.m. , with a complete summary of the morning trading between 10:30 and
11:00 a.m. These reports are the ones which give the farmer an oppor
tunity to decide what he should do about going to market during that
ourrent day . The second or mid - day reports on market oon ditions are
issued between 10:30 and noon . Any changes from the opening aro noted
and incorporated in a noon hour summary of trading up to midday .
The clos ing reports covering the final trading for the day are and
must be given by 1:30 or 2:00 p.m. if they are to be useful to the farm
er in planning whether to start livestook to market for the following
morning .
Market News Reports Must Be Completo
In its 27 years' experience in carrying market news, Station WOI

has learned that the second important thing farmers and handlers of farm
produots want in their radio market reports is complete market news re
ports . When a station broadcasts complete information , it means that a
farmer oan tune to one radio station and secure the whole pioture of his
marketing opportunities for a given commodity without taking time to dial
a half dozen different stations . For example , an Iowa farmer wants to
know how many hogs are being offered for sale in the cornbelt as a whole .
He wants to know if supplies are larger or smaller proportionally in the
Missouri River Area compared with Chicago and Eastern markets . He wants
to know whioh market within his marketing area has large or small sup
plies . And finally it helps him to know how many hogs were received at
looal packing plants in his own Interior Iowa and Southern Minnesota
Area .
With this supply picture in mind and a little experience in piecing
the parts together he is better able to follow the developing price pic
ture . It will help him relate prices to supply locally if he knows how
prices vary among the different terminal markets surrounding Iowa , for
example --what price is being paid at the Missouri River markets compared
with the Chicago and Eastern markets , and finally what price is being
paid at each of the packing plants in Iowa proper.
" Top " Quotations May Be Misleading

of great importance to the individual producer is the price being
paid for the weight and quality hogs he happens to have in his feed- lot
today which are ready for marketo By and large he wants to know what is
actually being paid for the bulk of the hogs coming to market during the
ourrent season , for his hogs are very apt to be like the bulk of the
supply , rather than like the extreme top offered for only a few hogs .
With the supply picture before him and the price ranges being paid
by the different outlets , the farmer may then telephone representative
buyers in his community and sell his hogs or secure additional informa
tion which may cause him to hold them for a few days for possible price
advances .
Too many radio market news reports give information on only one
terminal market plus the local market , All too often only the top quo
tation is given and when the farmer gets to market he finds his hogs do
not meet the quality or weight specifications for top prices quoted on a
few hogs at that market . He is not only disappointed but he may also
find it is too costly to go on to another market where a better price
might have been secure do What a farmer wants is complete market infor
mation an supplies throughout the market area , with prices being paid for
the class , weight and quality he has for sale by all of the various in
terests buying hogs within the area in which he may have an opportunity
to market . This holds true for all classes of livestock , as well as all
farm products going to market ,
Some livestock producers will be interested in the supply and price
picture for dressed meats . The stocks of meat in storage and purchasing
power of consumers who buy meats should be reviewed frequently as perti
nent background information .
Clarity an Important Element
WOI has also discovered clarity in market reports to be of top

portance . Farmers and handlers of farm commodities like their reports
given as nearly as possible at the samo time each day and in the same
sequence . Information which contains many figures , as does market news ,
must be given slowly so the figures can be written down if the listener
wishes to do 80 . Clear presentation and accuracy are extremely essen
tial .
Buyers and shippers at the local assembly points also depend to a

large extent on radio for market news reports to get the earliest pos
July 1949 17
sible quotations . Local dealers post the se figures on convenient pads
and use them through out the day as a basis for buying and selling farm
commodities . These of fio es at the local assembly points become , in
effeot , centers of market news information anco many farmers learn to
depend upon them . Unless these dealers have timely , complete and acou
rate information they cannot serve their community well .
When both the farmer end handler of farm pro duots have full and
timely information on each farm commodity a more stable market is estab
lished . If the farmer has available by radio each day a timely and
complete picture of the supplies coming to market and the prices being
paid for the given supply , he can market his products with a greater
assurance that he will be getting a fair return . If the dealer knows
that the farmer has the same supply and price information that is avail
able to him , he is then in no position to drive a sharp bargain , for the
farmer can quickly get in touch with another who deals more fairly . In
like manner , the dealer does not have to spend a lot of valuable time
explaining to the farmer why prices are high or low ,
Complete market news also brings about a better understanding of

the quality factors in determining the value of a given produot , Buyers
and sellers , then , can operate with more assurance on the basis of these
establis hed standards .
WOI Sought by Out - of - State Listeners

Iowa farmers
WOI devotes 107 minutes daily to market news to keep
and handlers of farm pro duo ts currently and completely informed on all
Iowa . Moreover , many farmerss and tradespeople
farm products raised in Iowa
in the States surrounding Iowa have in their dial - spinning Search for
complete market news found WOI - 640 on their dial - and have returned
daily for these timely reports . Many of these out - of - State listeners
have explained to WOI by correspondeno o and at meetings that it is diffi
cult for them at 640 but that they have gone
to get good reception
to various extremes with their radio sets to hear WOI's full and timely
reports .
One radio station in the heart of the cornbelt is not sufficient to

provide adequate news service for farmers and dealers throughout the day ,
nor could it per form the service alone because each State and each mar
keting region has problems of its own . Eaoh producing area has a sepa
rate and distinct set of market outlets available to its producers , and
radio programs must be built to serve each producing area .
For example , WOI's files contain many letters from listeners in each
of the neighboring States urging it to incorporate more timely and com
plete information an markets within their respective areas . This mater
ial is available or could be made available to each of the State Land
Grant Colleges . Aided by the farm organizations and the commodity mar
keting organizations , these institutions should be performing this very
timely and valuable service for the farmers and tradespeople of their re
spective States ,
The radio farm directors on commeroial stations are overlooking a
real opportunity to sell administrators and sponsors on this very
valuable public service to a griculture in their local communities . At
WOI it has been proved that farm organizations and commodity marketing
agencies are willing to pay the cost of providing timely and completo
market news information ,
Commercial stations need to recognize that market news must be

handled on the basis of a publio service -- which may not bring in a high
Hooper Rating--but which can mean better marketing of farm products and
inor eased income to agriculture and related industry .
MECHANICAL COTTON PICKERS NOT YET USED TO CAPACITY
Although harvesting of cotton by mechanical pickers has inoreased

rapidly in the Mississippi Delta in the last few years , machines in use
in the area generally harvest only a small part of the total production ,
according to a report based on a study made by the Mississippi Agrioul
tural Experiment Station cooperating with the Bureau of Agricultural Ec
onomics, U. S. Department of Agriculture , Up to now mechanical pickers
have been used only to supplement the hand labor force , it is pointed out .
The report, " Mechanical Cotton Picker Operation in the Yazoo - llissi
ssippi Delta" covers a survey finano ed in part with funds from the Research
and Marketing Acto Desoribed as " preliminary , " the report is part of a
larger study dealing with all aspeots of cotton mechanization .
Mechanically picked cotton in the Delta cost farmers , for harvesting ,
the equivalent of $ 2.42 a hundred pounds of seed cotton in 1947 when rates
for hand picking ranged from $ 2,50 to $4.50. Costs included wastage and
grado losses , as well as operating costs . The latter includes out- of- pocket
expenses and depreciation and interest on the actual cost of the machine
Depreciation and repairs account for nearly 60 percent of the oper

ating costs. For maah ine - picked cotton in 1947 operating costs averaged
$ 14,77 per bale or about $1 per hundred pounds of seed cotton . Wastage
and loss due to lowering of the grade when machine picked increased the
cost to $ 2.42 per hundred pounds .
The study further indicatesthat the per - bale cost of harvesting
cotton by machine could be greatly reduo ed if farmers could use their me
chines to capa oity sinoe the fixed cost for the machine is the same whether
full or low - capacity use is made of it. Machines can harvest 8 to 10
bales per 10 - hour day under favorable con ditions , but the daily picking
rate under actual conditions ( performance of 26 mechanical pickers studied )
in 1947 was only 3 1/2 bales, Un der favorable conditions' machines can
harvest 150 to 200 bales af cotton per season . The machines studied
averaged only 109 bales in 1947 . Lower initial costs for the machines ,
lower cotton prices and improved ginning techniques would be factors
favoring me ah an ical over hand picking .
July 1949 19
Sweet Corn Prepackaging Studied
By Donald R. Stokes
Prepackaging of sweet corn in consumer -size packages is one of the

newer marketing ideas that shows promise of making more and better
sweet corn available to housewives , there are still packaging ,
transportation and retailing questions that need answers ,
Some of the answers are being found in preliminary research by two

U. S. Department of Agriculture agencies : The Marketing Research Branch
of the Production and Marketing Administration and the Bureau of Plant
Industry , Soils and Agricultural Engineering of the Agricultural Research
Administration . The work is being done under the Research and Marketing
Act , in cooperation with the Florida Agricultural Experiment Station and
the Florida Vegetable Prepackaging Council . Research is continuing , as
work so far indicates need for more efficient and more economical methods
in packaging and marketing high - quality prepackaged sweet corn . Detailed
reports on the preliminary findings are now available , based on studies
in April , May and June , 1948 .
Among the conclusions based on the PMA study are these :

The grower's return on prepackaged corn was about the same as that
on bulk corn marketed in the husks . As might be expected, the harvesting
and packing costs for prepackaged corn were greater than for bulk corn .
Selling and transportation costs , however , were lower , averaging 13 1/2
cents a dozen for pr e packaged com compared with 15 cents for the bulk ,
Retailing Labor Cut by Prepackaging
The study indicated that one of the principal advantages of market

ing prepackaged corn was in reducing direct retail labor costs . These
costs Were studied in Tampa , Fla . , New York , Baltimore , Washington and
Atlanta . Two Tampa chain stores were checked for eleven weeks . In the
other cities eight days were spent in four chain stores and 15 in seven
independent outlets .
It was found in Tampa that for every man hour spent on retailing
prepackaged corn $ 175 worth of the product was sold , But for every man
hour expended on the com in husks only $ 10 worth was sold. The studies
in the other cities showed that sales per men hour spent on prepackaged
corn averaged $ 102 while sales for bulk corn averaged $ 16 . Direct retail
labor costs were computed as 3 cents per sales dollar less for prepaok
aged then for bulk corn ,
The value of bulk corn lost through and spoilage in Tampe.

weste
equaled 21.5 percent of the net retail sales ; for prepackaged corn the
loss was 4,6 percent of sales , In the other four cities , the bulk corn
20 Llarketing Activities
waste and spoilage equaled 12.4 pero ent of sales ; for prepaokaged , it
was 1,1 percent .
Final gross retail sales margins were surveyed in all of the oities
except Tampa . The margin for prepaokaged corn averaged 19,1 poroent and
for oorn in huisks 13.6 poroent .
Prepaokaged corn cost housewives more than the bulk . In the few
stores that were cheoked , the prepaokaged oorn , whioh was marketed as an
out - of - season delio aoy , retailed for an average of $ 1.16 a dozena while
the core in husks sold for $1 a dozen ,
Both the and the bulk cora should be refrigerated
prepaokaged
throughout the marketing prooe88 . However , directions for refrigerating
the propaoka ged oorn were not always followed ,
Consumers reported that they were pleased with the flavor , oaso of
preparation , visibility , laok of waste , oleanliness and convenience of
the prepa okaged oorn
Their views were learned through post cards plaood in each på okage ,
of which 2,092 were returned . The corn was sold in 200 cities east of
the Mississippi River .
This sample indicated that most persons who tried the corn liked it .
The majority of those who did not enjoy the product bought corn that had
been in marketing channels too long and was beginning to spoil .
Three Large or Five Small Ears Paokaged
The prepaokaged oorn was grown and packed at the Paul B. Dio komen
Farms at Ruskin , Fla . The varieties were Ioana , Golden Cross Bantam and
Golden Security . In the packing plant, the corn was husked mechanioally ,
trimmed to throe- or five- inch lengths and cooled. Either three largo
or five small pieces were put in cardboard trays and over -wrapped with
cellophane . Then the corn was oooled again and distributed by truok ,
Eight hundred thousand packages were processed ,
Under operation the Diokmen Farms got a gross return of 47
this
oets a dozen oompa rod with an estima ted 48 - cent return to growers har
vesting , paolding, and shipping corn in husks in the same area . However ,
the value of the husks and the trimmings from the prepaokaged produot ,
which were used for livestook feed , was not computeda
The harvesting costs and packing expenses at the grower - shipped

level for the prepackaged oorn were almost double those for the bulk
produoto The figures were 21 and 12 cents a dozen . Nine ents of the
propaokaging costs went for paoking materials , six cents for labor , and
six cents for overhead . Tho 008 ts for bulk oorn were divided this way :
six cents for materials , four conts for labor , and two cents for over
head ,
The work by the Bureau of Plant Industry , Soils and Agrioultural

Engineering also was done on the Diokman farms and with the same corn as
July 1949 21
that used in the PMA study . The BPISAE work , on type of package and
handling during transportation , indioates that :
Some ventilation through the wrappers is necessary in the paokaged

oorn . Refrigeration to 45 degrees F. or lower is essential during pack
aging and transportation , and quality was better at about 32 degrees .
Truok shipments of the prepaokaged oorn to markets east of the Mississippi
proved the importance of precooling before shipment, as the temperature
of a truckload of corn was lowered very little during shipment with any
equipment testod , Best results in truck shipments came from me ohanioal
units which oooled the air to much lower temperatures than those obtained
with ice bunkers .
PRECOOLING FARM - PRE PACKAGED VEGETABLES

CALLED DIFFICULT STEP IN PREPARATION
The precooling of vegetables to be farm prepa o kaged is defined as a

diffioult problem by the researchers of USDA and the Florida Experiment
Station . Their report , issued by the Agrioultural Research Administra
tion , states that while prepackaging of vegetables on the farm will per
mit some use to be made of the trimmed off parts and reduce shipping
cos ts , these advantages are considerably offset by the diffioulty of
precooling and maintaining proper refrigeration of the vegetables from
farm to market 80 they will maintain quality .
The report is based on extensive tests made in farm prepaoka ging
with funds from the Resoarch and Marketing Act in cooperation with a
commeroial grower at Ruskin , Florida .
Temperature Critical Factor
Their findings on broccoli 11lustrate the problem . When precooled

to 35 ° F. and held at that temperature , paokaged broccoli remained
fresh and groen 7 days and was only slightly discolored on the out sur
faces after 13 days . In paokages held at 45°, however , soft rot and
discoloration appeared the second day and most of those held at 70° de
bayed so badly they were usalable after the second day .
Precooling the pa okaged broccoli to 35º and holding it at that
tempe rature is the problem . Temperatures of harvested broocoli in the
field ranged from
41° and 490
69° to 790. In the hydro - cooler these were reduced to
But they rose another 10º during the short time-- 7 minutes
--required for draining and packaging . And it took at least 19 hours to
reduce the temperature to 37° when the packages were placed in cold
storage .
With the cartons placed in less favorable positions for air cirou
lation it required several hours longer to reach the optimum low temper
ature . Unpackaged broocoli in open wire baskets required anly an hour
and a half in cold storage to reduce the temperature to 37° .
MARKETING BRIEFS :
June 20 that a lending agency approved by

Cotton ,-USDA announced
CCC may make advance loans to cotton producers in amounts and at interest
rates mutually agreeable between the lending agenoy and the producer on
cotton for which the final CCC loan rate cannot be determined . At the
time the advance loan is made, the lending agen oy will obtain a Producer's
Power of Attorney (CCC Cotton Form J ) from the producer . This power of
attorney will permit the lending agency to convert the advance loan to a
regular CCC loan without requiring the producer either to repay the ad
vance loan or to sign additional papers . Conversion of advance loans to
regular CCC (Form A) cotton loans must be prior to September 1 , 1949, or
within 15 days from the date of the classification by a Board of Cotton
Examiners , or within 15 days after the date of the warehouse receipts ,
whichever is later . When the loans are converted , the lending agency
will pay the producer any difference between the advance loan and inter
est and the regular CCC loan .
Dairy.m - Dairy farmers in the Philadelphia , Pa . , milk marketing area

will be assured of the present minimum price of $5,50 per hundredweight
for Class I milk through September , the U.S. Department of Agrioulture
announced June 28 . Sohe duled to expire June 30, the minimum price was
extended by the Department to continue serving as a temporary prioing
provision util a more permanent method of prioing can be established
for the market .... June 22 , USDA announced an extension of the present
me thod of pricing Class I -A milk in the New York milk marketing area
through the remainder of 1949 . Class I - A milk consists chiefly of fluid
milk sold in the New York area . The Department suspended a provision of
the Federal order regulating the handling of milk in the New York milk
marketing area which called for the present pricing method to expire
June 30 . The present prioing method establishes a price for Class I - A
milk ( 3.5 percent butterfat ) at a level 19 cents less than the price
established for Cláss I milk (3.7 percent butterfat ) in the Boston mar
ket . This me thod , put into effect January 1 , 1949 , for a six -month's
period , is now extended through 1949 .... Announcement of a Federal order
to regulate the handling of milk in the Lima , Ohio , milk marketing area
was issued by USDA June 27 . The Federal order , requested by dairy farm
ers supplying the Lima market and authorized by the Agricultural Market
ing Agreement Aot of 1937 , will estaðlish minimum prioes to dairy farmers ,
pool the returns to dairy farmers , and require milk handlers to y pa
dairy farmers the minimum prices. The order will not set retail prices
to casu mers . The order was issued following approval by more than a
two - thirds vote in a referendum of the dairy farmers to be affected by
the order .
Fruits and vegetables . - U . S. Standards for grades of frozen con

centrated or ange juice , published in the Federal Register June 24 , will
become effeo tive July 24 , The published stander ds are based on studies
made of the type of frozen concentrated orange juice , concentrated under
high vaouum at low temperatures and standardized to 41.5 to 43,5 de
grees Brix ( technical term for measurement of ocoentration ) , without
the addition of any ingredients other than fresh orange juice. USDA will
July 1949 23
consider making further studies of such other types of frozen orange con
centrates with a view of developing standards for them if a need is
definitely established by the industry concerned , including the interests
of con su mers .
Grain .-- A program to support the price of 1949- crop rice at 90 per
cent of parity as of August 1 , 1949, was announced May 31 by USDA . The
program will be implemented by non - recourse warehouse - storage and farm
storage loans and by purchase agreements with producers . Support prices
will be established by CCC on the basis of variety , grade and other
quality factors , at le vels which will reflect to producers a weighted
average rate equal to 90 porcent of the rioo parity price as of the be
ginning of the marketing year , August 1 , 1949 . This is the level of
support required by law . Eligibility requirements for rice , for pro
duoers , and for 88 80 oiations of producers are the same as those under
the 1948 programo Loans and purchase agreements will be available on
rice produced in Arkansas , California , Louisiana , Mississippi , Missouri
and Texas from time of harvest through January 31 , 1950. The loans will
mature on April 30, 1950, or earlier upon demand . Produo ers desiring to
deliver rice under purchase agreements must declare intentions to sell
to CCC with in a 30 - day period , ending April 30 , 1950, or earlier as may
be determined .... Most
foreign purchasers have the option as of
July 1 of proouring supplies of all whole grains except wheat either
directly from private suppliers in the United States or through the com
modity Credit Corporation , USDA announced June 17. thiss polioý
Under thi
all countries abroad except the oo cupied areas , Korea , Austria , Trieste ,
Greece and China can make their own decision as to the procurement meth
od for " ooarse " grains which will be most satisfactory from their point
af view as their standard procedure for such procurement operations .
They can continue the present system of proourement through CCC , or
arrange for commeroial exports through private suppliers USDA offi
cials feel that the option of handling procurement through commercial
trade channels will facilitate the movement of coarse grains to a number
of countries .
Naval Store 8.- A weekly report on crude pine gum prices was inaugu
rated on June 23 , in connection with the 1949 Gum Naval Stores Loan Pro
gram , USDA has announced . It will be the first such report issued by
USDA on na val stores . The report will be based on information obtained
from processimg plants and will show quantities of gum purchased , quan
tities of rosin estimated to be contained in the gum , and average prices
pa id . The information from all plants will be combined , and the prices
published will be based on the standard barrel of 435 pounds net of
crude gume There are 13 grades of rosin , but lower grades are seldom
produced under moderna con ditions and the information released will gen
erally be limited to the 6 or 7 top grades , The report will be prepared
and issued in Washington , with simultaneous release at Atlanta , Georgia .
Poultry . - June 20 USDA announced that the Ninth World's Poultry
Congress will be held in Paris , France in August 1951. The invitation
to meet in Paris was extended by Monsieur Pierre Pflimlin , Minister of
Agriculture of the Republio of France , to the World's Poultry Soience
Association . The invitation was accepted by W. D. Termohlen , President
of the Assooiation and Director of 'the Poultry Branch of the Production
and Marketing Administration , USDA .
ABOUT MARKETING
The following addresses ,

statements , and publications , issued re
cently , may be obtained upon request , To order , check on this page the
Administration , U. S. Department of Agrioulture , Washington 25 , Do C.
Youth is a Savings Bank , talk of Agriculture ,

by Seoretary
Charles F. Brannan , at Washington , D. C. , June 16 , 1949, 6 pp. (Proo
e88ed)
Statement before the Subcommittee of the Senate Committee on Agri
ailture and Forestry , by Secretary of Agriculture , Charles F. Brennan ,
on S. 1721 , providing for support of hog prioes through payments , June
17 , 1949, 7 pp. ( Proo o88ed) port
Statement outlining the immediate steps to be taken in a broad
program to develop more adequate storage facilities for farm committees ,
by Secretary of Agrioulturo Charles F. Brannen at Washington , D. C. ,
Jime 7 , 1949 , 5 pp. (Processed )
Summary
of remarks by Ralph S. Trigs, Administrator of PMA and
President of CCC , at the State Conference of County and Community Agri
cultural Caos ervation Committe emen , Baltimore , Md . , May 26 , 1949 . 9 pp .
( Proo essed)
Fats and Oils an address by George L. Pritchard , Di
Situation ,
rector , Fats and Oils Branch , at Ashville , N. C. , June 28 , 1949 . 4 PP •
( Proo essed )
Publications
Cottonseed Quality in the thited States : 1947. ( PMA ) May 1949.

30 pp • (Proo essed )
Wholesale Prices of Fresh Fruits and Vegetables and Auction Prices
of Fresh Fruits at New York City and Chicago , and F.0.B. Prices at Lead
ing Shipping Points, by Months : 1948 . ( PMA) 82 pp. (Processed )
Survey of Tree Nut Usage by Industrial Users : An Exploratory
Study Into the factors Affeoting Usage of Tree Nuts , ( PMA ) 1949 , 5 pp .
( Proo essed)
Carlot Shipments of Fresh Fruits and Vegetables by Commodities,
States and Months , Including Boat Shipments Reduced to Carlot Equivalents :
Calendar Year 1948 . ( PMA ) May 1948 , 32 PP
Recommended Specifications for Standard Packages and Packs for Dried

Eggs . (PMA ) June 1949. 28 pp .
July 1949 25
ABOUT MARKETING (Contid )
Canned Citrus Fruit Juioes and segments : Annual Paok and Disposi
tional Data , 1928-29 to 1947-48 , (PMA ) May 1949, 20 pp . ( Processed )
7
The Wholesale Markets for Fruits , Vegetables , Poultry , and Eggs , at
Greenville, S. Co (PMA ) June 1949. 46 pp . (Processed )
Cotton Classing and Market News Services for Organized Groups of
Growers , ( PMA) March 1949. 6 p. folder . (Printed )
Core Sample Analysis for Determining Shrinkage of Grease Wool .
(PMA) March 1949 , 19 pp . ( Processed )
Dairy and Poultry Market Statistics : 1948 . ( PMA ) CS-36 . April
1949. 96 PP. (Processed )
Marketing Snap Beans in the Mountain Tri - State Bean Area . ( PMA )
May 1949 , 12 pp. ( Processed )
U , S. Standards for Grades of Frozen Red Sour ( Tart ) Pitted Cherries .
( PMA ) June 1949. 7 pp . (Processed )
U , S. Standards for Grades of Canned Red Sour (Tart ) Pitted Cherries ,

(PMA ) Jue 1949 . 8 pp. (Processed )
Fruits (nonoitrus ) : Production , Farm Disposition , Value , and Uti
lization of Sales , 1947 and 1948 . ( Bureau of Agricultural Economics )
July 1949 . 34 pp ( Proo essed )
Feed and Vegetable Seed Production and Demand in Europe . FAR - 36 .
(Foreign Agricultural Relations ) June 1949 , 48 pp . ( Processed )
PMA - State of Commodity Marketing Seasons ,

Summaries ( Listed by
commodities with States indioated , all processed ) :
Apple Summary : 1948 , Martinsburg , Winche ster and nearby points , W.
Va, and Va . , 2 pp .
Cabbage , Summary 1948-49 Season , Western and Central N.Y. , 12 pp .
Marketing Texas Cabbage, 1948-49 Season , 15 pp .
Marketing San Joaquin Valley Cantaloups , Calif . , 1948 Season , 28 pp .
Marketing Western and Central N.Y. Garrots , 1948-49 Season , 5 pp.

Marketing Calif , -Ariz . Citrus , Summary 1947-48 Season , 52 pp .
Marketing Flao Citrus , 1948-49 Season , 7 pp .

26
August 1949
MARKETING
ACTIVITIES
STANF
COCAOMERS OR
194A9
R
UG
Washington 25, D.C.
IN THIS ISSUE :
FOREIGN TRADE- A TWO - WAY STREET

By Fred J. Rossiter . Page 3
Our huge agricultural export volume of the last few years is due to
taper off with increased produotivity and smaller dollar balano es abroad ,
Mr. Ros siter , who is Associate Director of the Office of Foreign Agri
oultural Relations , points out that we can check this deoline by in
creasing our imports of foreign goods ,
ELECTRONIC SCALE DEVELOPED

By Charles L. Richard Page 7
An electronic livestock scale which weighs quiokly and aocurately

has been developed under the direotion of the Production and Marketing
Administration , USDA . Employing eleotronic principles rather than me
chanical ones , the scale automatically registers weigh values on a large
dial and prints them on å tioket with the push of a button . Mr. Richard
of the Livestook Branch directed the Research and Marketing Aot project
whioh developed the scale.
SNAP BEAN SUGGESTIONS

By V. V. Bowman ....... Page ll
Snap bean producers in the Tri - State Mountain area of North Carolina ,
Tennessee , and Virginia in 1947 suddenly fond their product soaroely
worth the picking . Their problems were studied the following year in a
Research and Marketing Act project whioh turned up some good advice for
snap been producers everywhere . Mr. Bowman , of PMA'8 Fruit and vege
tablo Branch conducted the study .


Washington 25, D. C. Issued monthly . Vol . 12 , No. 8
Foreign Trade - A Two -Way Street
By Fred J. Rossiter
We all know that exports of wheat, flour, rice , and several other
agricultural commodities have been unusually heavy the past three years ,
We all know , too , that the se record exports -- stimulated by our foreign
relief and rehabilitation operations-- Will taper off even tually .
But our exports may even tually taper off too far , unless we begin,
now , to take positive steps to build up a sound international trade .
Our success in building that perman ently sound trade will mean much to
the wheat farmer , the cotton grower , the tobacco produoer , and many
other agricultural people who se arops must move to a certain extent in
export channels .
In colonial times , foreign trade presented few problems . History

records that George Washington , living on his farm in Virginia , shipped
tobacco and wheat to England
to pay for pottery , textiles , tools , and
other industrial equipment . In other words, our colonial fathers shipped
agricultural commodities to Europe in exchange for industrial supplies ,
Later, European capitalists made loans in this country to build factories
and railroads, but still we paid our debts largely with agrioultural ex
parts ,
Agricultural Export Trend Has Been Downward
The importance of agricultural commodities in our export trade began

to decline about 18 90 . The averagequantity of agrioultural exports
didn't decline , but percentage - wise they lost ground to industrial
products , By 1910 industrial products represented about 50 percent of
our total exports . Except for war periods , this downward trend has
con tinued Immediately before World War II agriculture was furnishing
less than 25 percent of our exports .
One reason for this declining importance of our agricultural exports

has been the rapid agrioultural expansion in such countries as Canada ,
Aus tralia , and Argentina . About the turn of the century these countries
began producing more grain and livestook produots for export, World War
I acoele rated this development. Importing countries were able to obo
tain their agrioultural needs from these countries often at prices lower
than from the United States ,
Another reason for the decline in agricultural exports has been our
rapid industrial expansion . Within little more than a humdred years this
Nation has built up the greatest industrial plant in the world . Our in
dustrial produts are in great demand abroad . For many of them we are
the only important supplier . In order to conserve their limited dollars
for our industrial pro du ots , many nations must turn al sewhere for their
agrio ul tural supplies .
August 1949 3
This lack of dollars 18 foroing Western European countries to
arrange barter deals with Argentina and the Soviet Union for agrioultural
supplies. The United Kingdom has just roomtly consumatod agreements
with both countries .
This brings up the very tough question of trade balans 68. It is in

teresting to note that during much of our history we have exported more
than we importe do Un til about 1920 the extra exports wero nooded to pay
interest and principal on our debts to foreign investors . We were paying
off the debts on our railroads and factories . In September 1914 we still
owed Europe about half a billion dollars ,
But World War I brought a significant change--we paid off our debts
and came out with the rest of the world owing us money . Europe by 1920
owed us half a billion dollars , It is normally considered good business
to pay off one's debts . But since we paid off our debts We 8eem on
tinually to have been in foreign trade trouble . You know the reason :
We have continued to export more than we have imported . The foreign
countries couldn't pay us the balance , and trouble en sued.
Depression Restricted World Trade
Following World War I , this country made substantial loans to Europe

for rehabilitation and industrial developments. Then came the depression ,
our imports dropped , and our londing activities came to an end . Foreign
governments found it necessary to restrict imports from the United States ,
in or der to conserve their dollar balano es . This trend in conserving
dollars continued up to World War II . Foreign governments applied im
port restrictions , developed wneconomic food produotion , subsidized ax
ports , devalued currencies , increased import duties , and applied mary
other trade restrictions .
As far as Latin America is concerned this picture changed during the

recent war. At the olose of the war nearly every country in the Western
Hemisphere had large dollar balances . These had been built up by U , S.
purchase of strategio war supplies while , at the same time , our export
restrictions limited their purchases from us . As export restriotions
were lifted , these countries immediately began procuring large quanti
ties of industrial products in this country . As a result , most of them
used up large portions of their dollar balances ,
At the present time only a few countries in the world have a surplus
of dollars avai lable for restricted use in this country , and ance again
our exports are far exceeding our imports , In 1948 , the value of our
total exports are far exceeding our imports . In 1948 , the value of our
total exports amounted to 12.5 billion dollars , whilo ar imports -- though
the highest on recordam totaled less than 7 billion dollars, That left a
5.5 billion dollar gap last year . This year the total value of our ex
ports will probably be less than last , while the value of our imports
may be somewhat greator . Nevertheless , a wide gap still edsts . This
gap , at the present time , is filled largely through the European Re
covery Program and our feeding programs in Germany and Japan .
In light of this situation it is not difficult to understand why
foreign governments restriot the use of their limited dollars . Many in
dustrial commodities are available only in the United States . Countries
wishing to obtain such products to improve their standard of living find
that they must turn to this country . Therefore they either obtain their
needed agricultural imports from some other area or subsidize their own
farmers in an effort to become self - sufficient in food .
Such action , of course , works to the detriment of United States

agriculture , This country , through hard work and ingenuity , has built
up the largest agrioultural produo ing plant in our history . Our total
agrioultural production for the past 10 years has far surpassed that of
any country in the world . In expanding this agricultural plant , we had
our " growing pains , such as lack of equipment , lack of tractors , and
lack of fertilizers , These " growing pains " have now been forgotten .
It appears that during the next few years, it may be necessary for us
to reduce our agricultural producing plant somewhat and it is probable
that our " reduo ing pains " will be more painful than were the " growing
pains . "
It appears that after ECA financing is over many countries will have
even greater difficulty in paying for our agricultural exports . We know
that many countries in the world can use our agricultural commodities and
it is hoped that some means can be developed whereby it can be made pos
sible for them to pay for the agricultural commodities which We can
supply .
World Trade Tied to Living Standards

Everyone recognizes that a high level of international trade helps
to maintain high standards of living at home and abroad . The more inter
national trade that we can dévelop on a sound basis , the more ocean
shipping that will be required , the larger the number of dock workers
that will be needed , the more rail transportation that will be necessary
--and there will be additional work for many people all along the line .
It not only will result in greater employment in this country , but also
in the countries with whom we trade , If the United States can help in
oroase international trade on a sound basis , it will me an that other
countries will have higher standards of living , more employment , and
thus a greater den and for agricultural commodi ti es . To help build sta
ble international trade , we in the United States must do some construo
tive thinking and constructive acting which will increase our imports
to provide dollars for our neighboring countries .
The rice industry , for example, is conscious of the fact that the
more sugar the United States purchases from Cuba , the more rice and
oth er commodities Cuba is able to purchase in this country . If Cuba is
unable to sell sub stan tial quan tities of sugar to us , we know that Cuba
will have to trade with the country that is willing to trade with her .
The people of the United States must do some serious planning during
the next few years in order to help foreign countries earn dollars . In
creasing imports is the most important method .
01
August 1949
The Reciprocal Trade Agreements Program which has been in effect
since 1934 is one important step forward . So far , it has been diffioult
to measure the value of this program because , soon after it began , war
preparations and war itself disrupted normal trade, The principle , how
ever , most people agree , is a good one . It is a step forward -- not only
toward expanded trade but also toward world peace.
But something more is needed, or else our agricultural exports will

shrink materially . Some may feel that the Government should procure our
surplus agricultural commodities and ship them abroad at whatever price
can be obtained. While this may be a method for continuing export trade ,
many do not believe this to be the most healthy way of developing inter
national trade . Everyone recognizes that there are limits as to what the
Government can do .
Tourists ' Dollars Help
Inoreased import trade alone cennot completely solve this problem ,

Other means must also be employed to help build up purchasing power for
our commodities . Increased use of foreign ships , planes , and other ser
vices-- to an extent compatible with our over -all national interests --will
assist . And tourists ' expenditures -- for such things as entertainment ,
textiles , souvenirs , meals , lodgings , and transportation - have a dreot
bearing on our agricultural exports , because some of the American dollars
8pent abroad will be used for purchasing our wheat , flour , tobacco , and
other farm products .
The ECA rehabilitation program in Europe should greatly aid the
European countries in restoring their industrial produotion . This should
increase their exports and improve their economies so that, in the years
ahead , they should be able to take sizable quantities of our agrioultural
commodities
In spite of all these programs to aid foreign trade, it is probable

we cannot maintain in the long run our present high level of exports .
We must expect some shrinkage in our agricultural exports due to agri
cultural recovery abroad . Our industrial exports may also deoline as
European export capacity is restoredo
In brief , international trade is a two -way proposition , If we hope
to maintain large exports , we must be willing to help foreign countries
earn dollars to buy our products ,
OFAR STUDIES AFRICAN TOBACCO

AND EUROPEAN FATS AND OILS
Trends in tobacco production , consumption and trade in major African

areas , and developments affecting the demand for certain fats and oils
and related meat products in European countries are being studied by the
Office of Foreign Agrioultural Relations, The projects are auth orized
und er USDA'S Research and Marketing Acto
Electronic Scale Developed
By Charles L. Richard
Honest , ao curate weights are more than good business in the live
stook industry . They represent the basis for practioally all of the in
dus try's yearly 10 billion dollars ' worth of business . For that reason ,
a new , accurate , and virtually foolproof olo otronic - type soalo , developed
950 ..50... 100

900
150
850
19 -200
800
-250
750 ca
X80223
300 AVA
700
20 350
ORGAR
650 30
25 $ 00
600 450
550 500
Four weighing cells ( center )--the size of pint fruit jars are the heart of the scale .
A sma 11 light be low the dial flashes green when weighing and red when controls are set
for print ing or zeroing . The printer ( right ) contains all the operational controls .
under supervision of the U. S. Department of Agrioulture , 18 a signifi

cant contribution to the agricultural enterprise that brings to produoers
the largest single share of farm income .
Stookomen have long known that there is no place for either the
ibutoher's thumb " or the " baker's dozen " in sound livestock transactions ,
At the same time they have recognized that , up until now, practically
all weighing of livestook has been done on scales so designed that ther
opera tors undght derive and record incorrect weight values through aooi
August 1949 7
dent , carelessness , or deliberate intent . The me chanical design of the
lever type of scale is inherently liable to variance and easily suscep
tible to external manipulation .
Electrons Are Conscientious
In its new scale , the Department sought a forco - measuring mechanism

that records automatically and is tamper - proof . The Department has been
on sound ground in assuming that electrons are honest and reliable .
After seven extensive tests in six different stockyards , the scale ap
pears to be consistently accurate , rapid and economical , Moreover , it
is equally sensitive to all weights within its capacity range ; it records
weights clearly and accurately ; and it requires only the pressure of a
button to be automati cally balanced. Finally , it has been designed so
that a weight cannot be recorded unless a corresponding load is applied
to the soale platforms
The work on the electronic scale was begin about the middle of 1948
by the Cox and Stevens Aircraft Corporation , under contract with the Dom
partment. It was supervised by the Livestook Branch , Production and Mar
keting Administration , as a project under the Research and Marketing Act .
The researchers were looking for a scale that would eliminate the pos
sible inaccuracies , the time - consuming but essential balancing procedure ,
and the lack of clarity in weight indication in the conventional - type
equipment . They also hoped to develop a scale that would be a daptable
to existing scale pits and platforms , and at the same time eliminate the
problems introduced by dirt , rust , moisture , and rats . Speaking of rats ,
the researchers discovered that a stockyard rat resting on some points
in the lever train in the scale pit might register up to 400 pounds on
the weigh beam . They found , too , that even greatér variances could be
obtained in the conventional soale by the operator , through manipulation
of the poise in printing the scale ticketo
Conventional Platform Used
The electronic scale virtually eliminates the ahor toomings of the

lever - type soale . The heart of the now development -- the strain - gage
cell with electronio indicator --had been designed previously by the air
craft corporation . Working under oon traot for the Department , the com
pany now has transplanted into a new field the precision of flight engi
neering . This required extensive modification of the scale used in air
plene work . Four of the compaot cells are placed under the comers af
a oon ventional platform . Each cell electronically transmits its pressure
impulse through an electric cable encased in a flexible rubber - covered
oon duit .
The measure of the pressure on the cells is translated into the

re oor ded weight in an indicator uit , and registered on a dial as large as
a di ah pan - in contrast to the indistinot indication on the standard weigh
beam wd th its closely spaced graduations . On this 16 - inch dial are two
cono entrio graduated ciroles , the sunaller divided plainly at thousand
pound intervals to a capacity of 32,000 pounds , and the larger oirolo
graduated in 5 - pound intervals to 1000 pounds capacity . Two indicator
hands , corresponding to the hands of a time olook, combine to register a
total that is clearly up to distances of at least 10 feet . on
visible
the lower assembly are red and green signal
section of the indicator
lights which show whether the unit is in operation or looked for print
ing
Printer Records Vital Information
On the printer , the third element of the assembly , a series of keys

oontrols a set of type wheels arranged to record the number and spe oies
of animals weighed , as well as the initials of the selling agency . This
wit is eleotrically connected to the indicator and it prints simil
tan sously : the registered weight on the dial , the species and number of
the animals weighed, and the month , day, hour and minuto in which the
weighing is performo da
SCALE SPECIES SOLD PRICE WEIGHT ( LDS . ) AMOUNT
DATE DRAFT
BY
1949 JUN 21 PM 12 52 7 320 ST 000 TSM 12 000

1949 JUN 21 PM 12 53 7. 321 TST 000 L JM 1 3 ООО
PEN
REMARKS FROM TO * Bregant
CERTIFIED DEPUTY PUBLIC WEIGHER
Put15 lit000tleiuofe. anecoo

ed THE BELT RAIL ROAD
AND STOCK YARDS COMPANY
INDIANAPOLIS, INDIANA
OWNER . SOLD TO_
Smaller than the or i final, this ticket reproduction carries the record of two test
wei ghings of drafts of 12,000 and 13,000 pounds . Stamped in by the printer in regular
use will be the time and date of weighing , the sca le number , the type and number of live
stock , the name or symbol of the commission agent , and the weight of the draft .
Depending upon the size of the load , the weight value is indicated
in two to seven seconds , or in about half the time it takes to balance a
onventional weighbeam soale . This time saving is significant at any
yard where scores of lots must be weighed in a heavy run of livestook ,
Time required for installation is but a fraction of that required
for the normal lever - type soale . In the new device the general compact
ness and the flexibility of coupling between the cells and the indicator
unit establish such a degree of adaptability that the entire mechanism
can be installed in approximately one hour where a lever system scale is
replacedo
scale , the higher initial cost of

As compared to the conventional
the new equipment is offset to a considerable extent by the quality of
service it offers and the volume handled, as well as the lower costs for
installation . All parts are replaceable as units , so that " trouble
shooting " and repair are distinotly simplifiedo
Commercial installation of the new scale is expected to begin in
September There are indicatio ns that a number of progressive organiza
August 1949 9
tions operating terminal stookyards will take the lead in utilizing the
now ele otronio prinoiple in weighing livestook .
The extension of the newly designed soalo to other fields is a good

possibility with its consis tently satisfaotory performance at all weights
with in the ranges covered . Its acouraoy and direot and open indication
of weight values will appeal strongly to anyone who has some thing to soll
on a weight basis
FARMER'S SHARE OF MEAT DOLLAR DROPS WHEN PRICES DECLINE
" When prions are low , a relatively large share of the consumer's
meat dollar goes for processing and distribution and a relatively small
sha ro 15 received by produoers . On the other hand, when prices are high, ;
the larger share goes to produo ors and the smalle share for market
r ing
according to a report is sued July 8 by the Bureau of Agrioultural ECO
nomios , USDA .The report is called " Farm - to -Retail Margins for Live
stook and Meath and is based on studies made under the Research and Mar
keting Acto
Consumers paid an average price of 55.4 sents a pound for meat in

1947 of whioh 35,4 oents went to the farmer . The other 20 cents went to
marketing agencie s -- the railroads , packers , wholesalers , and retailers ,
In 1932 , con sumers paid an average price of 20 cents per pound for meat ,
with 13.2 cents going for marketing and only 6,8 cents to the farmer .
In 1939 , the average paid by consume ra WES 24.4 cents a pound . That
year 12.8 cents went for marketing and 11.6 cents to the farmer .
The report compares marketing costs for livestock and meat in the
highly contrasting years 1932 and 1947 with the more "normal" peacetime
year of 1939, In 1932 , a year of low prices , about 34 cents of the oon
sumer's meat dollar went to the farmer and 66 cents for marketing ; in
1947 , a year of high prices , nearly 64 cents went to the farmer and 26
cents to the marketing agencies (processors and distributors ). In the
more normal po acetime
year of 1939 , the farmer got 47.5 cents and the
marke ting e
poopl got 52.5 cents of the consumer's moat dollar .
Margins, or costs , for marketing are broken down in the report into
four broad ſuno ti oms : the marketing of livestock ; peoking and processing
of meat; wholesale distribution of meat ; and retail distribution of meat .
The marke ting of livestock took 5 cents of the consumer's me at dol
lar in 1932 ; 4,7 cents in 1939 ; and 2.3 cents in 1947. Meat paoking and
proo essing took 20 cents of the consumer's meat dollar in 1932 ; 15,9
cents in 1939 ; and 13.4 cents in 1947 . Wholesale distribution took 8
cents of the consumer's moat dollar in 1932 ; 6.2 cents in 1939 ; and 4.2
in 1947 . Retail distribution took 33 cents of the consumer's meat dol
lar in 1932 ; 25,7 cents in 1939 ; and 16,2 cents in 1947.
The report states that among the factors affecting costs and margins
in the marketing of livestock and meat are : wage rates , productivity of
labor , overhead costs, volume produced , cost of supplies and conta in ers ,
amount of processing , and transportation costs ,
Snap Bean Suggestions
By V. V. Bowman
There's something about snap beans that seems to mark them for dis
Gussion , There's the lively cooking controversy -- whether they should be
dashed in and out of boiling water and served orispy and green -- or for
gotten on the back of the stove with ham hook or fat baok after the
Southern meraner .There's even a growing French school whioh slivers or
dioes the tender beans and serves them buttered and wispy .
But in recent years , snap beans , partioularly the map bean of the
Mountain Tri - Stato area of Western North Carolina , Northeastern Tenno
8808 , and Southwestern Virginia , have stirred up more serious di soussion .
More than 3,000 snap bean growers of this area faoed a disastrous marketa
ing situation in the summer of 1947. As a result , the problems were sur
boen analyzed in a report issued by
veyed the following year and have been
the Produo tion and Marketing Administration of the USDA . The project
was handled by the Fruit and Vegetable Branch with funds authorized
imder the Research and Marketing Aot Researchers familiar with over
all problems fool that many of the results are applicable to bean pro
duo ti on in other parts of the country .
Tri -State Area Inoroased Acreage in 1947

Snap bean produo tion in the 17 courti es making up the Tri - State
area grew quickly from 5,631 aores in 1939 to a locally estimated 22,000
Qoros in 1947. comparison , tho national aoroage inoreased
By way of
roughly from 260,000 acres in the 1935-44 period to 284,000 aoros in
1947. These figures indicate that been production in the Tri - State area
may have outgrown its market , and the corresponding price pioture shows
that this was exactly what happened . The local demand for snap beans ,
which had been strong during the war years and had held steady at $ 2.00
$ 2,50 per bushel during the 1948 season, suddenly skidded to below the
$1.00 level during much of the 1947 marketing 888.80n . With suoh dem
moralizing marketing oonditions the Department of Agriculture purchased
aur plus beans in the area for the first time . Moreover , an estimated
200,000 bushe Ls were abandoned because market prices offered were too
low to pay the costs of picking .
As a direct result of their severe losses in 1947 producers cut back
their plantings in 1948 to an estimated 13,000 acres and the prices re
ceived in 1948 rofleoted the rosulting shorter supply. Prices held near
the $ 2,50 per bus hol level and only in the last week of the season did
they drop below the $ 2,00 mark .
The PMA study , whioh began sarly in 1948 , soon di salosed that there
woro more snap bean problems than an occasional oase of over - production ,
August 1949 11
The researchers suspected this when the 1947 market in the Tri - State area
began to break before substantial amounts of beans began to reach the
local motions . This resulted partly , no doubt , from the slaoken ing dom
med by bean canners over a wide area .
But what actually caused the " problem beans " in the 1947 season of
the Tri -State area , even before a local surplus existed ? Looking into
the problem , the researchers found that midwestern fresh market demand ,
end proo e880rs ' demand over a wide area , very largely influence the price
of map beans in the Mountain area , In the first half of 1947 stooks of
canned gross and wax beans were imusually high and the Nation's camers
paoked approximately 29 peront less in 1947 than in 1946. Processors
from distant States , who in recent years had been coming to the area for
beans , withdrew from this market in 1947. Moreover , the nearby processors
who normally buy a large part of the local production , decreased their
packs markedly and purchased at low prices ,
The study further disclosed that the high produotion of snap beans
in the early summer States Maryland , Delaware, New Jersey , Pennsylvania ,
Now York and Illinois -- overlapped the pro duotion of the area , and , be
cause of the ir proximity to processors , competed most successfully .
The report suggests that the answer to this problem of overlapping
produotion end oarryover supplies must be found in wiser planning by pro
duoers with help from county , State and Federal agenoies in touoh with
the nationwide picture . In addition , the report emphatically states that
producers must check advance information on the indicated demand before
they plan their production ,
Better Qual ity Beans Demanded

Fortunately for the entire snap bean industry , the study in the Tri
State area tackled snap been marketing problems of general concern . Tho
probing disclosed that there was plainly a need for greater emphasis on
bet ter and more uniform quality . Only the better quality beans meet all
the den ands of canners , quick freezers , and the fresh market . Freedom
from disease is an important factor , and research on bean varieties has
resulted in two new mosaio - resistant varieties . One of these , the Rival ,
has been available for spring planting in 1949 , while the other , Fulorop ,
will not be commercially available until 1950 , But although disease re
sistance is a factor in both yield and quality of all varieties , grow
ers need to inorease their efforts toward inseot control and timely har
vesting if high quality is to be attained with any variety .
It was disclosed in the Tri - State studies that small produoers
commonly piok and deliver beans to local
beans to local markets in bags . This is an
umdesirable pra oti ce because it results in bruising and trampling , and
subsequent losses in retail stores , Bags are more readily handled than
orates or hampers in the family auto , but in any bean - produoing area
neighborhood planting schedules and cooperative truoking would allow the
use of orates or hampers and save time of individual producers .
Apparent in the auction - type market prevalent in the Tri - State area
was the need for county and area planning of sucoassive plantings to
provide a more even flow of supplies . The volume and price records of
one Tri - State auoti on organization , studied for the past throo 8 698 ons ,
indicate that in the heavy production years of 1946 and 1947 as many
beans were sold in July as in the 2 months of August and September .
Pric es , however , were considerably lower in July . In 1946 , highest prices
were received the first week of September and in 1947 , September was the
high price month , In 1948 , the volume was low during the first half of
the season and the price was high throughout the year , Since 8 Basonal
output can be modified by time of planting , it would appear to be ad
vantageous to growers to plan a planting schedule to keep pro duotion in
balance with apparent demand throughout the season .
In the markets studied , the lack of labor - saving equipment was far
too apparent . The unloading , paoldng , and reloading on commercial truoks
wholly by man ual lab or is time - consuming and inefficient , and results in
some cases in undue in jury to the beans , Under present methods , workers
trample the beans while emptying bags into processors ' truoks for bulk
shipment . Labor would be saved and injury to boans avoided by the use
of conveyors for unloading , handling on the auction floor , and loading
operations , Conveyor elevators are needed for loading bulk beans on
processors toru oks .
Representative Samples Build confidence
The marketing studies indi oated that wherever there are auction mar
kots it is important to belt - grade beans for the fresh outlets . With
such a service , samples displayed on the auo tlon would be more represen
tative of the lot offered for sale , and buyers would bid with more con
fidence , When adverse marketing conditions prevail , buyers gravitate to
points of fering graded beans , or may themselves establish grading and
peaking faodlities ,
A serious auction markets appears to be the
shortooming in some
manner in which sample beans are seleoted and displayed . At many auon
tions, a grower selects a sample of his load and displays it in a hamper .
In this method of selling by sample , it is probable that a more impar
tial sele otion of the sample would result if the selection were made by
an employee of the motion organization or by a Federal - State in spootor.
The mammer of display of the sample in a hamper , especially during
rush periods , appears to result in ina dequate inspeotion by buyers . If
the samples were spread out on seotions of an elongated table or a slowly
moving grading belt or similar conveyor , buyers could judge the qua lity
much more accurately and readily .
In some areas country awo ti ons find it advantageous to dispense with

Samples and provide for examination of the produse on the grower's ve
hicle . Sometimes , too , Federal - State inspection is used to indioate the
grade of each lot , before it is placed on sale at the auction . A popu
lar arrangement for this type of auction provides for two lanes of
truoka with a platform for anotion eer and buyers between . Sales are
August 1949 13
made alternately to the two lanes and large supplies of beans are handled
swiftly .
Such fundamental marketing improvements as these promote the healthy

development of the industry . Toward suoh gains the opinions of producers,
marketing organizations and processors have oontributed to this analysis
of present conditions and trends, in an effort to further improve the
marketing of snap beans .
QUICK COOLING SAVES QUALITY IN SWEET CORN
Keeping sweet oorn " sweet " from farm field to city market depends
largely on low temperature . The high sugar content of mature oorn turns
to staroh wloss the corn 10 cooled quiaklymideally just above freezing
maand held at this low temperature . This has been demon strated by USDA
scientists in a series of studies to improve storage and shipping prao
tions . The project is being conducted by the Bureau of Plant Industry ,
Soils , and Agricultural Engineering wder the Researah and Marketing Aot .
Unless freshly harvested sweat oorn is precooled before it is loaded
into refrigeratad trucks , a very large quantity of 10o 18 required to
get it to market to good condition though the common practioe now followed
does not provide 000 ling til until the oorn is in transit . Usually the
growers paok the freshly harvested corn in Blatted woo dena orates and
haul it to a central shipping point where it may be held for several
hours at high temperatures before it is sold . It is generally shipped
to o tymarkets in truokaa that an wall innulated and equipped with a
fan blower , 100 bunker , and rear Teuts , The land is cooled with one wow
of blook loo on odgo atending the longth of the truok body . After a
few hours the load is top - lood, the vents are olored , and the fear out of
prastioes commonly used in
The findings indioate that ( 1 ) leing practices
transit do not cool the corn sul rio 1atly to maintain top quality ; ( 2 )
cooling to dosirable temperatures in transit requires nearly sta tolmes as
mich 100 . 1 now used It would be less expensive and more of footive
to precool the corn to at least 20 ° F . below field temperaturo before it
1s landed into the trucks ,
14
In the truok using the regular method of lo ing , average temperature

of the carn an departure mes approximately 77 ° F . but the temperatures
ranged for different looations in the truck from a high of 88° to a low
of 65º . On arrived , temperature of corn at different points in the load
varied from 35 to 78 ° .
The best results were obtained won 11,400 pounds of ioe were usedo
This was placed 2, 100 pounds in the brinker , 7,200 pounds of blook ioe in
the body of the truck , and 2,100 pounds as layers of snow loc between
lays is of oorn . Average temperature of the corn in this truok on arrival
at Baltimore was 41 ° T . Evidence from the records indicates that the load
reached the lowest temperature in three or four hours and maintained it
throughout the trip .
MARKETING BRIEFS :
Cotton .--USDA soientists have found that cotton bags treated with
pyrethrins or a mixture of pyrethrins and piperonyl butaide successfully
keeps insects from penetrating cotton bags , the Agricultural Research
Administration annanoed July 22. The Bureau of Entomology and Plant
Quarantine , Manhattan , Kans . , and the Southern Regional Research Labora
tory in New Orleans developed the treatment and worked out a practical
method of application during investigations financed , in part , by funds
from RMA . The Textile Bag Manufaoturers Association and several large
bag manufacturers are interested in the commeroial use of this treatment .
Dairy .-- A deoisi on to issue & Federal order to regulate the handling
of milk in the Rookford -Freeport , Illinois , milk marketing area was en
nouno ed July 14 by USDA , The Federal order-- the first for the area in
volved - was requested by the dairy farmers affeoted and authorized by the
Agrioultural Marketing Agreement Act of 1937. It would establish mini
mom prioes to dairy farmers , pool the returns to dairy farmers , and rem
quire milk handlers to pay dairy farmers the minimum prices , Before the
order can be issued it must be approved by three - fourths of the dairy
farmers in the area .
Fruits and vegetables . --USDA announced July 14 that, in line with

recommendations of the area committees and the Colorado Potato Committee ,
shipments of potatoes from Colorado will be limited to U. S. No. 2 or
better grade and 1 1/2 inch or larger size. The regulation became off 60
tive July 18 , and continues in of foot until suspended or modified . This
regulation is authorized under the Federal Marketing Agreement and Order
Program regulating the handling of potatoes grow in Colorado which was
plao od in effect in 1941. The program has been inactive since 1942 but
operations exre being resumed at this time .... Limitation of shipments of
early Irish potatoes from the production area covered by Marketing Order
No. 57 was annouoed in mid - July by USDA . In accordanoe with recommenda
tions of the Idaho - Oregon Administrative committeo , shipments of Russet
Bur bank and Long Whito varieties will be limited to siz 88 2 inchos or
larger in diameter or 4 ounces in weight ; and for all other varieties to
sizes 1 1/2 inches or larger in diameter . These are all sub joot to the
usual tolerances for size included in the U. S. Standards for Potatoes .
The limitations which became effective July 18 will be in force until
12:01 a.m. , M.S.T. , September 15 , 1949 , Marketing Order No. 57 is appli
cable to Malheur County , Oregon , and the following counties in Idaho :
Adams , Valley , Lemhi , Nark , Freemont , and all counties in Idaho south .
Grain ... USDA has announced effective as of July 13 wheat ex

ports to all countries outside the Western Hemisphere and the Philippines
will be on an " open - end " quota basis. This means there will be no limits
on quantities that may be shipped to any of these countries . Esports to
Western Hemisphere countries and the Philippines will continue fres af
all restriotions , CCC will continue to supply wheat to all areas out
side the Western Hemisphere and the Philippines , with the exception that
quantities not in exo698 of 100 long tons may be exported through com
merical chamels . More over CCC will make periodio announcements of quan
tities and destinations of wheat to be supplied by CCC on specifio re
August 1949 15
quests and requisitions from the Army , ECA , and cash -paying countries ,
Announcements will also in olude the quantities of coarse grain and flour
being supplied by CCC.... Lato in June USDA knowmood slight revisions
in the United States standards for hay . The changes reduce the color
requirements for No. 2 Timothy and Clover Hay and their mixtures , and
fix a minimum oolor for No. 3 grado o rush bayı. The rovisions are on
pected to facilitate the marketing of hay by producer and shippet ad
to give 00n8u mers a more agoura te mbarur of quality in hay prohusd
for specific purposek . The ronsod standards ' boonno effootivo July 1 ,
1949 .
Livestook . --Wider warlots and now won for mohair dll be sought
through a pro Joot under the Rosmarah and Marketing Amt a 1946 , DEDA
announced in mid - uly . Large stooks , low prices , and the doolining u.
of mohair in recent yuri prompt the study which will be condua tod by
The Ralph E. Burgess Sorrison, Inc. , industrial conltants , of New York
City , wdor contrast noth the Department . The Marketing Research Branah,
Produ otion and Marketing Administration , dll be responsible for the
genoral supervision of this projecto Tho Branah wall be wristed by a
Advisory Committee onsisting of representation of the Bureau of Human
Mutrition and Home Economies, the Bureau of Agrotoultum Boon omios , the
Liyostook Brenah of PMA , and the Texas Sheep and Goat Raisers Associa
thon , Ing .
Poultry .-- A program for the support of producer prices of live turm
lays at a national average price of about 31 omnts a paind was armauno od
by USDA. July 22. The program will operate for the period bugust 1 through
December 31 , 1949 , in support of producer prices through purchases of
frozen dressed turklys , In addition , the program provides for the pure
the month
chase from vendors, during the month of July 1950, of frose dressed
turkeys in storage which were purchased from producers in 1949 . The
program is being announced to encourage orderly marketing of the 18
creased procure the expected this year as compared with output in 1948 .
The pur cha se af dressed turkeys will be made an offer- and -tocoptano e
basis at armoumoe d prices intended to refloot & national average live
weight price to pro dupers of about 31 cents a pound. The manonood sup
port prices will provide a flor below whioh average farm pri ces should
not fall . Last year , pro dupers received a U , S, avorage live med ght
price of 47.4 cents per paund for thorkoys sold from August through Dan
cember an all - time rooord lowl .
Tobacco , The fluow aired tobacco merlot at Drom , N. C. , has been
desdignated for the free and mandatory inpoction and market new sorrio.
of the Production and Marketing Administration , USDA has amounoe de This
astian , unda seotton 6 of the Tobacco Inspection Act , follows approval
of the flowers Salling tobacco a tho Drian market who voted in a rofarm
endum held during the period Juma 30 tarough July 2 , 1949 . In this ror
erandum 99,8 peroent of the growers voting favored designa tolon of the
Diman market for inspeo thon and market news sertion. The Tobacco inspus
Hon law requires that before a market may be designated for the sorpas ,
not less than 66 2/3 percent of those voting must favor such astiono Dam
spoothlon ad certification of tobasso as the warehouse sales floors sed
the distribution of reports on prions by gradas are foatures of the secrets
tios and serve as guides to growers in acompting or rojooting bids aferade
ABOUT MARKETING
The following addresses , statements , and publioations , issued ro

cently , may be obtained upon request . To order , ohook on this page the
publioations desired , detaoh and mail to the Produotion and Marketing
Administration , U. 8. Department of Agrioulture , Washing ton 25, D. C.
Statement by Secretary of Agriou Iture Charles F. Braman before

Spoo lal Subcommittee of House Committee on the Judioiary to Study Monop
oly Power , Monday , July 18 , 1949. 16 pp. (Processed )
Statement by Charles F. Braman , Seoretary of Agrioulture and Chairm
men of the 1949 Interational Wheat Conference , at organi zation meeting
of the Interational Wheat Council, Washington , D. C. , July 6, 1949 ,
2 pp. ( Proo e88ed )
Statement by Sooretary of Agrioulture Charles F. Breman for the
Annual Meeting of the Virginia State Poultry Federation , Timberville ,
Virginia , July 13, 1949. 4 pp . (Prooossed )
Publio ation 8 :
Plastio Seeling of Tobao 00 - Storage Marehouses . ( PMA) MP - 684 . Tune

1949 . 34 pp. (Printed )
PMA- Stato Summaries of Commodity Marketing Seasona (Listed by
commodities with States indicatod; all processed );
Onion Summary 1949 Soason , Texas . 5 pp .
Marketing Testem New York Pears ; Summary 1948 Season . 6 PP
Summary 1949 Potato Season ; Foley Ala , and South Ale.bama points ,
4 ppo
Marketing Kern Distriot Early Long White Potatoes , California ; Sum

mary of 1948 Season . 48 pp .
Maine Potatoes , 1948-49 . 15 pp .

Market ing ' Western and Central New York Potatoes ; Summary 1948-49
Sesson 14 pp .
' Marketing Lower Rio Grande Valley of Texas Potatoess 1949 Season,
4 PP .
Brief Review of South Florida Snap Bean Season , 1948-49 . 17 PP
Marketing Texas Tomatoes ; Brief Review of 1949 Season , 5 pp .
Marketing Western New York Groen Wrapped Tomatoes ; Summary of 1948

Season . 7 pp .
August 1949 17
September 1949
MARKETING
ACTIVITIES
STA
SER19249
NFO
RCE
6
DIV
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ART
DEP
Washington 25, D.C.
IN THIS ISSUE :
RESEARCH PAYS OFF IN AIR FREIGHT

By Norman D. Hummon ... .... Page 3
A member of PMA'S Information Branch , Mr. Hummon has interviewed
Dr. Raymond W. Hoecker, Chief , Transportation Research Division , and U. S.
Department of Agrioulture specialist in air freight, and various offi
cials of the Civil Aeronautics Board to bring you the latest on air trans
port of agricultural products ,
SCHOOL LUNCHES BY THE BILLION
By Miriam White .. Page 9
More than a billion school lunches were served last school year un
der the National School Lunch Program . This season's lusty crop of
children and the increased Federal appropriation should mean greater ex
tension of the good service . Miss White , of the Information Branch , em
phasizes the cooperative nature of the work in her comprehensive story .
THERE'S TURKEY ON THE TABLE
By George 7. Snell • Page 14
The facts behind this season's near-record crop of turkeys make in

teresting reading -- particularly when they point to " second helpings "
of the big birds . Moreover , Mr. Snell , of the Information Branch , says
it looks like lower prices this year , with king - size and family - size
gobblers and turkey steaks available .
KANSAS REPORTS VITAL WHEAT DATA

By Leighton G. Foster .. • • • Page 18
Whoat data , helpful to both the producers and the trade have been
collected cooperatively by the Kansas State Board of Agriculture and
USDA . Mr. Foster , in charge of USDA'8 division servicing State boards
and departments of agriculture under the Research and Marketing Act,,
reports that the information on type , protein content and test weights
will offer producers a basis for requesting premium prices . At the same
time the information will direct millors to the wheat that bests suits
their needs .
MARKETING BRIEFS . • Page 20
ABOUT MARKETING • Page 23

The Editor , Marketing Aotivities may be reprinted without special
Washington 25 , D. Co Issued monthly . Vol . 12 , No. 9
Research Pays Off in Air Freight
2n
By Norman D. Hurmon
When formations of garden - fresh fruits and vegetables begin flying

into Eastern markets chalk up another victory for marketing research !
Putting the wings under perishables has proved to be more than a feat by
aeronautical engineers -- it has also taken the efforts of marketing re
searchers to pave the skyways for agricultural commodities .
For more than five years United States Department of Agriculture
researchers have been studying the paper- and ground -work of the air
freight industry and the promise it holds for the transportation of ag
ricultural commodities . Their studies have been augmented considerably
by the opera tions of some he retofore unc ertificated fledgling airlines
already carrying perishables . Now , however , their research has assumed
a new perspective , for , effective as of August 12 the Civil Aeronautics
Board has certified three all - cargo air freight carriers partially on
the basis of the air freight potential in agricultural commodities . In
effect th is decision of fers the new industry a chance for survival and
expansion on a relatively free and completely unsubsidized method of
operation ,
Progress out of Problems
It can be now expected that routine air - borne cargoes of perishable

fruits , still sparkling with California dew , and Florida tomatoes ripened
on the vine will reach their marketing centers a dozen or so hours after
they have left the production area . Of course many problems comected
with air transport of perishables are yet uanswered and necessary facil
ities must be developed . But new transportation means have always faced
uncertainties , and somehow progress has been the outcome .
Back in 1944 when certificated airlines were charging a prohibitive
70 % a ton -mile for air freight , the Department of Agriculturo marketing
researchers developed a premise that agricultural perishables , if hauled
under proper cond itions, could be airborne at much lower cost . These re
searchers called in for consultation an expert in the field of air freight
September 1949 3
operations . Together they set up a hypothetical operation transporting
Florida to northerm
tomatoes and strawberries from Florida northem markets , and moving
industrial products from the northern industrial areas to the deficit
producing southern areas .
Based upon their assumptions and upon the evidence of costs existing
in 1944, they concluded that instead of the current 70 ¢ per ton -mile,
the operation could be done at from 10 % to 15% per ton -mile ,
Not satisfied with the se encouraging results alone , the researchers
worked out another operation with slightly different assumptions in which
they proposed to transport planeloads of perishables from the West Coast
to the northeastern part of the United States , while on the return trip ,
indus trial commodities were to be moved to the West Coast . The figures
again indio atod that such an operation would be acceptable to the car
riers at a rate of less than 10 % por ton -milo .
The certificated airlines strenuous ly differed with the results of

the studies and maintained that such operations were not feasible . It is
signifioant , however , that shortly after the reports were released , air
freight rates began to dooline . Later , after air freight companies began
operations, competition stimulated further re duotions in rates . And now ,
even though air freight oosts are higher
costs than they were when these re
Boaroh studies were made , the higher 008ts
costs have been in line with the
comparablo increases in other forms of transportation ,
Expansion Since 1.946
Ton -miles of freight transported have risen greatly since the period
first studied by researchers interested in air transport of perishables ,
1946.. From that point
though ino reases were insignificant until after 1946
the tomage carried swept upward from 45 million ton -miles to 116 million
ton -miles in 1948 , exoluding almost 30 million ton miles of air express ,
The background for the ultimate dovelopment of the air freight in
dus try however , camot be confined to this two - year period, nor can it
be attributed entirely to the pioneering studies of marketing researchers
of the Department and the participating airlines . Much of the ground
work , and many of the flight tochniques were direot outgrowths of World
War II . During the confliot a vast commercial and military cargo was
moved in behalf of the war effort . Everyone was awed by the physical
magnitude of these operations during both the years of combat and the
postwar period . The Nationbecame air -minded on a large scale as such
operations as " flying the Hump " and the Berlin airlift demonstrated that
practically anything --even ooal --could fly .
This expansion of the bus iness of flying during the war meant that
hundreds of thousands of Americans received either direct flight train
ing or instruction directly related to the maintenance of air service .
Great advances both in the development of aircraft and in the intrioate
business of " keeping ' em flying " were made . Moreover , at the war's end
thousands of ina otivated airoraft were already reasonably suitable to
air transport or adaptable to conversion for such use . And finally , during
the war many of those engaged in air operations had thought through
the blueprints for some of the air freight carriers which recently
sought and received the CAB certificates .
Throughout this entire inou bation period the Department carried on

its research in air transportation of perishables and took a significant
role in encouraging development of the industry . With the termination
of the war , it was not a simple matter to convert service dreams into
prof itable commercial realities . At this point the research of the De
partment proved invaluable to the air freight interests and several of
the companies that were formed followed very olosely the pattern of or
ganization and operation suggested by the Department . The Department
pointed out the need for rapid transportation of agri oultural perishables
from the South , the Southeast , and the far West , to the industrial north
eastern seoti on of the United States . Moreover ,
the Department and
those familiar with the problem saw that if the advantages of air trans
portation were to be realized in transporting agricultural produots , it
was essential that such operations be allowed considerably more flexi
bility than the point- to - point authorization existing for the present
carriers of passengers ,
Area to Area Operations Authorized

The case for the more flexible certification was made before the
CAB, and that body , recognizing the geographical diversion of production
of agricultural commodities , has granted the newly licensed carriers
permission to operate largely on an area to area basis . Specifically,
the lines are sau thorized to operate from a substantial number of desig
na ted points within the areas of agricultural and industrial produotian .
In effeot, agricultural items will be airbome northward and eastward
while the industrial air candidates will move in a westerly and southerly
direotion ,
Figures based on census data show that the northeastern area is

overwhelmingly surplus in the value of industrial products which may be
airborne , but considerably deficit in food products which are potential
air candidates . Similarly , the data show the north central area to be
surplus in industrial produots and short in agrioultural commodities ,
In general , the reverse is true for the southern , western and the north
western areas .
While there is general agreement that air freight will become an

important part of the total air traffio there is considerable variance
as to the ultimate air traffio potential . In hearings before the CAB ,
estimates offered by the candidates for the 1950 domestio air freight
trafno potential , at rates of from 6 to 20 cents per ton -mile , ranged
from 60 to 2,000 million ton miles , In the opinion delivered by the
Board , the 1950 air traffio
traffic potential, based on a continuation figure
from the three years growth , 1946-48 , is estimated at not loss than 1
billion ton miles annually . The Board, however , considered the lower
ton -mile rate figures offered by the candidates to be on the optimistio
side . After investigation of air freight rates , the Board , in ime 1948 ,
issued an order establishing minimum rates for general commodities at
September 1949 5
"16 cents a ton -mile for the first 1000 ton -miles in any one shipment
and 13 cents a ton -mile thereafter . "
Pertinent to the question of rato fixing and the financial stabili

ty of the certified carriers the majority of the Board bas stated that
" in light of future economies possible with greater volume and perhaps
with improved equipment... no future rate increases large enough to ef
fect the air freight potential are anticipated . However , an important
consideration in the building of a transportation service - illustrated
by the development of both the railroad and truoking industry -- is the
establishing of a varying rate soale for commodities , sliding commen
surately with the value and demand for particular items , For this the
Board had promised approval " when they (commodity rates ) show promise of
oontributing to the sound development of this field. " This was granted
through the period extending from July 21 , 1948 to April 8, 1949 as four
supplemental orders modifying minimum rates have been is sued granting
po rmission to operate on a commodity rate basis ,
The effect of the new provisions has been to stimulate the movement
of certain perishables because of the more favorable rates allowable .
These inoreases will serve to add to the steadily olimbing total air
freight tonnage , For nearly all airlines the ton - mile totale for 1948
were considerably greater than for 1947. Industry - wide , the inoroase
amounted to 38 percent , or a jump from 84,000,000 ton -miles in 1947 to
the 116,000,000 ton -miles last year .
Tonnage Reflects Active Solioitation
These constantly mounting totals have reflected the active solicita

tion of business wherever it appeared as well as operational and engin
sering refinements of the airlines . Of the agricultural perishables oar
ried, cut flowers and nursery produots still remain the largest single
source of air freight with an estimated average daily volume of 50,000
pound s moving eastward daily from Califomia shipping points .
But while the char ao toristilos of flowers maintain them as the No. 1
perishable freight candidate , one of the recently certified airlines ro
ports that in May 1949 , its movement of fruits more than doubled that of
flowers , In May this airline flew approximately 335,000 ton -miles of
fruits as compared to roughly 160,000 ton -miles of flowers . During the
same period the airline carried vegetable shipments amounting to 137,000
ton -miles and mursery stooks totaling a little more than 35,000 ton -miles ,
Several of the passenger and all - freight air carriers have flow
substantial quantities of strawberries this year to the, North west , the
Midwest , and the East . Cherries , Florida mangoes , California asparagus ,
and small lots of prepackaged spinach and other vegetables are making
cautious but inoreasing use of air freigh to
During the first half of 1949 the utility of the freight plane has
been demonstrated in such operations as the movement of 500,000 pounds
or approxima tely 20 carloads of tomatoes and peppers flow flown in from
Culiacan , Sinaloa , Mexico , to Nogales , Arizona . During the period of
these shipments railroad bridges had been washed out by floods , and
parts of the rich Sinaloa producing
producing area were isolated from U. S. mar
kets except by air. In May another passenger and freight carrying airline
flew some 6,000 pounds of fanoy California strawberries to Honolulu , It
is reported that the Islands will use 3,000 pound lots three times a week
during the California strawberry shipping season .
The air transportation of many perishables is still in the develop

mental stage . The extra appeal to consumers of the garden - fresh quality ,
as well as the actual value of extreme freshers itself, varies con sid.
erably with different commodities , For example , strawberries are bene
fitted far more by quick delivery to market than is such a commodity as
endive , Sea foods must be classed with those commodities whose value is
most enhanced when they are sped to the consumer . The feasibility of
flying any commodity will of course be promoted as experience is gained
and ope rational improvements are incorporatedo
All -Cargo Operations Considered Separato Baterprise

With respect to the ultima to air freight potential to be taken by
the newly certificated carriers, it was the majority opinion of the
Board that their share would not be tonnage diverted from the established
air lines primarily devoted to transporting passengers . The Board has
put its blessing on revenues obtained by the established airlines from
combination servioe s -- that is, the carrying of air freight with passen
gers-- but it views the operations of the all - argo lines as a vital , i
developed and distinot enter prise , The majority opinion of the ruling
reads in part: " The certification of unsubsidized all - cargo carriers
will require such carriers to bend all their efforts and to direot their
abilities and skill to the full development of the air freight potential .
Such carriers will not be able to rely on passenger operations or mail
payments to furnish the greater portion of their revenues , They will
live and prosper only through their ability to develop an economic busi
ness and by constant search for new tochniques , new bus iness and new
equipment. To the extent that they suoceed in such endeavors they will ,
by their example , benefit the presently certified carrier s end air trans
portation as a whole ; and ne w methods , equipment , and managerial im
new
provements will be made available to the entire industry . Thus the car
go carriers will provide a valuable yardstiok for measuring the alortho88
and efficienoy of other carriers of cargo . '
Only Certain Commodities Can Be Flow
The newly certificated air freight carriers are frank in admitting

that considerable ground work still must be done before agricultural
commodities can be flying in volume . Great changes in harvesting , proo
essing , packag ing assembly and marketing must be made before the advan
tages of air transport oan be fully realized . Even under ideal conditions
air freight operations must be guided by striot limitations . Only cer
tain commodities which have compactness , fragility , perishability , and
high value per pound can qualify as air candidates . Other considerations
may be the novelty value added by air carriage, the increased utilization
effected, or emergenoy factors or values which rely entirely on speed of
transporto
September 1949 7
In meeting the actual problem of contaoting producers and markets ,
the air carriers will have certain factors in their favor , Foremost
among these is the fact that movements of produce may be considered in
terms of hours rather then days as must be the case with truck and rail
connections Airlines , in the precise mature of airborne operations ,
will be able to offer producing agencies exact loading schedules vitally
important to the handling of perishables . These will be subject to the
normal caprice of weather but the fixed loading schedules are considered
to be one of the important features of air service . Proof that the con
taots can be made officiently is found in the profitable service now
being offered producers of out flowers , a highly perishable commodity .
Pro duoer - Carrier Contacts Vital
This far in the development of air freight traffo the bulk of the
contact work has been done by the carriers . When these points of con
taot between airlines and pro duoers beoome more numerous , and as pro
duoers themselves recognize the value of air transport to their partiou
lar produots -- then will this now difficult phase of air transportation
be minimized . It may be that producers can make important contributions
through adjusting prod votion to meet new con sumer demands , or they may
make sure that the packaging and preparation of their produots meets the
exacting requirements of weight and sizing demanded by air transport ,
Airborne operations will bypass much of the conventional handling ,
storing and warehousing involved in surface transportation , Other ad
vantages may be found in the simpler and lighter pa ckaging and orating
possible in air transport . Problems involved in refrigeration and pres
ervation can be cut down in fast delivery to markets , Because of the
short periods involved, commodities can be processed to table - readiness ,
and much bulky and useless tonnage oan be pared away . Finally , perish
able commodities can be moved to consumers ' tables thousands of miles
in a garden -fresh state , rich in the flavor of maturity and high in the
vitamins and nutrients present in naturally ripened pro duo ts .
Increased Value Must Pay Costs

But in spite of all these advantages , the ultimate SUC0088 of air
transport of perishable agrioultural commodities rests on one major
premise : That the speed of air transport gives sufficient added value
to the commodity airborne to offset the higher unit costs for transpor
tatlon .
Losser points to be explored involve the increased outlets air

transportation may offer producers
of certain air candidates , the im
provements the threat of air transportation will enforce in other means
of transportation , and the possibility that economies may result where
certa in commodities requiring special transport conditions may be moved
more economically by air . For, as the CAB has indicated in its ruling ,
the improvements the newly certified carriers are able to ino orporate in
their own operations will not end there but will be extended in effeot
to the entire transportation industry .
School Lunches by the Billion
By Miriam White
Nearly 30 million children are back in school - some eager , some with
long faces . But , whatever their opinion of classroom work , more of them
than ever before can look forward to a nutritionally balanced noon -day
lunch . And farmers , who produce the bulk of the foods used in sohool
lumches , can expect en enlarged market for their products ,
This optimism about the food phase of the coming school year tra 008
to the faot that Congress a few months ago appropriated $ 83,500,000 as
the Federal contribu
tion toward operation
of the 1949 50 National
Sohool Lunch Programa
It is estimated that
about three times this
amount will be provided
from souroes within
the States , In addi
tion , the U. S. Dom
par tment of Agrioul
ture will donate for
school lunch us e a
substantial volume of
commodities acquired
und er surplus remova 1
operations . And local
groups and individuals
also will contribute
foods and services to
assure the suo 0088 of
the programo
Local Food Helps
In addition to
commodities distributed
by USDA during 1948490
food having a value of
about $ 170,000,000 was
puroha sed locally by We'd like to think that each of last year's
the 48,000 schools par billion school lunches brought on a smile like
ticipating in the pro this one . But smiles or no -- good food is a strong
gram Pro duotion and ally of better education .
September 1949 9
Marketing Administration of fioials who guide operations of the program
estimate that the value of food used in schools this year probably will
exceed the 1948-49 total .
It all means that more than 1,1 billion nourishing lunches will be
served to approxd mately a fourth of the Nation's school children during
the coming school year . It means , too , that PMA is carrying out the in
tent of Congress , as expressed in the National School Lunch Act " to
safeguard the health and well -being of the Nation's children and to on
courage the domestio consumption of nutritious agricultural commodities ...
Healthy Children Are Better Students
The school lumoh program has come a long way since voluntary sooie
ties first took on the task of providing free lunches for needy children .
That was more than40 years ago , about the time Robert Hunter's book
" Poverty" was publish ed . One of Hunter's chief observations in his
study of social and economic effeots of poverty was that of malnutrition
in children . Pointing out that there were approximately 3 million under
nourished school children in the country at that time , Mr. Hunter der
cla red :
" It is utter folly, from the point of view of leaming

to have a compulsory school law which compels children , in
that weak physical and mental state which results from por
erty , to drag themselves to school and sit at their desks ,
day in and day out, for several years , learn ing little or
nothing ... If it is a matter of principle in democratio
America that every child shall be given a certain amount of
instruction , let us render it possible for them to receive
it ...."
The movement progressed some during the following two decades , but
it was not util the depression years that the American people really e
wakened to the need for feeding hungry school children . Charitable or
ganizations, municipalities , and some State governments sought to meet
the need , but their efforts were often thwarted by laok of local funds
where the need was greatest ,
Large- scale Federal aid began in 1935, when the 74th Congress en
aoted the now famous section 32 , of Public Law No. 320, which authorizes
the use of 30 per cent of yearly oustoms receipts for the development of
new outlets for farm products . The newly -established Federal Surplus
Commodities Corpo ration ( later the Surplus Marketing Administration ) was
authorized to use those funds for buying sur plus farm commodities and
sur plus
distributing them outside normal trade channels . By the spring of 1941 ,
the Department of Agriculture was donating 56 million pounds of food
stuffs & month to schools serving free or low - cost lunches , The program
was benefiting 4,715,000 children and , at the same time, was helping to
proteo t farmers ' incomes by provi ding a market for part of the surpluses .
Alth ough farm surplus es were no problem during the war years , the
need for a program to prevent and correct malnutrition was brought into
sharp foous when all too many young men were rejected by the Selective
Service System because of physical defects traceable to nutritional de
ficiencies . The school lunch program was continued as a measure to safe
guard national health and security , but still on a year - to - year basis ,
with Congress su tho rizing each year the use of Section 32 funds , up to a
specified amount , for this purpose .
Congress Makes School Lunch

A Long - Range Program
Recognizing the shortcomings of dependence on year - to - year legisla

tion , with its consequent short - range planning , and the need for in
oreased domestic consumption of farm commodities , Congress in 1946 en
acted the National School Lunch Act , providing for a permanent national
program
The Act authorizes the following types of Federal assistance :
( 1 ) Cash reimbur sement for a part of the school's expenditures for

local pur oha ses of food , These funds , which make up a large part of the
Federal appropriation , must be matched from sources within the State .
(2 ) Foods of speoial nutritive value which are purchased economical

ly in large quantities by the Department of Agrioulture and distributed
to participating schools in accordance with need, In the fiscal year
1949 , these foods ino luded pasteurized proo 088 Cheddar cheese , nonfat
dry milk , camed tomatoes and tomato paste , concentrated orange juice,
and pea mut butter .
( 3 ) A part of the foods purchased by the Department of Agriculture
und er Seotion 32 surplus removal operations , These foods may be dis
tributed to all schools serving lumahes on a nonprofit basis , regardless
of whether they partioipate in the reimbursement plan .
(4 ) Funds to assist in the purchase of equipment for preparing and

serving school limohes . Funds for this purpose have not been appropri
ated , however , since the first year of operation under the Aot-- the fis
cal year 1947 ,
Partioipa tion Must Be on a Nonprofit Basis
Public and nonprofit private schools may apply for Federal aid
through their State e ducati onal agencies . In those States where the
State e duoational agencies are not permitted by state statute to disburse
federal funds to private schools , these schools may apply for participa
tion to area offices of the PMA Food Distribution Program Board to com
ply with minimum nutritional requirements as established by the Depart
ment of Agrioulture . The program must be operated on a nonprofit basis.
Schools must purchase , insofar as practicable , foods which are desig
nated by the Department of Agriculture as being in national or local
abundance . Lunches must be available to all children without discrimi
nation and served froe of charge or at reduced prices to those wable to
pay the full oost .
September 1949 11
State educational agencies administer the program within their re
spective States . After entering into an agreement with the Department
of Agrioulture and submitting an acceptable Plan of Operation , each State
receives in quarterly installments its share of Federal funds ,
Allooations of funds to States and Territories for the 1949-50 pro
gram total $64,625,000 , as follows :
Alabama $ 2,290,495 Nevada $ 34,414
Arizona 350, 947 New Hampshire 223,104
Arkansas 1,785,838 New Jersey 1,263,018
California 2,603,791 New Mexico 373,279
Colorado 424,360 New York 3,395 , 902
Connecticut 511,428 North Carolina 2,760,998
Delaware 86,278 North Dakota 217,619
District of Columbia 181,136 Ohio 2,576,365
Florida 1,086,485 Oklahoma 1,461,547
Georgia 2,315,262 Oregon 570,728
Idaho 245,728 Pennsylvania 3,741,015
Illinois 2,339,160 Rhode Island 215,078
Indiana 1,507,348 South Carolina 1,776,427
Iowa 1,163,762 South Dakota 269,017
Kansas 725,089 Tennesses 2,070,789
Kentucky 2,100,314 Texas 3,612,744
Louisiana 1,745,553 Utah 337,983
Maine 424,895 Vermont 167,202
Maryland 695,856 Virginia 1,613,536
Massachusetts 1,440,327 Washington 818,033
Michigan 2,220,678 West Virginia 1,215,067
Minnesota 1,239,294 Wisconsin 1,261,309
Mississippi 2,239,594 Wyoming 99,920
Missouri 1,605,852 Alaska 11,684
Montana 180,806 Hawaii 89,972
Nebraska 534,630 Puerto Rico 2,358,953
Virgin Islands 44,391
Per capita Income considered
The funds are allocated to States on the basis of a formula which
takes into account the number & children of school age and the per capi
ta income of the State . States are required this year to match those
funds dollar - for - dollar , from either private or public souroo8 . For
fiscal years 1951 through 1955 , the law requires that States provide
that States
$ 1.50 for each dollar of Federal funds . After 1955, each Federal dollar
must be matched by three dollars from sources within the State .
The establishment and operation of a lunch program is a community
project Primary responsibility for its operation lies with the local
sponsor -- the school board or a school official . However , parents , teach
ers , civic and other groups , and the children themselves all contribute
to its success . Any group that is interested may cooperate with school
of fioials in initiating a program Benefits for raising funds are
sponsored by schools , women's clubs , parent - teacher associations , church
groups , and others . Donations in goods and services are made for equip
ping lunchrooms , providing food , and preparing and serving the meals .,
Under the direo tion of toachers , older boys of
of ten build the tables ,
benches, storage cabinets , and other equipment for the lunchroom . Girls
in home eoonomics olasses make ourtains and dish towels and, under the
supervision of instructors , assist in planning menus and preparing and
serving the food . Parents contribute their services for canning vege
tables in seasonal abundance .
A reasonable value may be put on goods and servioes contributed to

the program and be applied to the matohing requirements, Children able
to pay may be charged a small amount for the lwch , and money derived in
this way may also be counted toward ma tohing Federal funds .
for providing a who le some Iumoh , the highest rate
As an incentive
of reimbursement is given for the completé lunoh , lown as Type A. This
lunoh consists of 1/2 pint of whole milk , generous por tions of vegeta
bles or friit , eario hed bread , butter or margarine , and two ounces of
meat , fish , or cheese or certain substitutes ,
Schools with limited lunchro om faoilities may oontract to serve a

Type B lunch , which provides about two - thirds as much food as the Type A
lunch and should be supplemente d by food brought from home . Those with
no lunchroom facilities may provide 1/2 pint of whole milko
Good Food Habits Are " Catahing "
Teachers have noted decided improvements in scholarship aftor 08
tablishment of school bunoh pro grams . Children are alert and learn more
read ly . There are fewer absences , Good food habits are developed and
are carried into the home . Some schools report requests from parents
for instruotion on preparation of foods as they are prepared at the
school . Some school officials point out that the program promotes better
cooperation between the school and the community .
The number of benefits multiplies when it is recognized that while

the program is promoting good health among school children it is con
tributing to the economio health of agriculture ,
Cooperators all the way up the line are looking forward to a pro
gram in 1949-50 that will serve more children in more schools than ever
before ,
PREPACKAGERS LISTED
An extremely useful publication , a "List of Prepackagers of Fresh

Fruits and vegetables , " has been issued by PMA'S Fruit and Vegetable
Branch , USDA . The publication has assembled , alphabetioally by State,
the names , addresses and products packed of eloven hundred propackagers
of consumer - size units .From time to time supplementary sheets contain
ing corrections and additions will be issued. Copies may be obtained
from the Information Branch , Production and Marketing Administration ,
U. S. Department of Agriculture ,
September 1949 13
There's Turkey on the Table
By George F. Spell
Consumers will have available this season the second largest supply
of turkeys on reoord. According to the latest estimate , about 41,107 ,
000 birds are being raised for market
this year . This is an increase of
29 percent over the total quantity
raised fra 1948 and olosely approach
os the all - time record quantity
of 44,000,000 birds raised in 1945 .
There'll Be Second Helpings

This means that there will be
en adequate supply of turkey --we'll
have plenty for our holiday tables
with some left over for other state
occasions . There will be many birds
of small and medium sizes for fami
ly use and plenty king - size avail
able for restaurants , hotels , and
dining car services , In addition ,
the big birds will be a source of
supply of turkey parts and turkey
steaks for those who cannot use a The bid king - size gobbler in our tradition .
a ! fost ive bird. This year there will also be
whole turkey . No matter how we use plenty of the family - sized turkeys and turkey
steaks for those who prefer tho ..
it, there will be about 4 1/2 pounds
of turkey for every man , women and child in the United States this year .
Last year the per capita supply was only 3.2 pounds .
Why So Many Turkeys ?
Why are growers raising so many more turkeys this year than they
did last year ? There are several reasons . of most importance , perhaps ,
is the fact that turkey produotion was an extremely profitable enter
prise in 1948 , Growers sold their turkeys last year at the highest
prices on reoord. They took excellent care of the relatively small
number of turkey poults hatched in the spring of 1948. ' Poult and young
turkey losses for the year were the lowest in history . This helped in
some measure , to offset the high cost of production in 1948-- cost due
largely to high feed prices through most of last year .
This year , when growers began laying plans for turkey production in
1949 , there were two factors which suggested that the time was ripe for
expanding production . These factors were : Substantial turkey profits
in 1948 ; and declining feed prices brought about by the record grain and
feed crop production last year ,
in mind , growers indicated their inten
With these considerations
tions early this year of producing about 25 percent more birds in 1949
than they had in 1948 . As a goal for 1949 , the U. S. Department of
Agriculture suggested a 10 percent increase over 1948 , This was because
USDA experts felt that production in 1948 was too small and that an in
crease of 10 percent in 1949 could be marketed at profitable prices to
farmers without the need of a price support program ,
Turkey growers began the 1949 season , however , with 33 pero ent more
breeder hens on farms than they had last year . The hatching season was
an active one with the output of the hatcheries reporting 58 peroent
greater than it was a year ago .
If the mortality of poults and young turkeys had been as small this
year as it was in 1948 , turkey production likely would have exoeeded all
previous records , But record high prices and the profits derived from
turkeys last year drow many in experienced growers into the business for
1949 .
Though there were heavy poult losses , production increases are gen
eral as compared with last year in all areas where turkeys are produced
in substantial numbers . In some States and areas , the inoreases are
startling .
Increases Vary With States
Arkansas, for example , is producing 121 percent more turkeys this

year than it did in 1948 , New York State is producing only 3 peroent
more , but there is an all - time record crop in California -- the leading
turkey State , and by regions, the increases range from 10 percent to as
mich as 38 percent over last year .
Stocks of turkeys in storage are low . They amount to less than 22

million pounds at the latest accounting (August 15 ) and leave the way
open for the marketing of 1949- crop birds without the handicap of a
heavy holdover .
But there is a heavy cropto be marketed . The problem will be to
prevent turkey stocks from piling up in marketing channels and thereby
causing a sharp decline in produoer prices . It is assumed , that, in gen
eral , the price that the con sumer will pay for his turkey this fall will
be lower than it was a year ago. The actual difference will depend to a
great extent upon the volume of marketings , particularly at the height
of the marketing season ,
From the producer point of view there will be danger , throughout

the marketing period of an over - supply of turkey in market channels .
For this reason , the U. S. Department of Agriculture has launched a
price support program for turkeys to prevent producer prices from fall
ing below 90 percent of parity . The Department is required by law to
is required
support turkey prices .
September 1949 15.
At 90 percent of parity for the major marketing season , producer
prices of 1949-crop live turkeys will be supported at a national average
level of about 31 cents a pound . This compares with a national average
price received by turkey growers during the en tire marketing season
last year of 47.4 cents a pound liveweight --representing 114 percent of
parity.
The method of support under the 1949 program will be the purchase
by the Department of New York-dressed, frozen turkeys from vendors at
stipulated prices reflecting established prices to producers for live
turkeys . Vendors who sell dressed turkeys to the government must certify
that they have paid the presoribed liveweight prices for all of the
turkeys they buy.
Orderly Marketing Encouraged

In effect , the 1949 program is intended to provide a floor below
which average farm prices should not fall , and thus to encourage produc
ers to market their turkeys in an orderly manner .
The actual price levels at which turkeys sell this fall depend to
some extent upon the degree of orderly marketing exercised by producers .
If markets are kept well supplied but not over-supplied, there is more
than a fair chance that farm prices will not drop as low as 90 percent
of parity . On the other hand, in the face of the heavy crop being pro
duced , any over - supply in market channels for an extended period may re
sult in extensive purchasing by government to keep prices at the requir
ed level of parity .
Other factors which will govern the marketing of turkeys this season
will be the volume of consumer demand at the lower prices expected to
prevail , and the demand for turkeys for storage .
When farmers early this year revealed their intentions concerning
turkey production in 1949 they indicated that they would market about 26
percent of their birds in October or earlier , 38 percent in November ,
28,5 percent in December and nearly 8 percent in January . This allows
for " normal " farm use of turkeys .
Whether farmers carry out their intention or not , depends to а

large extent upon market conditions and price trends , What happened
early last fall is a case in point. Grower intentions early last year
indicated that marketings in October and earlier would amount to about
23 peroent of the crop . Farmers actually sold only 19,5 percent, how
ever , for the reason that prices were moving toward higher levels .
This year , with the possibility of falling prices as the season
progresses , there is a chance that farmers may market more birds during
the early season than their intentions have indicated . Other than the
consideration of price trends , there is the added fact that producers
are leaning more and more toward the marketing of turkey rather early in
the season . Early poults are cheaper to raise , death losses are smaller
and early ma turing birds are less subject to storm losses than those
ma turing late in the season .
Department officials , however , maintain that orderly marketing
throughout the season will assure producers of firmer price trends than
will the rushing of birds to market before they are mature or the hold
ing of turkeys until late in the season ,
The price support program , however , will be operated for the entire
marketing season en ding December 31 , 1949 , Thus , farmers will be assur
ed of having a floor under the market for the fall and early winter
period .
In addition , the price support program will operateduring the

mon th of July 1950 when the Department will accept offers of turkeys in
storage which were procured from producers during the August l - December
31 , 1949 period. This feature of the program is intended to encourage
This feature
the storage of turkeys in the major marketing season . Further , it will
give vendors a chance to sell their stored birds in consumer channels
during the first 6 months of 1950. After June 30 , 1950 , vendors who
have not disposed of their storage turkeys will have a month in which to
offer them to the Government .
During the 1949 marketing season ending December 31 , vendors may

offer their turkeys at any time, but they must be delivered , if accepted ,
within 30 days of the offer date . This is a modification of the original
program which required that turkeys be offered within 30 days after date
of slaughter . The modified regulation is expected to give vendors great
er opportunity to place turkeys in consumer trade channels and to result
in the purchase of fewer turkeys by by the Government for price support
the Government
purposes .
Consumer Pamphlet Available
In connection with consumer use of turkeys , the U. S. Department of

Agriculture has issued a new pamphlet "Turkey on the Table the Year
' Round . " This is now being printed and is expected to be available
early this fall to aid consumers in selecting and preparing whole turkeys
or turkey parts for the table .
The bulletin represents the joint effort of the Bureau of Human

Nutrition and Home Economics , the Production and Marketing Administra
tion , and the Bureau of Animal Industry in bringing up to date informa
tion pertaining to the uses of whole turkey or turkey parts . It deals
step by step with selection , preparation , cooking and serving .
COOKERY RESEARCH TO STUDY LOWER GRADES OF BEEF
Beef cookery research has heretofore dealt chiefly with high-grade ,

tender meat , but a study under way now seeks to learn which basic home
cooking methods are most suitable for giving consumers satisfactory re
turns with various cuts of lower grades , the U. S. Department of Agri
culture has announced . The work is being undertaken with funds alloted
under the Research and Marketing Act .
September 1949 17
Kansas Reports Vital Wheat Data
By Leighton G. Foster
Federal and State agenci es in Kansas have cooperated this year to
make available to producers and the trade full information , by counties ,
on the types of wheat grow , its protein content , test weights , progress
of harvest, and availability of storage space for the grain .
Provision of such data , largely just before harvest , gives the grow
er information on which he can base a request for payment of premiums
for high - quality wheato Millers can make practical use of the informa
tion as a guide in buying the particular kinds of wheat that are most
suitable for their products ,
Protein content , varieties , and weight of wheat were determined by

gathering many samples in each county . A rectangular metal hoop , mea sur
ing ano ten - thous and th of an aore , was dropped over who at in the field
and the grain covered was taken as the sample . Laboratory tests were
ma de at Kansas State College.
Notes were made on the condition of the orop in the field from which
samples were taken . Peroetages of wheat of the different types ( Dark
Hard , Hard , Yellow Hard, Soft, and Mixed) were computed to show what
kinds and quantities were available in each county .
Cooperative Efforts Produce the Data
The surveys and reports of the findings were made under a coopera
tive agreement between the Kansas State board of agriculture and the
U. S. Department of Agriculture under the Research and Marketing Act .
Half the funds were provided by the State board and half by the Depart
ment , through the Production and Marketing Administration , The Bureau
of Agricultural Economics cooperated in the work ,
Shortly before harvest time , a complete survey was made of storage
facilities for small grains in Kansas . A county - by - county report was
made, showing total stora ge space and the proportion of it that was a
vailable for the 1949 cmp . This study showed that capacity in the
eastern one - third of the State is generally adequate ; in some counties
of the west central and south westem areas , it is oritically short ; and ,
for years of heavy production , space is short in much of the westem two
thirds of the State .
Storage capacity for small grains in Kansas was reported as 282

million bushels this year , compared with 269 million a year earlier . Ona
May 15 , about 8 percent of this capacity was ooou pied . The total capacity
18 Marketing Ao tivities
inoluded some 67 million bushels of storage space of a temporary nature ,
such as ma ohine sheds , brooder houses , garages and other buildings that
oan be used for grain storage only in emergonoy periods .
The Kansas survey is one of numerous marketing service projeots ,

dealing with many crops , that are carried on cooperatively by the USDA
in cooperation with State departments of agriculture and bureaus of mar
kets . Twenty - three States are taking part in the programo
1949 - CROP CORN PRICE SUPPORT PROGRAM ANNOUNCED
The U. S. Department of Agrioulture amounced August 22 that 1949

orop oorn will be supported by the Commodity Crédit Corporation at 90
peroont of the corn parity price as of October 1 , 1949, by farm -storage
and warehouse - storage loans and by purchase agreements ,
Where the need exists interim rates will be supplied by State PMA
Committees The interim rates are based on 90 peroent of July 16 parity
with 4 cents a bushel deduoted as a safety margin against possible changes
in parity between the announcement date and botober 1 .
Except as provided bebw , las and purchase agreements will be avail

able from time of harvest through May 31 , 1950, and will mature on July
31 , 1950, Produoers who elect to deliver corn under a purchase agree
mont must notify their county conservation committee within a 30 - day
period before maturity .
In areas where producers cannot store córn safely for the full stor
age period because of olima tio conditions , insects ,, or other faotors
affecting safe storage , the loans and purchase agreements will be avail
able from time of harvest through a date earlier than May 31 , 1950, as
may be determined by State PMA Committees , In these instances , the doo
livery dates for farm storage loans and purchase agreements also may be
advanced , but no advance will be made in delivery dates for warehouse
storage loans .
USDA announced that where final availability and delivery dates are
advanced , the final availability date will be at least 30 days prior to
the first day of the delivery period , which delivery period will be
the first ten days of either May , June, or July 1950. Deliveries will
be accepted by CCC during any of these designated periods provided the
producer notifies the county committee of his intentions to deliver not
later than 10 days before the first day of the delivery period .
Corn placed under loan must , except for moisture content, grado U.S.
No. 3 , or better , or No, 4 on test weight only , and meet the moisture
requirements for safe storage , Corn delivered under a purchase agreement
must grade U. S. No. 3 or better , or No. 4 on the factor of test weight
only . The program will be administered in the field through PMA commod
ity offices , State PMA committeos , and county ACP committees .
19
September 1949
MARKETING BRIEFS :
Cotton .--USDA announced August 19 that loans will be made on olean ,

safely - stored oottonseed having a moisture content of ll peroent or less ,
under the 1949 orop cottonseed price support program . On August 5, USDA
had stated that it would loan on cottonseed having a moisture content of
10 percent or less . This was raised one peroont by the later announce
ment . Loans under the program at the rate of $ 49,50 per ton ( 90 peroent
of the August 1 parity price of $ 55 per ton ) will be made through Decem
ber 31 , 1949 , and will mature not later than April 3 , 1950. ...A study of
the African cotton situation as it may effect the market for U , S , will
be made Office of Foreign Agricultural Relations . The Research
by the
and Marketing Act study will be made in view of renewed interest by some
leading cotton consuming countries of Europe in expanding cotton produc
tion in their African territories ,
Dairy .-- August 16 USDA announced its decision to make four changes
in the terms of the Federal order regulating the handling of milk in the
Louisville , Ky. , milk marketing area . The major change would substitute
for the flat rate of 30 cents per hundredweight of the present premium
payment plan for fall milk production , a payment at 8 peroent of the aver
age basic formula (representing the price paid for milk used in manufac
tured dairy products ) announced for the previous calendar year . The
amount would change automatically from year to year with changes in the
level of market prices for milk , Other changes included in the Depart
ment's decision would ( 1 ) increase by 1 cent per hundredweight the pre
sent 4 - cent marketing service deduotion made from payments to producers
who are not members of a qualified cooperative , ( 2 ) increase by 1/2
cent per hundredweight the present 2 - cent administrative assignment
language relating to the classi
against handlers, and ( 3 ) clarify the can
fication of milk . Before the changes be made effective they must be
approved by two - thirds of the dairy farmers regularly supplying the
Louisville market .
Fats and Oils .-- During August 4 and 5 fats and oils research was
discussed at a Washington , D. C. conference of producers , industry rep
resentatives , USDA officials and others . At the meeting , called by the
Agricultural Research Administration , suggestions were sought for work
to be undertaken in response to provisions in the Agrioulture appropria
tion for 1950 which specifically earmarked $225,000 for fats and oils
research under the Research and Marketing Act,
Fruits and Vegetables .-- The Production and Marketing Administration
further steps
is developing further steps in a program of assistance for California
grape and raisin producers -- to aid in the handling and marketing of their
crops --USDA has amounced . A marketing agreement and order to regulate
the handling of raisins produced from raisin variety grapes grown in
California went into effect this week. Recommended by representatives
of raisin producers and handlers , and approved by a large majority in a
referendum , the agreement and order provide for orderly marketing and for
control of surplus raisin supplies . Under this program , raisins acquired
by handlers can be divided in to free tonnage , reserve tonnage , and sur
plus tonnage . Free tonnage can be disposed of in commercial trade chan
nels , domestic and foreign . Reserve tonnage can be released to augment
the free tonnage if needed . Surplus tonnage , and any remainder of the
reserve tonnage , 18 to be diverted-- disposed of in ways whioh will not
interfere with disposition in commercial trade channels .... The Agricul
tural Research Administration points out that cranberry merohandisers
have found a handy red -revealing cellophane package , which can be filled
at point of production , and pleases the consumer and builds up sales .
The package was developed in a project carried on under the Research and
Marketing Aot and indicates the feasibility of putting up the berries in
the retail bag at the bog or the storage plant . The researchers say that
the prooedure is safe and economical and that the results proved it to be
practioal to store the prepao kaged berries for 4 to 8 weeks without risk
ing excessive spoilage , if the temperature is kept down to 330 or even at
380 F. The speoialists also pointed out that the berries stored 4 weeks
at the lower temperature could be kept at 700 for a week following the
cold storage and lose very little from decay--an indioation that they
would stand up well for that length of time while being held in a retail
store or in the home of a oonsumer . There was somewhat more decay when
the berries were stored at 38 ° , and at 500 it was heavy during storage
and during the week of holding at 700 .
Grains . --The Commodity Credit Corporation announced August 17 that
it has to date con tracted for the purohase of 13,790 bin - type and com
parable grain storage structures , with a total capacity of 112,837,640
bushels , under the offer to purchase announced on July 21 . All of the
structures are of a semi - permanent type which oan be dismantled and moved
to other locations and converted to other uses when they are no longer
required by CCC . The awards call for delivery within 30 days of the
date of award and are part of a total objective which contemplates as
much as 500 million bushels capacity , if procurable at the right prices
and within the time limitation . The contracts reported average less
than 20 cents per bushel of capacity for " merected " storage at the fac
tory, and less than 30 cents per bushel for " erected " storage at the
site. CCC is continuing its analysis of offers received under the July
21 announcement , together with those being received under the August 15
announcement , to determine further awards for delivery of bins within
60 days from the date of award.... Texas is in need of much greater pub
lio storage capacity
capacity for
for bulk
bulk rough rice , according to PMA'S Grain
Branch , USDA. This conclusion was reached on the basis of a survey of
rice storage and drying facilities in the State , made by the Grain Branch
under the Research and Marketing Act. A detailed report on the Texas
study is now available . A report on rice storage and drying in Louisi
ana was issued previously .... The Office of Foreign Agricultural Relations
announces that while no immediate drop in U. S. rioe exports to the cus
tomary Latin American markets is expected , a gradual decline from the
current postwar peak of U. S. rice shipments is likely to occur after
1950 . The statement is based on marketing observations , made first hand
in ll Latin American areas , The study was conduoted for the OFAR under
the Research and Marketing Acto
Livestook . --The Livestock Branch of PMA has announced that pro
posed standards for grades of slaughter hogs and pork carcasses have been
developed by USDA in accordance with certain fundamental prinoipals in
September 1949 21
volving ratios of lean cuts to fat cuts and the quality of meat . The
wide difference between current prioes of fat and lean cuts has created
increased interest in the proposed grades and numerous requests have
been received from producers and packers for information concerning the
proposed system. Although further tests and studies are being made , this
statement is released to provide information of results to date and to in
vite constructive oriticism of the proposals . In setting up the pro
posed standards major emphasis has been given to two factors-- ( 1 ) the
physical composition , the ratio of lean to fat cuts , and ( 2 ) quality of
meat in the cuts . Proposed standards for both caroasses and live hogs
have as their fundamental bases , the measurement of carcass length or
weight and thickness of back fat,
Tobacco . - Designation of the flue - cured tobacco market at Ellerbe ,
N , C , for the free and mandatory inspection and market news service of
PMA was announced August 25 by USDA . This action , under Section 5 of
the Tobacco Inspection Act , follows approval of the growers selling to
baoco on the Ellerbe market who voted in a referendum held during the
period March 24 through March 26 , 1949 , In this referendum 99,8 percent
of the growers voting favored designation of the Ellerbe market for in
spection and market news service , The tobacco inspeotion law requires
that before a market may be designated for the service , no less than
66 2/3 peroent of those voting must favor the action . Inspection and
certifioation of tobacco on the warehouse sales floors and the distribu
tion of reports on prices by grades are features of the service and serve
as guides to growers in accepting or rejecting bids offered.
CO - OP FRUIT AND VEGETABLE PROCESSORS

MARKET THREE - FIFTHS PRODUCTS UNDER OWN BRANDS
Cooperatives market more than three - fifths of their canned and fro
zen fruits and vegetables under their own brands , according to a survey
made under the Research and Marketing Act and summarized in Miscellan
Θous Report 130 of the Farm Credit Administration , USDA . The survey
reveals that the price at the beginning of the season is usually deter
mined by the cost of the pack plus one other factor such as "sufficient
margin " or "a fair return to growers . More than half of all co-op pro
cessors make at least part of their sales on contracts prior to process.
sing . About three - fourths of their total sales are through brokers and
about 95 peroent of co - op canned and frozen fruits and vegetables are
sold f.0.be shipping point. The comps supplying information reported
handling 27.5 million cases of canned vegetables , fruits and berries ,
juices , and other fruit products such as jams, jellies , and marmalades ,
and 50,7 million pounds of frozen fruits and vegetables .
Farm Credit Administration announces that another study , summarized
in Miscellaneous Report 129 , shows that combining preparation of products
for storage with storage locker service has been one of the most important
factors contributing to the rapid growth of cooperative frozen food look
er plants . The study , made with Research and Marketing Act funds , COT
ers 70 cooperatives operating 65 slaughter and 112 locker plants located
in nine Midwestern , Southwestern and Southeastern States ,
ABOUT MARKETING
The follod ng addresses , statements , and publioations , issued re

publications desired , dotach and mail to the Production and Marketing
Addre8808 and Statements :
Abundance -- For Better or Worsel, a talk by Seoretary of Agriculture

Charles F. Brannan , at Bloomington , Ill . , August 23 , 1949 . 13 pp . (Pro
0088ed )
• Soil Conservation -- A Farm Program Essential , a talk by Secretary of

Agrioulture Charles F. Brannan , at State School Farm , Apple Creek, Wayne
County , Ohio , August 24, 1949 , 7 pp. ( Processed )
Toward a Prosperous Daityland, a talk by Secretary of Agriculture

Charles F. Brannan , at Juneau , Wis . , July 31 , 1949, 13 pp . ( Processed )
Tools To do the Job , a talk by Secretary of Agrioulture Charles F.
Brannan , at North Carolina State College , Raleigh , N. C. , August 9 , 1949,
10 pp. ( Processed )
Land of the Free , a talk by Secretary of Agriculture Charles F. Bran

nan , at University of Missouri , Columbia , MO . , August 8 , 1949, 12 pp.
(Processed )
Worldng Together --With a Purpose , a talk by Undersecretary of Agri
culture Albert J. Loveland , at Little Rook , Ark . , August 10, 1949. 12 pp .
(Processed )
Farmer Cooperatives and Their Future , a talk by Assistant Seoretary
of Agrioulture Knox T. Hutohinson , at the University of Wisconsin , Madi
son , Wis . , August 23, 1949, 9 pp . ( Processed )
A summary of remarks by Ralph S. Trigg , Administrator of PMA and

President of ccc , at Farmer - Committeaman Meeting at Auburn , Alabama , Aug
ust 2 , 1949 , 6 pp . ( Prooossed )
Publioations :
Condentration Markets for Fruits and Vegetables in Sumpter and Lake

Counties , Fla .(PMA ) June 1949 . 21 pp . ( Processed )
Packaging of Rice and Dry Beans and Peas . (PMA ) Aug. 1949 , 32 pp.
( Processed )
Cotton Mats (Quilts ) For Curing Concrete . ( PMA ) Tune 1949. 10 pp .

( Processed )
Some Observations on the Relationship
of Quality of Fresh Sour
Cherries to Their Procoased Produots , and Effeots of Processing on Var
ious Types of Defects . ( PMA ) june 1949. 16 pp . ( Processed )
September 1949 23
ABOUT MARKETING (Contia )
List of Propaolagers of Fresh Fruits and vegetables . ( PMA ) July ,
1949 , 30 pp . ( Processed )
United States Standards for Grades of Dried Figs . Ef footive Aug.
29, 1949 , ( PMA ) 23 pp . ( Processed )
United States Standards for Grados of Canned Blonded Grapefruit
Juice and Orange Juice . Effectivo July 29
29,, 1949,
1949 , (PMA ) 16 pp .. (Pro
cessed)
United States Standards for Grades of Canned Grapefruit Juice . Ef

fective July 29 , 1949 , 16 pp . ( Processed )
Thited States Standards for Grades of Canned Tangarino juice . Ef
footive July 29, 1949, pp..
16 pp ( Processed )
Survey of Rico Storage and Drying Facilities in Louisiana : 1949,
( PMA ) july 1949 . 9 pp.
Survey of Rice Storage and Drying Facilities in Texas : 1949. ( PMA)

August 1949. 13 pp .
PMA - State Summaries of Commodity Marketing Seasons . ( Listed by com

modities with States Indioated , all processed )
Interstate Shipments of California Deoidious Troe Fruits , 1949 Sea
son , May 1949 . 67 pp .
Marketing California Grapes and Raisins . 1948 Season . July 1949.

75 pp .
Marketing Arizona Salt River Lettuce , Summary of 1948 Fall and 1949
Spring Seasons , May 1949 . 22 pp .
Marketing Northwestern Onions : Summary of the 1948-49 Season , Oro

gon , Washington , Idaho . June 1949, 19 ppo
Marketing the Michigan Onion Crop. 1948 Season . 7 PP
Marketing Arkansas Peaches : Brief Review of the 1949 Season . july

1949 . 4 pp .
Markėting Florida and Georgia Watermelons : Summary of 1949 Seaeon .

July 1949 , 5 pp .
Farm Real Estate Taxes in 1948 . (Bureau of Agrioultural Economics )

August 1949 , 5 pp . ( Processed )
Tree Nuts : Acreage , Production , Farm Disposition , Value, and Uhli

zation of Sales , 1946 , 1947 and 1948 . (BAE ) August 1949 , 9 pp . (Pro
cessed )
ABOUT MARKETING ( Cont'd )
Soybeans Harvested for Beans : Acreage , Yield and Production , 1947
and 1948. By Counties for 18 Principal States . (BAE ) July 1949 , 37
pp . ( Processed )
Seasonality of Milk Deliveries in the Boston Milkshed . (BAE ) June
1949 . 46 pp . ( Processed )
Agrloul tural Economic and Statistical Publications . (Bureau of Agri
cultural Economios ) July 1949. 45 pp . ( Processed )
Margins for Marketing Livestook from Farms to slaughtering Plants

and Feedlote , (Buroau of Agricultural Eoonomios ) July 1949, 10 PP .
( Processed )
Farm - to - Retail Margins for Livestook and Meat . (BAE ) June 1949 ,
33 pp . (Processed )
The Federal Excise Tax on the Transportation of Property With Spe
oial Reference to Agrioulturo . ( BAE ) Ime 1949. 37 pp . ( Processed )
Competition
The Market Outlook and Prospeotive Competiti for United States
Rice in Asia , the Near East , and Europe . (Office of Foreign Agriculture )
FAR - 35 . June 1949 , 79 pp . ( Processed )
(Bo certain that you have given us your name and full address when
ordering statements or publications . Check only the individual items
you desire.--Editor . )
NAME
ADDRESS
CITY ZONE STATE
September 1949 25
82 . !
October 1949
MARKETING
ACTIVITIES
actiThe
on
67
6
Washington 25, D.C.
IN THIS ISSUE :
POULTRY GRADING AND INSPECTION PROGRAM AN NOUNCED BY USDA

By Melvin W. Buster Page 3
This program is the result of nearly 2 years ' study by the Depart
ment , the industry , and many other interested agencies and institutions .
PROPOSED PORK STANDARDS FEATURE MEAT - TYPE HOGS

By C. Lowell Strong Page 7
The new standards should establish top prices for hogs which turn
out a higher ratio of the leaner , preferred cuts .
ARTICHOKES AN ON YMOUS
By Elizabeth S. West ... Page 10
The globe artichoke is a table delicacy that is little known except

to those of Latin origin.
QUALITY CONTROL BROADENS SOUTHERN PROCESSORS ' MARKETS

By Earl F. Burk .. Page 13
Some times it's simply a fine point of processing "know-how" which

makes the difference between good and top quality.
APPLE BRUISING CAN BE CHECKED

By Ray Heinen Page 16
The first bruise is the last so far as choice apples are concerned ,
for those bad spots don't get any better .
CCC AN NOUNCES SIZE OF PRICE SUPPORT INVESTMENT Page 18
This is a report on price support investments for the fiscal year

1949 .
RADIATION EFFECTS ON PLANTS MINIMIZED BY AEC REPORT Page 20
Sometimes it takes science a few years to catch up with gossip , but

it usually does ,
USDA PROCLAIMS MARKETING QUOTA AND ACREAGE ALLOTMENT FOR COTTON Page 22
Page 25
.
ABOUT MARKETING

Washington 25 , D. Co Issued monthly . Vol . 12 , No. 10
Poultry Grading and Inspection
Streamlined and Revised by USDA
By Melvin W. Buster
The voluntary poultry grading and inspection program of the U. S.

Department of Agriculture has been streamlined and revised . The revi
sions, announced by the Production and Marketing Administration , cover
grading and inspection , sanitation , and standards and grades for various
kinds and classes of live , dressed, and ready- to - cook poultry , and
ready to cook domesticated rabbits .
The new regulations serve to unify the il documents which previously

governed grading and inspection of poultry , and more important , intro
du ce two major changes :
( 1 ) For the first time the grading and grade labeling of ready - to
cook poultry is permitted without inspection for wholesomeness by a Fed
eral veterinarian . However , carcasses affected by, or showing evidence
of , disease or any condition which may render them unwhole some or unfit
for food, are not included in any grade designations .
( 2 ) Grading and inspection of poultry in official plants-- that is ,

those which utilize the Federal or Federal - State grading service --must
be carried on under prescribed minimum sanitary facilities and proco
dures . Previously there were no sanitary requirements for the slaughter
ing and dressing of poultry as a prerequisite to grading .
LEFT : The official identification may
appear on the carton containing individual
birds or cut - up parts , or it may be used
a sa label
US GRADE or tag ate
tached
READY TO COOK
STEWING CHICKEN
to
the bird- .
usually on
the wing :
RIGHT : The
SPECTE BY
FOR
GOVERNMENT GRADED official in

spection mark
will be ap
U.S.
plied in the DEPARTMENT OF
same manner , but only on birds which have AGRICULTURE
been examined for wholesomeness by the P - 00
Department, An approved combination of the two may
be used where both services have been performed ,
October 1949 3
Labeling and Grading Summa rized
Summaries of other changes , incidental to the major revisions , in

clude these :
The term " ready -to -cook" will be used in place of the terms " evis
cerated " or "drawn" , to which some have attributed slight consumer ob
jections .
Federal grade terms A or 1 , B or 2 , C or 3 , will be used for live

poultry , while only the letter designations will be applied to dressed
and ready - to - cook , including cut-up poultry .
Under the new provisions only poultry and domestic rabbits meeting
the respective minimum specifications of A and B quality may be individ
ually labeled with approved grade labels , and when so labeled each bird
and rabbit in a package or lot must meet the minimum specifications for
the respective quality .
Bulk or wholesale packs may be labeled as of the three grades , in

cluding C , and 10 percent of the next lower quality is permitted in
Grade A and Grade B packs , but no birds or rabbits may be individually
labeled in such packs .
Ready-to-oook poultry and ready-to-cook domestic rabbits which are

both officially graded and inspected for wholesomeness may carry dis
tinctive approved labels indicating certification for both types of ser
vices ,
Shield Will carry Grade
The official grado label will be in the form of a shield upon which
will be the U. S. Grade and class of the product it identifies and shall
include one of the following phrases : " Officially Graded" , " Federal
State Graded " , " Federal Graded " , or " Government Graded" , or a phrase of
similar importo
The official inspection label will be a circle carrying the in

scription : "Inspected for wholesomeness by the U. S. Department of Ag
riculture " .
Trade labels bear the true name of the edible

must product , the
name and address of the packer or distributor , and in prominent letters
and figures the inspection mark and the plant number , if any , of the of -
ficial plant in which such product was inspected and certified ,
Packages of out -up poultry and cut -up domestic rabbits may carry
appropriate approved and distinctive grade labels when the whole evis
cerated birds and the whole eviscerated domestic rabbits from which the
cut - up parts are derived have been officially graded as A or B quality
respectively .
Dressed poultry and dressed domestic rabbits in the process of
evisceration and preparation of ready-to -cook poultry and ready - to -cook

domestic rabbits may be inspected for wholesomeness only , without grading ,
and may be identified and certified accordingly with distinctive labels
or marks ,
Dressed poultry and dressed domestic rabbits in the process of evis

ceration , and preparation of ready-to-cook poultry and ready-to-oook do
mestic rabbits and their products for canning , may be inspected for whole
someness , and the containers may carry the distinctive circle indicating
certification for such service ,
All of the above types of grading and inspection services may be
performed in the same plant, but where more than one type of service is
performed in a single plant, precaution must be taken to maintain iden
tity and separation of different types of products which are labeled
differently .
Poultry Classes Outlined
In the new specifications all poultry products are defined accord

ing to kind and olass . Kinds of poultry are : Chickens , turkeys , ducks ,
goose , guineas and pigeons. Rabbits are separately classified together
with grade specifications ,
The classes of poultry are based upon age , sex , and usual cooking
methods , and the definitions include specifications for meat texture and
color , skin texture , condition of breastbone and conditions of bill and
windpipe in water fowl .
Chicken classes are specified as : Broiler or fryer , roaster , capon ,

stag , hen or stewing chicken or fowl , and cock or old rooster, Turkeys
are o lassified as fryer , young hen turkey , young tom turkey , mature hen
turkey or old hen turkey and mature tom turkey or old tom turkey .
Duck classes comprise the following : Broiler duckling or fryer
duckling, rasting duckling , and mature duck or old duck , Geese classi
fications include : Young goose and mature goose or old goose , Guineas
are classified as : Young guinea and mature guinea or old guinea . Pi .
geons are placed in two classes Squab and pigeon.
Only Letter Designations Apply

To Carcasses or Cut - up Birds
For all these classes the three grades are applied to live birds
and to dressed and ready - to - cook carcasses except that only letter desig
nations may be applied to carcasses and out -up birds . The grades are
based on many factors defined in detail by the specifications ,
Rabbit olasses are defined as : Fryer , roaster and mature or old
dome stio rabbit . Rabbit carcasses are graded largely on the basis of
conformation and fleshing .
October 1949 5
Grading for all poultry will be performed by Federal graders or by
graders operating under a Federal-State arrangement , Plants where either
system is operative are termed " official plants" . While some grading of
live poultry is carried on, the bulk of this work will be done with
dressed poultry , or following evi soeration .
For those plants which operate under the official grading and in
speotion program , the minimum standards for sanitation apply to facili
ties and operating prooe dure. These are defined in considerable detail
in the new regulations, and requirements for personnel health and hygiene
are included .
Program Result of Much Study

The new program is the culmination of nearly two years ' study during
which progressive conferences were devoted to a revision of all poultry
standards and grades and the development of a broader poultry grading
program Attendance at the conferences con sisted primarily of represen
tatives of producers , processors , wholesale and retail distributors and
consumer organizations in addition to representatives of State depart
ments of agriculture , State agricultural colleges , publio health agen
oies , veterinarians, and Federal and State grading officials.
In turn the recommendations emanating from these conferences have
been developed with the advice of the Poultry Industry task group on De
velopment and Application of Poultry and Egg Standards and Grades, and
with subcommittees on live and out - up poultry . In addition , the recom
mendations and oriticisms of all other interested parties have been
solicited and considered . The final regulations will be published for
general distribution about Nov , 1 , 1949 and the effective date will be
Jan, l , 1950.
TRIGG NAMED TO FOOT - AND -MOUTH COMMISSION
Secretary of Agriculture Charles F. Braman has announced the ap

pointment of two new members to represent this country on the Joint Mex
ican - United States Commission for the Eradication of Foot - and - Mouth Dis
ease . They are Ralph S. Trigg , administrator of the Pro duo tion and Mar
keting Administration and president of the Commodity Credit Corporation ,
and Dr. M. R. Clarkson of the Bureau of Animal Industry, both of the U.S.
Department of Agriculture .
Mr. Trigg directs the meat purchase program in northern Mexioo , de

signed to find outlets abroad for camed meat , normally shipped to this
country as live animals before the outbreak of foot - and - mou th di sease in
other areas of Mexico . The Tariff Act of 1930 prohibits the importation
of domestio ruminants and swine from countries in which foot - and - mouth
disease exdists , Dr. Clarkson is chief of BAI's Inspection and Quarantine
Division , the agency responsible
responsible for
for the
the technical
technical phases of the Mexi
can program .
Proposed Pork Standards
Feature Meat -Type Hogs
By C. L. Strong
The proposed standards for grades of slaughter hogs and pork car
casses released in early August by the Livestock Branch have stimulated
mich interest and favorable comment among both producers and processors
of hogs .
The current wide spread between the prices of fat and lean outs of
pork has focused attention on the inadequacies of a marketing system for
hogs which is based largely on weight . Hogs of the same weight may vary
wi dely in the ratio of fat to lean outs which they produce . Therefore ,
in the development of the new grades major emphasis has been placed on a
system which will reflect the ratio of lean meat to fat cuts or actual
merit of hog carca8888 .
Meat - Type Hogs Featured

Numerous requests have been received for information and actual
demonstrations of the proposed grades from all segments of the industry .
After checking these grades for several weeks , one midwestern packer
initiated the principles of the new sys tem by inaugura ting a " Meat- Type
Hog Week " during which premium prices were paid for the proposed U. S.
Choice No. 1 grade . At the same time demonstrations of the new grades
were carried on for the education of producers , Hog feeders who have be
come acquainted with the now proposals see in them not only a more accu
rate yardstick of market value but the establishing of a new obje otive in
their feeding operations ,
Though the standards are still tentative , and suggestions and con
structive criticism are welcomed , the Livestock Branch of USDA's Produc
tia and Marketing Administration has based the new proposals on sound
research finanoed by Research and Marketing Act funds . In addition ,
State experiment stations , the meat industry and others have made similar
extensive studies of hog carcasses and comparative yields of the best
cuts , Since meat is the major end product of swine production it was
reasoned that grade standards for either carcasses or live hogs should
be based on the measurable characteristios of the pork produced , Tho
studies showed that two factors are of primary importance : ( 1 ) the ratio
of lean to fat cuts , and (2 ) the quality of the meat in the cuts them
selves .
Various caroase measurements have been studied to determine a prao

tioal and reliable means of determining the ratio of the four lean outs
Oo tober 1949 7
(hams, loins, pionios and butts ) to the fat outs . After considerable
research it was found that an average of three back fat thicknesses ,
when considered with either carcass length or weight, provides a good
basis for estima tes of lean cut yield and quality of cuts . Therefore ,
the proposed standards have as their fundamental bases , the measurements
of carcass lengths or weight and thickness of back fat,
The Trend Is
Toward This
Away From This
The following schedule has been worked out as one which provides for
a uniform and constant yield of lean outs within a grade for hogs yield
ing carcasses from 92 to 240 lbs , in weight . The schedule provides for a
workable range in yield within a grade . That is , it has been found that
with 1/10 of an inch increase in back fat , weight or length remain ing
constant , the yield of the 4 loan cuts decreases by 1 % .
TENTATIVE SCHEDULE FOR GRADES OF BUTCHER BARROWS AND GILTS
Weight ( lbs. ) Average Back Fat Thickness of Caroa88, by Grade 1

Choice Choice Choice
Live Caro . No. 1 No. 2 No. 3 Medium Cull
( Approx. )
Inches Inches Inches Inches Inches
140 92 ) more than less than

1.46-1.74 1.74-2.03 2.03 1.03-1. 46 1.03
1.51-1.79 1.79-2,08 2.08 1,08-1,51 1,08
1,57-1.85 1.85-2.14 2.14 1.13-1.57 1.13
1.62-1.90 1.90-2,19 2.19 1.18-1.62 1.18
260 187 more than less than
1.68-1,96 1.96-2,25 2.25 1.24-1.68 1.24
290 213 more than less than
1.74-2,02 2,02-2.31 2,31 1.30-1.74 1.30
320 240 )
1 ) Average of measurements made opposite first and last ribs and last
lumbar vertebra ,
All Choice grades of hogs pro duoe cuts which are acceptable as Choice
in quality wder normal trading practices , The Choice No. 1 grade in
cludes hogs which have about the minimum quantity of fat required to pro
duce Choice quality cuts , The Choice No. 2 and Choice No. 3 grades carry
respectively more fat and produce corresponding ly lower yields of loan
cuts, but all cuts are of Choice quality .
8 Marketing Actitivies
Although hogs of Medium and Cull grades produce carcasses that are
higher in lean cut yields than hogs in the Choice grades , such carcasses
are subject to discount for quality in proportion to their underfinish .
While the use of objective caroass grades would provide an equitable

basis for producer - packer trading , its ultimate application appears lim
ited because of the nature of our marketing system , though at least one
packer is initiating a sys tem of buying on carcass grade and weight . How
ever , the same characteristics that are used to distinguish between
grades of pork carcasses are also evident in a visual appraisal of live
hogs , and as such , form the basis for grade standards of the live ani .
mals .
Preliminary trials indicate that experienced judges or buyers of hogs

quickly attain a high degree of accuraoy in selecting live hogs on the
basis of expected carcass characteristics ; therefore, little difficulty
in the applioation of live hog standards is anticipated ,
HOG PRICE SUPPORT LEVELS

ANNOUNCED THROUGH MARCH 1950
Monthly hog price support levels for the period October 1949 -March
1950 have been announced by the U.S. Department of Agriculture as follows :
October, $ 16,40 per hundréd pounds ; November , $ 15,00 ; December , $ 14,20 ;
January , $ 14,90 ; February , $ 15.50 ; March , $ 16.20 .
The support levels are based on 90 percent of the September 15, 1949,
parity price of hogs of $17.60. This figure is adjusted to reflect in
each monthly support price the usual seasonal price variations ,
The monthly support levels are the amount at which average hog prices
must be maintained if farmersare to receive 90 percent of the parity
price for hogs . Thé support figures are comparable to the average price
received by farmers, which on September 15 was $ 19.90 per hundred pounds ,
In addition to monthly levels , weekly guides are also determined as

an aid in carrying out actual support operations if needed. Weekly guides
are a composite figure for seven mid - western markets and are comparable
to the combined average market price of barrows and gilts at the se local
ities The weekly guides are not regarded as specific support levels at
these markets . However , since they do reflect the normal weekly rela
tionship between the average price at these seven markets and the national
monthly average price , they make a desirable guide for any support opera
tions that may be requiredo
This method of hog price supports was first announced for the Septem
ber 1949 period . Previously support levels had been on a weekly basis
for the Chicago market with fixed differentials for other markets . The
seven markets combined are : Chicago , St. Louis National Stockyards , South
St. Paul, Souix City , Omaha , Kansas City , and South St. Joseph.
October 1949 9
Artichokes Anonymous
By Elizabeth S. West
Globe artichokes are in season . This tasty Vegetable , looking some
thing like the green , spiny top of a pineapple , and tasting only like ar
tichoke, will be available on most markets from October until next May .
How large the 1949 orop will be won't be low own until Decemu er . Tho
acreage in California , the only area in which globe artichokes are grow
commercially , is 7,900 acres , the same as in 1948 . If production comes
even close to the 32,800,000 pounds harvested
harvested in 1948 , there will be
enough artichokes on the market to fill the demand .
The globe artichoke --not to be confused with the Jerusalem arti

choke , the tubers of which are the edible part - is a member of the this
tle family . In the case of the globe artichoke , the wopened flower
heads or buds constitute the edible portion .
A Riviera Native
The ano e stor of the

globe artichoke
artiohoke , the wild
gardoon , 18 native to the
shores of the Mediterranean
Sea , Spain , Morocco , southern
France , Italy , and Greece .
The wild oardoon wa.8 culti
vated for centuries for its
succulent stalks . Then , a
long in the 14th century ,
somebody discovered that the
flower head of the improved
and domesticated sardoon was
good to eat.
The Spaniards probably

brought the globe artichoke
to the New World , and it oon
tinued to be popular wherever
the Spaniards or French col
onized . It was known at an
early date in Florida , Lou
isiana , and California ,
The globe artichoke is really the flower head of Some globe artichokes
a large plant in the thistle family . Originally the
plant's
the flower was were
stalks eaten .--before someone discovered that were produced commercially
more tasty
in Florida and Louisiana in the late 1800's , but commercial production
today is centered in the " fog belt " of California , principally in the
coastal counties south of San Francisco --Monterey , San Luis Obispo , San
Mateo , Santa Cruz , and Santa Barbara counties . Monterey County is , by
far, the largest producing area ,
These coastal counties are ideal for growing globe artichokes , which
require a olimate free from frost in winter and cool and foggy in summer .
Even mild frost harms the appearance and marketability of this fine veg
etable, but not necessarily its flavor . Many artichoke fanciers main
tain that a mild frost causes the artichokes ! outer leaves to " snug up "
in a way that protects its more tender inner parts ,
Globe artichokes need rich , deep soil , and a great deal of natural
fertilizer, such as stable manure and compost . The plants also must be
well irrigated , particularly before blooming time to help the develop
ment of a great many buds.
It is the immature flower bud , i to 4 inches in diameter , which is

the edible and marketable part of the plant . The large , unopened flower
heads are enclosed in a globe of bracts which have a thick fleshy base .
While this fleshy receptacle has the more delicate flavor , the ends of
the bracts are also fleshy and edible , and the very tender inner bracts
are eaten whole ,
Pos twar Plants Defy old Custom
Artichokes are perennials , that is , they come up year after year

without replanting . Because the buds tended to become smaller on older
plants , California growers used to practice rotation planting , wherein a
section of each ranch was replanted yearly . During the war , labor short
ages interrupted this procedure , and now some California plants , known
to be ll years old are defying their prewar habits and are still pro
lifically produc ing fine , properly - sized artichokes .
The hand method of harvesting artichokes has not changed with the
years , Cutters nip off the vegetables with a small curved knife , placing
them carefully in a cloth sack . Packing , however , is somewhat more mo d
ern, due largely to inspections conducted by the California Fruit and
Vegetable Standardization Bureau of the State Department of Agriculture ,
There are about 100 artichokes ranches in Monterey County , California ,
and every ranaher is responsible for his own sizing
sizing,, grading, culling
and paoking . His packed boxes are delivered to a broker , who contacts
market outlets .
There are two postwar developments in the marketing of artichokes

which are significant . First , a new version of the half -box , which
allows the vegetable to be packed without bulge , was introduced success
fully last year . A more startling innovation , however , is a proo 888
for preparing artichokes so that they may be frozen successfully . In a
Santa Clara plant preliminary experiments with freezing have been de
olared feasible , not only for whole artichokes , but for dressed and
stuffed artichokes , which may , after thawing , go straight from the deep
freozo to the oven ..
October 1949
11
Artichokesare shipped eastward in refrigerated cars to all the
large city markets , both in the United States and Canada , It is in the
big cities , where there are many people of Italian , Greek, Spanish , and
French extraction , that artichokes are in the ke enest demand , However ,
more than half of the crop is consumed in California , being
annual
widely distributed to practically every town and city in the State ,
Strangely enough , the sale of artichokes was banned in its largest
eastern outlet-- New York City , for a time in 1936 -- and by no 1888 a per
sonage than His Honor , Mayor Fiorello La Guardia . The tempestuous La
Guardia had no quarrel with artichokes , as such , but he did have a run
ning fight on with a group of raoketeers , and baming the sale of arti
chokes appeared to be one way of stopping the racket ,
It seems that a produce company had obtained a complete " corner " on
the artichoke market. Any push cart peddler , any market stall operator ,
any food store owner was required to buy his artichokes from the raoke
teering produce company " or else . "
La Guardia moved against the racketeers in two ways : First , he in

dioted six of the ringleaders, and second, he prohibited the " sale dis
play , and possession of artichokes .in all public markets under the
control and jurisdiction of the City of New York , " to stamp out all ves
tiges of the illegal scheme . The mayor's campaign WEB successful and
artichokes are now sold as freely in New York City as head lettuoo.
Artichokes Something of a Mystery Dish
This vegetable is generally known to those not of Latin origin, and

as a result , it is often passed up as a mystery dish of the gourmets .
Actually it is easily prepared as a very old French reoipe illustratos ,
Two tablespoonfuls of pure olive oil are put in a Dutch oven, along
with a half dozen or so small globo artichokes , Once dusted with salt
and pepper and covered, they are allowed to cook very slowly , being turned
occasionally until they are tender and browned slightly on the outer
leaves .
Another favorite calls for larger, but tightly closed artichoke s .

These are parboiled in rapidly boiling salted water until the outer
leaves can be pulled off easily. After being removed from the water ,
drained, and cut in halves , the blossom centers are taken out and piled
on a platter for serving . Hollandaise sauco or drawn butter save adds
the last touch at the table .
The Italians , Portuguese and Spanish - Mexicans , who make up the me

jority of the grower - packers of artichokes , and the residents of Castro
ville -- " the Artichoke Center of the World" --feel that no one knows the
vegetable unless it has been stuffed with sausage and baked ,
A Greek favorite
favorite rounds out the recipes by nationalities . In it
the versatile artichoke is halved or quartered , depending on its size,
dipped in a thick batter and then fried in deep fat, olive oil or butter .
Quality Control Broadens
Southern Processors' Markets
By Earl F. Burk
Southern canners are proving again that one way to sell more is to
put out a better produot .
Greater market outlets are the reward for fruit and vegetable proc
essors who are practicing quality improvement programs with the help of
the U, S , Department of Agriculture . The aid , offered in the form of
cooperative analysis and suggestions for improvement of methods of plant
operation , is directed by the Fruit and vegetable Branch of the Produo
tion and Marketing Administration and financed under the Research and
Marketing Aot .
During and immediately following the war , the number of plants
processing fruits and vegetables expanded greatly . The abnormal demand
for canned foods promoted a rush to process all available supplies to
feed the armed forces and a hungry world . In some areas , many of the
processors were newcomers to the industry . This was due in some cases
to new commodities and different methods of preparing the produots and
varying processing techniques . The result , inevitably , was that quality
was not emphasized to the greatest extent .
Outlets Dwindle for Low Quality Products
In the pressure of wartime demand for the greatest possible sources
of foods , commercial buyers and the consuming public were foroed to ig
nore , to a great extent, their concept of prewar quality . This sacrifice
of quality for quantity was evident in most wartime products where wholo
someness was not at stake . When these severe shortages were filled in
the immediate postwar period , however , some of the most exacting custom
ers began to reject low quality merchandise, These early refusals were
only a prologue to more widespread rejection by most commercial handlers
and the public as increased supplies of superior commodities became
available ,
It was at this point -- as their markets dwindled that the processors

turned to the Department for its aid in obtaining quality improvemento
PMA made available to the problem areas in Texas , Louisiana , Mississippi
and Alabama the services of a specialist authorized to help individual
processors analyze their own difficulties , commodity by commodity . The
results have been well worth the efforts . Improvements have been re
ported in 8 commodities and grateful processors have asked for extension
of the servioe ,
October 1949 13
Problems with sweetpotato processing proved to be the
connected
mos t difficult encountered by the specialist . With this commodity , the
packing techniques were well established , even if they were not result
ing in the best possible pack . Many companies were using too small a raw
product . In some instances water pressure at the plant was insufficient
for washing the lye - scalded sweet potatoes , and as a result spotty dis
coloration occurred later where tissues retained small amounts of lye . In
other processes , where too long a time elapsed between the final trim and
the closure of the can, excessive oxidation resulted ,
Realizing that correction of these oon di tions meant the difference
between success and failure so far as moving the pack was cono erned , the
Department specialist pointed out to several processors the necessity for
quality , and then helped them get it. Other packers soon fell in line
in order to compete . One of the leaders in the processing inprovement
succeeded in developing the highest quality pack considered economically
feasible . As a result of its efforts , this plant was rewarded this fall
with far more commercial orders than it can hope to supply .
Exact Procedures Tum Out Best Products
With other commodities it frequently turned out in the analyses that

slight modifications in processing techniques were sufficient to correct
the many faulty pa oks . For example , one plant was canning snap beans
before they had reached the proper stage of maturity . Another was putting
up a frozen pack which varied too greatly in size. Still another was
careless about the percentage of defective beans .
Similar situations existed in the processing of other products . One

packer of frozen sweet corn , for example , was taking quite a loss on his
product through spoilage --after the entire processing operation had been
completed. It turned out that he had been under -blanching corn on the
cob when a longer blanch was essential to producing a good frozen prod
uct . On the other hand , okra-- a Southern orop that is becoming popular
elsewhere --was being penalized because it was being held too long at
high temperatures . The results were undue loss in coloring and bright
appearance essential for best consumer appeal. Investigation also showed
that failure to change the water frequently in which the okra was blanched
resulted in an undesirable darkening of the product ,
In the case of strawberries the Department specialist found that he
could work best with producers and processors through State - sponsored
meetings at which he spoke pointedly on the need for quality control . At
these meetings the growers and packers were convinced that they could
compete successfully with berries processed in other areas only by main
taining higher quality standards ,. As a result this season's processed
berries were greatly improved over the 1948 pack, in spite of adverse
conditions which made heavy sorting of its berries necessary .
Not all the processing problems have been solved for some of the
commodities . In the work on the several varieties of Southern peas the
specialist saw the need for an entirely different approach, There was a
need for U. S. Standards , Accordingly, his first move was to seek data
on which to base development of grade for properly classifying quality .
The Federal official has therefore submitted data which the Department
is considering in order to develop adequa to standards for Southern field
peas and Black - eye peas .
Other problems connected with processing and harvesting of field

peas are still to be solved , however . For some varieties , the cause of
ruptured peas mixed throughout the can is something of a mystery , just
as discoloration of the peas at the ends of the cans is still troublesome .
Many of these difficulties which tend to lower the quality of the product
can be corrected . When the new standards are issued , the established re
quirements for the different grades will be defined and the job will be
made easier .
Brocooli is another commodity for which more information is still

needed by the processors . Data which will help fill this gap are being
collected .
Generally the cooperation from the packers has been excellent . In

many instances the ir in appraising their problems has been
frankmess
surprising and always it has been en couraging . It has been through this
practical and cooperative appraisal of the whole problem that progress
has been made, and already greater markets for South ern - grown and -proc
essed fruit and vegetable crops are being developed.
REVEALING PACKAGES MORE POPULAR

FOR RICE AND DRY BEANS AND PEAS
More and more grocery dealers prefer that rice and dry edible beans
and peas they sell be packaged in transparent film . This preference was
indicated in a recent survey in 30 cities , by the U. S. Department of
Agriculture , of sales by 350 wholesale and retail dealers . In these
cities solid carton and kraft packages seemed to be losing popularity to
the more revealing window - front and all - cellophane types ,
Stronger and more durable cellophane is being used to assure less
shelf breakage , the study also brings out . More of the heat - seal type
of cellophane is being used , to take advantage of all - automatic machinery
for the making , filling , and sealing of bags .
Sales are increased by a display of high - quality , attractive pack
ages of beans , peas , and rice in retailstores because many housewives
deoide to buy on the impulse while they are in the grocery store . The
trend is to package beans of much higher quality in the transparent
packages .
The survey was made by the Grain Branoh , Production and Marketing
Administration , USDA , under the Research and Marketing Act of 1946 , with
information about package preferences for the
the object of obtaining information
commodities in key cities . A detailed report of the survey is available
from the Information Branch , PMA , U , S. Department of Agrioulture , Wash
ington 25 , D. Co
15
October 1949
Apple Bruising Can Be Checked
By Ray Heinen
Apple bruises , unfortunately , do not heal . "One bad applo , " 18 tho
saying goes , "can rot the barrel .
Of course not very many apples are packed in barrels any

more , but bruising is still a menace . Because of the very
C large crop this year --nearly 130 million bushels , and 40 mil
lion bu shels more than last year --growers will have to put up
a pretty good pack to move a substantial percentage of produo
tion into marketing chamels . Growers and handlers will do well to fol
low the recommend ations of plant scientists , of the U. S. Department of
Agriculture , who have made extensive studies of the bruising problem ,
The project was carried on under the Research and Marketing Act of 1946 ,
That Rough Packing Line

The studies , which were carried on at Wenatchee , Wash . , show that
precautions against bruising cannot be relaxed at any stage throughout
the harvesting and packing proceSS . The three most oritioal danger
points , however , were found to be in the packing line where more damage
oo curred than in the combined operations of picking , hauling and handling.
In one study made on me dium - size apples of the Delicious variety the re
searchers singled out these operations as being critical :
( 1 ) Dumping --either mechanically or by hand. A tall worker
who flipped the fruit on the dumping table belt caused
12 severe bruises per 100 apples as against two for a
more careful worker . Apples dumped into a water bath
showed fewer bruises than those carefully dumped on a
canvas belt as it passed over a solid surface ,
( 2 ) Drops--when the apples were moved from one level to an
other for different operations or when the fruit was
carried on endless conveyers . The newer machines with
dumping table and washer progressor on the same level
caused fewer bruises than old - type machines .
( 3 ) Hits --on the edges of the distribution roll and the
metal frames of sizing cups as the result of faulty ad
justment and operation of sizing equipment. The plant
scientists pointed out that it is extremely important
to have the three moving parts of weight - type graders
accurately timed .
Shooks Prevented by Pallets
Perhaps the most significant single development in bruise -prevention

techniques , however , is the use of pallets --wooden platforms on which 24
to 30 boxes of apples may be placed and moved as a unit by fork-lift
truoks . With careful operation of the trucks the apples may be moved in
large volume with a minimum of fostling and bruising . Only one - fifth as
much bruising was found when apple boxes were handled on pallets as when
the boxes were handled separately by hand .
Bruises incurred during storage of loose fruit was also found to be

less with palletized apples . During receiving , stacking in cold storage ,
and delivery to the paok ing line later in the season , only 61 percent as
many bruises resulted as when the individual boxes were handled . In
this comparison both cold storages used were separated from the packing
houses . The boxes were staoked 5-high on pallets and the pallets were
stacked 3 - high in the cold storage . Palletized apples were moved from
cold storage to the packing houses by the fork - lift trucks .
Where the boxes were handled individually , they were moved to posi
tion by hand truck and stacked 8 -high in cold storage . At the time of
packing, the staoks were broken down for movement to and from the motor
truck used to transfer the fruit from the cold storage to the packing
house .
Supervised Picking Easier on Apple s

Studies made of bruising during picking showed that the amount of
bruising was directly related to the amount of supervision of the opera
tion . The use of canvas bags and canvas - bottom metal buckets greatly de
oreased the amount of injury , both because they were easier on the fruit
and because they made everyone concerned more bruise - consoious ,.
All of the various phases of the Wenatchee tests have been summa
rized in detail , with illustrations and tables , in a report entitled
" Investigation of Apple Bruising , Wenatchee , Washington , 1948-49 . " The
report , which is particularly complete with respect to the technical
bruising problems in volved in the washing , sorting and sizing processes ,
may be obtained upon request from the Bureau of Plant Industry , Soils ,
and Agricultural Engineering , Beltsville , Md . , or from PMA's Information
Branch , USDA , Washington 25 , D. C.
" FLAT SOUR " OF TOMATO

JUICE READILY PREVENTED
Los ses to commercial canners from so -called " flat sour spoilage "
of tomato juion may be avoided by heating the juice for a sufficient
length of time to destroy the vegetative cells of the flat sour organ
ism and by maintaining the acidity of the Juice at a point which prevents
the germination of the spores of these organisms . These points have
been oanfirmed in studies made in the bacteriological laboratories of
the State Experiment Station at Geneva , New York ,
October 1949 17
CCC Announces Size
Of Price Support Investment
The Commodity Credit Corporation reported recently that $2,373,000 ,
000 was invested in the CCC pri ce - support program as of June 30, 1949-
the end of the 1949 fiscal year .
Of the total investment, loans outstanding totaled $ 1,291,000,000,

while inventories acquired under loan , purchase agreement , and direct
purchase operations represented a cost of $ 1,082,000,000.
Price - support operations in four commodities accounted for the bulk
of the loen to tal . These commodities , the quan tities of collateral
pledged, and the loans outstanding , were as follows :
Cotton , upland 3,877,766 bales $ 609,183,898

Com 345,522,475 bus hels 476,967,053
Tobacco 347,230,852 pounds 134,681,590
Wheat 20,986,006 bushels 40,307,362
Other 26,639,112
Total XXX $1,290,779,015
Inoluded under " Other 11 above were loans on American - Egyptian cot
ton , flaxseed , peanuts , soybeans , potatoes , barley , dry edible beans and
poas , grain sorghums , oats , rice, rye , rosin , and turpentine .
Items in the inventory of the CCC as of June 30 , the quantities in

volved , and the cost, were as follows :
Wheat 227,178,163 bushels $ 529,281,550

Flaxseed 17,524,698 bushels 109,725,121
Linseed oil 295,835,870 pounds 81,895,696
Dried eggs 63,183,456 pounds 81,328,091
Wool 96,020,242 pounds 75,704,008
Grain sorghums 13,659,380 hundredweight 37,736,606
Other 166,093,402
Total XXX $ 1,081,764,474

" Other !! items in inventory included cotton , flax fiber , butter ,
dried milk, peanuts , soybeans, dried fruit , potato starch , barley, dry
edible beans and peas, oats , rice , rye , hay and pasture seeds , rosin ,
tur pentine , and tobacco ,
In carrying on its price - support program in June , the ccc sustained
a net réalized loss of $20,000,000, largely on potatoes , peanuts , grain
sorghum , and wheat . The not realized loss for the entire fiscal year
1949 -- largely represented by losses on operations in potatoes , peanuts ,
and wool -- was $254,000,000 .
The CCC is authorized to have borrowings outstanding at any one
time of $ 4,750,000,000 to carry on its various programs , including the
price - support program . As of June 30 , 1949 , the CCC had in use $ 2,203 ,
000,000 of its statutory borrowing authority . This left a net statutory
borrowing authority available of $2,547,000,000 . In addition , other
current operating obligations of the CCC amounted to $ 565,000,000 , some
part of which may be liquidated by the use or borrowing authority .
CCC TERMINATES
LEASE ON BRONX MARKET
The Commodity Credit Corporation has announced that it has termi

nated its lease on the Municipal Terminal Market, at Bronx , N.Y. , as of
October 8 .
In making the announcement , Ralph S , Trige , CCC President, said,

" Termination of the lease on this large cold - storage warehouse is in
line with CCC's policy of utilizing , to the fullest extent possible ,
private facilities and normal channels of trade in carrying on its opera
tions . During the war and for some time after the war , the Government
needed the assurance that refrigerated warehouse space would be available
for perishable commodities in the New York area, But with adequate com
mercial cold storage space now available in the area , the Corporation is
terminating the rental of the Bronx facilities. "
EGG PRICE SUPPORT PROGRAM

CONTINUED UN CHANGED THROUGH DECEMBER
The U, S , Department of Agriculture has announced that it will con

tinue to support egg prices in the Midwest during the months of Novem
ber and December at levels reflecting an average price to producers of
35 cents per dozen for shell eggs in order to carry out the mandatory
provisions of the law . This is the same support price that has prevailed
throughout the year 1949 ,
The Department will carry out its support obligations by the pur
chase of dried eggs from vendors who certify that they have paid pro
duoers not less than the support price for all the shell eggs they buy .
Offerings of dried eggs for November delivery have been received since
Ootober ll . Offerings for December delivery will be received beginning
Tuesday , November 8 .
October 1949 19
Radiation Effects on Plants
Minimized by AEC Report
Early reports of the miraculous growth -producing effeots of radia
tion on plants and animals have been almost completely debunked by the
sixth Semiannual Report of the Atomio Energy Commission . The Report ,
dated July 1949 , is addressed to the President of the Senate and the
Speaker of the House .
Following the atomio blasts in Japan in 1945 , numerous reports in

dicated extreme produo tivity of plants in gardens in the bombed areas .
Scientists later refuted the so claims but publio acceptance of the theory
prompted a manufactur er to capitalize on a commercially produced ferti
lizer said to be potent because of its radioactivity .
Under contract with the Atomic Energy Commission , the U. S. Depart

ment of Agriculture has tested this commercial product together with
certain other definitely known radioactive materials , Fourteen States
cooperated in the venture and their agricultural experiment stations
served as sites for the tests . The commission reports that the 1948 ex
periments , which were made on 17 different orops , " revealed neither ben
efits nor damage to orop growth and yields from the radioactive materi
als applied . " Continuation tests will be run to check on the possibil
ity of second - year effects or potential reactions at varying levels of
radiation .
During the same period additional tests were made in greenhouses

where the reactions of vegetables and flowers to a much wider range of
radioactivity were observed . Again the Commission states that thus far
no beneficial effects have been noted ,
Exposed Cattle Reproduce Normally

The Commission report follows a similar negative
line so far as
radioactivity may affect animal reproductivity . Of the herd of cattle
inadvertently exposed in the bomb test in New Mexico the Commission
states that there has been "no evidence to date of any adverse effeots
on the fertility of either the exposed cows or bulls . "
The original herd included calves , yearlings , steers , OOWS , and
bulls . Of the 26 COWS and 24 heifer calves in the herd , 49 have borne
calves , all of which were normal . Thirty - three normal calves were the
offsprings of the matings of one of the exposed bulls bred to exposed
COW8 . The only evident immediate effect of exposure to the bomb dust has
been the partial graying of hair on the Hereford cattle,
Tests and observations will be continued periodically on the herd.
Autopsies will be performed to check for both radioactivity and injury
due to radiation. Breeding and offspring records will be kept on other
animals throughout their life span . In order to carry out these and re
lated studies the Atomic Energy Commission has contracted with the Uni
versity of Tennessee , Knoxville , to carry on radiation experiments on
animals ranging in size from mice to mature cattle ,
Radioactive Materials Are " Tracer Tools "
Possibly the most positive returns from experimentation on radio

active materials has come from the tests tracing the course of ferti
lizer nutrients as they are taken into plants from the soil . The Commis
sion states that "radioisotopes offer , for the first time , a tool by
which these facts can be discovered accurately and in detail . Such re
search can be of immenso value to the chemistry of soils , and extensive
tests are now being conduoted by the Bureau of Plant Industry , Soils and
Agricultural Engineering , at Beltsville , Md .
In other studies scientists are hopeful that by exposing plants to
a wide range of radiation intensity gene and chromosome mutation rates
may be observed , as well as other loss specific effects of radiation on
plant growth . Plant diseases and parasite attacks similar to stem rust
of wheat and smut affecting corn are also objects of radioisotope stud
ies .
mechanics of photosynthesis by which plants make sugar from

The
carbon dioxide with the aid of sunlight and water can be studied through
the plant -manufacturing of radioactive sugar . It is hoped that the stud
ies may teach scientists how to duplicate the process outside of plants .
Under contract with the Commission , research organizations , Federal,
State and private educational institutions are conduoting many other un
classified projects which
whi ah , though ranging widely in their connection
with a tomic energy , relate closely to the welfare of agriculture ,
NON SECRET APPLICATIONS OF ATOMIC ENERGY

STUDIED AT ARGON NE NATIONAL LABORATORY
Nonsecret types of research in the application of atomic energy to

agriculture are being carried on at the radiobiology Experiment Station ,
Argonne National Laboratory . The studies relating to agriculture are
part of a broader program in other research fields of biology which in
oludo medioine , biochemistry and physiology . Particular emphasis will
be placed on experiments in biosynthesis through which soientists will
be given an excellent opportunity to observe the effects of specifio
isotopes upon the growth of plants and animals ,. At the Station much
progress has been made in preparing the special plant and animal facili
ties necessary for such research . These are designed to permit the
maintenance of varied types of plants and animals in either radioactive
or nonradioactive , controlled environment ,
October 1949 21
USDA Proclaims Marketing Quota
And Acreage Allotment for Cotton
A national marketing quota of 11,732,750 bales ( standard bales of
500 pounds gross weight ) for the 1950 cotton crop was proclaimed and a
national acreage allotment of 21,000,000 acres was announced October 13
by the Secretary of Agriculture . At the same time he announced a national
referendum to be held December 15 , 1949 , in which farmers will vote for
or against the marketing quota .
Under provisions of the Agricultural Adjustment Act of 1938 , as
amended , the Secretary must proclaim a national marketing quota whenever
he finds during any calendar year that the total supply of cotton for
the marketing year beginning in such calendar year exceeds the normal
supply for that marketing year . However , the law specifically requires
that for the 1950 orop , whatever the total supply may be , the national
acreage allotment shall be not less than 21 million acres .
Quota Subject to Referendum

The quota will remain in effeot if it is approved by at least two
thirds of the farmers voting in the national marketing quota referendum .
If more than one - third of the farmers voting disapprove, the marketing
quota will be withdrawn . Only farmers who produced cotton in 1948 are
eligible to vote in the referendum .
On the basis of the latest available statistics of the Federal
Goverment , the " total supply " of cotton for the current marketing year
is 20,659,000 running bales and the normal supply " is 16,250,000 running
bales . ( A running bale is a bale as it comes from the gin and usually
averages heavier than 500 pounds gross weight . )
According to findings of the Secretary , the total supply for cotton

for the 1949-50 marketing year will exceed the normal supply by 4,409,000
running bales or 27.1 percent .
State and county Production and Marketing Administration committees

are now compiling acreage data upon which to base farm acreage allotments .
The national acreage allotment is broken down in to State allotments , State
allotments into county , and county allotments into individual farm allot
ments , farm operator should receive his individual farm
Each cotton
allotment before the referendum da te . Six referendums have been held on
cotton . The first was on March 12 , 1938 , All were approved by cotton
growers . The last referendum was approved by farmers on December 12 ,
1942 , for the 1943 crop . However , quotas were withdrawn on July 10,
1943 , because of the war .
MARKETING BRIEFS :
Cotton .-- CCC is considering the possibility of augmenting the cot

tonseed farm storage loan price support program, announced first on July
27 and now in effect in cotton states , by utilizing and expanding stor
age faoilities at gins and oil mills , Such storage facilities would be
used for the storage of loan cottonseed , as well as cottonseed and cot
tonseed produots to which CCC might acquire title . Under the program ,
CCC makes nonrecourseloons at 90 percent of parity an clean, safely
stored cottonseed having a moisture content of ll percent or less . The
loans , secured by chattel mortgages on the seed , are made on cottonseed
stored on or off the farm . In exploring the possibilities for augmenting
present program operations , PMA field representatives will confer with
cooperative processors regarding availability of storage space and ways
to make the present support program more effective ,
Dairy.--USDA announoad in mid - September that it has denied requests
for a public hearing to consider proposals for increasing the minimum
pri ce of Class I - A milk in the New York milk marketing area effective
October 1. The proposed price increases were requested on the ground that
the summer drought in the area has increased feed costs and may result
in lower production and a shortage of milk during the fall and winter .
USDA's denial of the requests was based on information indicating that
the prices presently effective are adequately reflecting the supply and
demand conditions for the market . Similar proposals for a September in
orease were denied by the Department September 1 . Minimum prices
.
assured to dairy farmers in the Cincinnati , Ohio , milk marketing area

have been increased by 15 cents per hundredweight through January 1950
for class I ( fluid milk ) and Class II milk ( fluid cream ) , USDA announced
September 16 , The in orease is intended as an incentive to dairy farmers
for the pro duotion of Grade A milk under the amended health regulations
specifying Grade A milk for fluid uses A deoision to adopt a new
set of long -range milk prio ing provisions for determining the minimum
price to be paid to dairy farmers for Class I milk (chiefly milk used as
fluid milk and fluid cream ) in the New Orleans , La. , milk marketing area ,
will become effective Ootober 1 , if approved by producers supplying the
market . USDA made the announcement September 22 .. • On September 21 ,
USDA announced its decision to change the present method of pricing milk
delivered by dairy farmers in the Cleveland , Ohio , Milk marketing area
by amending the Federal order regulating the handling of milk there so
as to ( 1 ) revise the pricing formulas used in determining the minimum
prices to be paid dairy farmers for milk used in certain dairy products ,
and (2 ) change the classifioation of milk used in certain dairy products .
Before the changes can become effective , they must be approved by more
than two - thirds of the dairy farmers regularly supplying the cleveland
market ,
Fruits and Vegetables .--USDA announced September 19 grade and size '
regulations relating to potato shipments from the State of Maine . Under
the regulations -- which became effective September 26 and continue in ef
feot through June 30, 1950 -- shipments of all varieties of potatoes other
than Bliss Triumph must meet the requirements of the U.S. No. 1 grade or
better grade , and must be not less than 2 inches and not more than 4
October 1949 23
inches in diameter . Shipments of Bliss Triumphs must be at least U. S.
No. I grade and may not be below 1 7/8 inches minimum diameter . The
regulations do not prescribe maximúm sizes for this variety .... Septem
ber 21 USDA recommended adoption , subjeot to grower approval , of pro
posed amendments to the Federal marketing
order which regulates tho
marketing
handling of Irish potato es grown in the Oregon -California production
area . If adopted , will give the administrative committee , composed of
local potato growers and handlers , greater flexibility in operation of
the marketing program , Provision is made for the committee to recommend
regulation of potato shipments by grade , size , quality , and maturity of
any or all varieties of table stook or seed , by either oonsumer or whole
sale paoks , or both , for any or all portions of the produotion area ,
during any period of the marketing season . The committee could also
recommend that special consideration be given to shipments for certain
purposes such as to export or manufacturing outlets , for livestock food ,
or for relief distribution .... Selection of a committee to administer a
Federal marketing order , effective September 28 , 1949 , regulating the
handling of Irish potatoes grown in the State of Washington , will be an
nounced shortly . The program is based on evidence developed at a publio
hearing held in Yakima , Washington , in April 1949 and was proposed by
the Washington State Potato Growers Association , Inc. to provide a method
for improving the marketing of the potato crop . In a recent referendum ,
the order was favored by 74 percent of the producers voting and by pro
ducers of 75 percent of the potatoes represented in the voting .... A
Federal marketing agreeme irt and order regulating the handling of pecans
grown in Georgia, Alabama, Florida, Mississippi, and South Carolina has
been The regulatory provisions of the program will become
established ,
effective prior to the beginning of the pecan shipping season , the exact
by the
date to be announced by Secretary .. Other provisions, covering ad
the Secretary
ministrative organization and non - regulatory provisions will become ef
fective September 20, 1949 ,
Grain , -- Corn price support rates for the 1949 crop , ranging by
counties from $ 1.29 to $ 1,66 a bushel , end averaging $ 1.40 nationally ,
were announced October 3 by USDA , Rates for 1948 - crop corn averaged $ 1.44
nationally . While the 1949 rates for individual counties are available
at the respective State PMA offices or at the Grain Branch , PMA , Washing
ton , D. C. , the 1949 loan and purchase rates are based upon 90 percent of
the parity price of corn as of October 1 , 1949 , as required by the con
trolling legislation . Parity for that date was $1.55 a bushel as a na
tional average .... Early in September USDA announced price support of
$ 2.11 a bushel for 1949 - crop green and yellow soybeans grading U.S. Na 2
and containing not more than 14 percent moisture . Brown , black, and
mixed soybeans will be supported at $ 1.91 per bushel . Premiums and dis
counts will apply to other grades . This price support is based on 90 per
cent of the comparable price for all soybeans on September 1 , 1949, Το
be eligible for loan or purchase agreements , the soybeans must grade U.S.
No. 4 or better , and must not conta in more than 14 percent moisture . ...
Flaxseed price support at 60 percent of the farm parity price as of
April 1 , 1950 for the 1950 arop was September 16 by USDA . This compares
with 90 per cent of parity for the 1949 crop . The actual support price for
the 1950 omp will be announced about April 1 , 1950,
ABOUT MARKETING

publioations desired, detach and mail to the Production and Marketing
Administration , U. S. Department of Agriculture , Washington 25, D. C.
Statement by Ralph S. Trigg , Administrator of the Production and

Marketing Administration and President of the Commodity Credit Corpora
tion , United States Department of Agriculture , on legislation to imple
ment operations under the Interational Wheat Agreement . September 21 ,
1949 . 5 pp. (Processed )
The General Livestock Situation and Outlook , a statement by Charles
A. Burmeister , Livestock Branch , PMA , USDA , Washington , D. C. , August 31,
1949 , 10 pp. (Processed )
Publications :
Storage of Ear Corn on the Farm . No , 2010. September

(PMA) F. B. No.
1949. 27 pp. ( Printed )
Storage of Small Grains and Shelled corn on the Farm . (PMA) F. B.
2009. September 1949 . 30 pp. (Printed )
Turkey on the Table the Year Round . ( Bureau of Human Nutrition and
Home Eoon omi os , and Bureau of Animal Husbandry , Agrioultural Researoh
Administration , and Poultry Branoh , Produo tion and Marketing Administra
tion . ) F. B. No , 2011 . August 1949 , 21 pp . ( Printed )
Livestook Market News : Statistios and Related Data . ( PMA ) CS-38 .
August 1949 , 83 pp . ( Processed )
School Lunah Recipes for 25 and 50. ( Bureau of Human Nutrition and
Home Economics and PMA) PA -68 . September 1949, 47 PP . (Printed )
Apple Storage Prospeots 1949-50 , Marketing Facilities Branch , PMA ,
September 1949, 5 pp. (Proo essed )
Grain Storage
Facilities in North Carolina , 1948 : Summary of a
Study by the North Carolina USDA Council and PMA , Bureau of Agricultural
Economios cooperating . May 1949 , 8 pp . ( Processed )
Fiber and Spinning Test Results for Some Cotton Varieties Grown by
Selected Cotton Improvement Groups , Crop of 1949. ( PMA ) Aug ust 1949 .
2 pp. (Processed )
Marketing Colorado Peaches : Brief Review of the 1949 Season . PMA ,

Colorado Depto of Agrioulture Cooperating . Sept. 9 , 1949 , 4 pp .
(Processed )
October 1949 25
ABOUT MARKETING ( Contid )
Regulations and Fees for Cotton Testing Service , Effective Septem
ber 15, 1949, ( PMA ) 4 pp . ( Processed )
Problems in Marketing Potatoes : Preliminary Results of Some Recent

Research . ( BAE ) July 1949. 60 pp . ( Processed )
The Wholesale Produce Market at St. Louis , Mo. PMA in cooperation
with Missouri State Department of Agriculture . June 1949 , 155 pp .
In addition to the St. Louis , Mo , market study mentioned

above , similar earlier studies are available for the following
cities or areas :
Baton Rouge, La .; Fruits, Vegetables , Poultry , and Eggs .

Benton Harbor , Mich .; Fruit ,
Columbia , s . C .; Produce .
Columbus , Ohio ; Fruits , Vegetables , Poultry , and Eggs .

Greenville , S. C .; Fruits , Vegetables , Poultry, and Eggs .
Hartford , Conn .; Fruits, Vegetables , Poultry , and Eggs .
Houston , Tex .; Fruits , Vegetables , Meat and Meat Products ,
Poultry , Eggs , and Other Produce .
Jackson , Miss.; Fruits , Vegetables , Poultry , and Eggs .
Miami , Fla .; Fruit and vegetables .

New Haven , Conn .; Fruits , Vegetables , Poultry , and Eggs ,
Richmond, Va.; Fruits , Vegetables , Poultry , and Eggs .

Sumter and Lake Counties , Fla .; Fruits and vegetables .
Tampa , Fla .; Fruit and vegetables .

(Be certain that you have given us your name and full address when
ordering statements or publications. Check only the individual items
you desire . --Editor . )
NAME
ADDRESS
CITY ZONE STATE
November 1949
MARKETING
ACTIVITIES
FU
RE

Washington 25, D.C.
IN THIS ISSUE :
SURVEYORS WITH WINGS

By Ralph H. Moyer Page 3
Maybe that " back 40 " is really a " back 35 " . PMA can tell in a min
ute just by looking at an aerial photograph .
EGG QUALITY IS ELUSIVE
By Hermon I. Miller Page 8
Don't blame the hen . Our handling methods account for that sharp
drop in egg quality .
SAFFLOWER --NEWEST OLD CROP
By Archie R. Sabin . Page ll
Oil and feed -- both come from safflower . And farmers can grow the
crop in semi-arid areas of the West .
NEW BEEF GRADE PROPOS EHD

By J. C. Pierce . .. ... Page 14
If present plans work out , the Commercial beef grade will be di

vided into Commercial and Regular . Everybody will benefit , PMA thinks .
THE LATEST ON FROZEN FOOD MARKETING

By James A. Mixon Page 16
There's no further doubt about it . Frozen foods are here to stay .
1948-49 FOOD EXPORTS SET RECORD . Page 18
Our food exports last year , if loaded in boxcars , would make a solid
train extending from San Diego , Calif . , to Portland , Maine .
HIGHLIGHTS - AGRICULTURAL ACT OF 1949 O . Page 19
The 81st Congress drafted new price support legislation and it has
been approved by the President .

Washington 25 , D. C. Issued monthly. Vol . 12 , No. 11
Surveyors With Wings
By Ralph H. Moyer
They are flying at 14,000 feet . A crow of only two man the plane .
Both wear oxygen masks just to make sure that their heads are clear
They have a clean - cut mathematical objective , It is one that ties their
flight to the earth below . Upon the accuracy of their mission depends
the difference of life and death to millions of acres of our country's
soil .
But, don't get this crew wrong . It is not a pilot and a bombardier .
It is a pilot and a photographer . They are not flying over an enemy
terrain searching objectives for destruction , They are one of hundreds
of crews that fly above their homeland taking pictures of the farms of
America . The negatives , when developed, show the wheat fields , the oat
fields , the cotton fields , the reservoirs and ponds , the irrigation
ditches , the ranges and the farm homes of our country . They disclose
ways and means of saving and making the best use of the land .
Nearly All U. S. in the Pio ture
The irs is a mission of peace . No military photographers have yet

achieved so vast a pioture of this country's surface , The negatives are
the most extensive panorama of the surface of the United States that has
been achieved to date by any public or private agency . This work ,
carried on by the Production and Marketing Administration of the U. S.
Department of Agriculture , has photographed from the air approxima tely
seventy percent of the total area of this country , including ninety per
land .. A considerable area has been rephoto
cent of the agrioultural land
graphed and there are now in PMA files aerial negatives for over 3,000,000
square miles .
November 1949 3
The flight lines are two miles apart . The photographs are taken
only on clear bright days during the period when the sun's altitude is
at least 3 1/2 hours above the horizon . There are many other specifica
tions that call for photographic scales , lenses , cameras tested by the
Bureau of Standards , endlap in line of flight and sidelap between flight
strips , and hundreds of other technical details , All of these are cal
culated to bring out the final accurate picture of the Nation's farms .
Aerial photography was agreed upon by the PMA as the most accurate
and economical method of determining the extent of the farmers ' partici
pation in the Agricultural Conservation and other farm programs of the
PMA . These programs , especially the quota and allotment programs , re
quire accurate acreages of fields farmers have diverted from ane crop
to another and from soil depleting to soil conserving uses , Each field
where these changes have been made must be measured to check these land
use changes .
Air Survey Supplants Cruder Methods
after the Agricultural ' Adjustment Act was passed in 1933 ,

Soon
farmers elected county and community committees to administer the farm
programs covered by that Act. Programs were set which called for the di
version of acreages devoted to wheat , corn , cotton and tobacco to other
uses . This made it necessary that accurate measurements be made to do
termine the aoreage in all fields on which these crops were growno In
order to obtain the first measurements required, the committeemen em
ployed neighboring farmers to do the vast job of mapping the majority of
the farms of the Nation . Practically all me thods of measurement were
used , many of which were of necessity crude and not always accurate ,
There was one thing common to all of these me thods -- they were expensive.
In some cases the acreage of the fields on a farm was determined by sur
veying parties which was probably the most accurate and definitely the
most expensive of all the methods used. In other cases , commmity oom
mitteemen measured the fields with chains or steel tape s . Ano ther method
was to tie a rag on a bicycle wheel and walk the wheel around each field
to be measured , counting the revolutions each time the rag showed on
top . The records from these field measurements were taken to the county
office where they were computed and acreage determined . In many cases
the equipment in the county office was not of the best and inexperienced
help was usedo
The final checking of the acreage requirements of the various pro

grams then , as now , was the responsibility of the county committeeman .
The community committeemen are elected by the farmers from their commu
nities and the county committe emen were named by the elected farmer del
egates from their counties . They were chosen for their qualifications
as farmers and good citizens of the community to administer the farm
programs at the grass roots . These farmers in most cases were not sur
veyors or trained engineers of any sort.
As early as 1934 county offices in charge of farm programs saw the

need for speedy , low cost accurate measurements of fields . During that
year at least one county office made arrargements with a contractor for
aerial photographic coverage . In 1935 a number of counties in several
States were photographed from the air for farm program purposes and re
ports on the feasibility of measuring acreages from aerial photographs
caused a larger number of counties and States to turn to this method
during 1936 .
At this time and for several

years following , a number of people
were dubious about the accuracy of the measurements , Queer things were
happening. Fields which had contained twenty acres for ten or fifteen
years were found to be nineteen or twenty - one or even twenty - two acre
fields . Roads which were supposed to run due north and south or east
and west were found to be slightly off course . Where a farmer had paid
for one hundred and sixty acres , he found he had only one hundred and
fif ty - seven acres , while the one hundred and sixty acre farm across the
road contained one hundred and sixty - three acres . Penalties for over
planting and , in some cases , a desire to prove the aerial photograph
wrong , prompted the hiring of surveyors to check the acreages determined
from aerial photographs . The fact that photographic coverage was later
obta ined for practically all of the agricultural land in the country
testifies to the feasibility and accuracy of measuring acreages from
aerial photographs ,
Program Systematized in 1937
What had been , to a large degree , an experiment up to 1936 blossomed

into a full - grown program in 1937 . Changes were made in the specifica
tions in order to secure a more usable product . State offices of the
Agricultural Adjustment Administration hired engineers and prepared for
the inspection and acceptance of photographic materials , Regional ofrices
were established to secure more uniformity , prepare invitations to bidders ,
contractors and State AAA offices . Two laboratories were set up in Salt
Lake City, Utah , and Washington , D. Co
Aerial photographic coverage had been secured for practically all

of the agricultural land in the country prior to the start of World War
II . Some of the counties photographed during the early days of the pro
gram had been rephotographed . Counties had been furnished new sets of
ratioed enlargements to replace tho se worn by use . Many farmers had
been furnished photographs of their farms for more careful planning of
farm operations . Contractors were experienced and were delivering a
much improved product . A uniform set of specifications had been approved
for use by the Department of Agriculture , Personnel in the various AAA
offices and labo ratories were experienced , experience of the type which
gave invaluable assistance to the military during World War II .
At the start of the war there were several contracts to be com
pleted . No new contracts were let during the war . The nature of the farm
programs did not require accurate acreage measurements and the military
needed huge quantities of photographic materials . The aerial negatives
secured by the AAA were used by the military in the training of its men
and in selecting camp and plant sites . The two AAA laboratories were
busi ly engaged in preparing mosaics and other types of photographic re

November 1949 5
productions for military use . Aerial and photo - index negatives covering
military installations had to be classified and proper measures taken in
the county and State AAA offices to safeguard reproductions from such
negatives .
The end of the war brought peacetime agricultural adjustments . The

need for adjusting acreages of certain commodities again became necessary
and the interest in aerial photography as the means for securing acreage
me a surements was revived. Many changes had been made in farm land as a
result of the war . Considerable new land was brought into production.
Existing photographs were from four to ten years old . The program of re
photographing was under way .
Rephotographing Handled on Priority Basis

Today the need for accurate acreage measurements covers such crops
as tobacco , peanuts , potatoes , cotton , and wheat . Corn , rice , and other
crops may be in the picture soon . The demand for new photographs is
great and is handled on a priority basis , State Committees of the Produo
tion and Marketing Administration , having all of the functions formerly
assigned to the AAA , determine the order in which counties are to be re
photographed. The lists of the counties are worked into an invitation
to bid . After approval , this invitation including many detailed tech
nical specifications covering every phase of the operation is submitted
to contractors . The bids are opened on a set date and the awards made .
The contractor is required to deliver the aerial negatives , photo

index negatives , one set of doubleweight, water - resisting , contact prints ,
one set of singleweight contact prints , three sets of photo - index sheets ,
and a line index for each county subprojecto
All photographie materials are delivered to the PMA Eastern and
Western Laboratories, depending on the location of the county subprojeot
area . After inspection , the contractor is notified of acceptance or of
any reflights or changes to be made in the materials delivered. Payment
is made on a county subproject basis ,
Ratio ed enlargements at a scale of 660 feet to the inch are made in
the PMA laboratories . The contact print scale is approximately 1700 feet
to the inch . After the ratioed enlargements are prepared , they are care
fully checked for scale and forwarded to the State PMA Office .
Photos Check Land Use in PMA Programs
The ratioed enlargements from the laboratories go to the State Com

mittees and from them to the individual counties , The county and commu
nity committeemen then use these photographs to check land uses and crop
acreage in accordance with the requirements of various programs admin
is tered by PMA . On the ratioed enlargements at a scale of 1 inch equals
660 feet, the areas of the individual farms and the permanent boundaries
of fields in each farm are delineated in the county office , These photo
graphs are then used as intima te maps of the county and community as well
as intimate maps of the individual farm , The areas of individual fields
are secured in the county office by the use of planimeters and some times
in the case of rectangular fields by scaling . The scale of 1 inch equals
660 feet ( 8 inches to 1 mile ) was determined as a convenient scale to use
as it converts readily into rods , the measurement most commonly used in
determining land areas . At this scale 1 square inch equals 10 acres .
In the county office the area which should be used to planimeter
fields is determined for each photograph and indicated by lines dividing
the overlapping areas of adjoining photographs. The photograph which is
needed for any individual farm is determined by consulting the photo in
dex . These photo indexes are made up on a county basis to a scale of
approximately either 1 inch to the mile or 2 inches to the mile . In
areas which are sectionalized , the township and section lines are often
placed on the photo index to aid in determining the photograph needed to
cover any particular area . Section lines are also often indicated on the
individual photographs as an aid to locating any parcels of land accord
ing to its legal desoription , The records for each farm in the county
office also refer to the number of the individual photograph or photo
graphs on which such a farm appears so that if it is necessary to con
sult the photograph it can readily be removed from the files .
With these photographs in the hands of a county committeeman , he has
a detailed pioture of his entire county as well as each individual farm ,
And each farmer has available to him at a small cost an overall photo
graph of his own farm with fields and boundaries clearly marked which
can be used by him in improving his own land . And the Nation has its
photograph to better show its needs and vast resources ,
BURLEY CONSUMPTION LEVELING OFF
Domestio use of Burley tobacco plus exports has been relatively

stable at abart 525 million pounds a year during the past three years ,
according to Dr. Dana G. Card , economist at the Agricultural Experiment
Station of the University of Kentuoky . This is despite the fact that its
use has increased about two - thirds sin ce before World War II . The Ken
tucky economist reports that production has outrun the use of Burley , and
in five of the last six years more Burléy has been grown than was usedo
Sto oks now are the highest on record , with stooks of tobacco on hand
plus the present orop estimated at 2.9 times the amual use of Burley .
When the total supply gets above three times the yearly use , 11 then
markets seem to get into dif ficulty , " Dr. Car
difficulty Cardd points out. Normally ,
the supply of tobacco is two and a half to three times the annual con
sumption .
"If we could be sure that oigarette smoking and disappearance of

Burley tobacco would stay up to where it is now , stocks might not be
excessive , even though produotion has been running ahead of disappear
ance , 1 Dr. Card asserted He stated that a good deal depends on business
activity , for which he called the outlook " relatively good" for 1950 .
November 1949 7
Egg Quality Is Elusive
By Hermon I. Miller
One out of every three eggs has dropped below Grade A quality by
the time farmers in 13 Midwestern States sell their
eggs to country
stores and other first receivers .
More than two out of five of these eggs have lost their Grade A
status before they reach the carlot assembler about 2 days later -- in a
journey to market that of ten takes 2 or 3 weeks in all .
These two facts stand out in a recent report of a study made by the
U. S. Department of Agriculture and the agricultural experiment stations
of the 13 Midwestem States that produce about half the country's ec8
supply . The study was made with Research and Marketing Act funds .
Egg producers and handlers have known all along that egg quality
hits the skids as they move to market . But until this study was made ,
there had been no broad- scale attempt to find out just how much the de
terioration amounted to at any one point along the line.
First Two Marketing Legs Studied
In this study, the purpose in particular was to discover the quality

of eggs when they reached the first receiver ( the country buyer ) and
when they reached the second receiver ( the carlot assembler) , and to ex
amine certain marketing factors that helped to cause the declins during
the trip from the nest as far as the second receiver . In other studies
already begun , other stations along the route from producer to consumer
will be investigated .
The present study was based on data from more than 1,000 buying and
assembling plants. From each of 7,200 cases of eggs , 100-ege lots were
graded when they reached the country stores and other country buying
stations Two - thirds of them got an A rating (meaning they were " A "
quality or better ) . For the three seasons studied , 65.4 percent rated
A in spring , 64.2 percent in summer , 71,6 percent in the fall . " Stains "
and " dirties" found among those eggs in the spring amounted to 10,9 per
cent , in summer to llol percent , and in the fall to 10.3 percent --average
for all three seasons , 10.8 percent .
Variation was wide in the quality of ecgs sold by farmers in the

same area on the same day . Of two 100-egg samples that reached a country
buying station on the same day, for example , one sample showed 90 per
cent A's and the other none .
8 larketing Activities
Ege quality was compared according to whether the eggs had been
sold on a graded or ungraded basis , Eggs selling on a graded basis aver
aged about 70 percent A's ; those selling ungraded , about 60 percento In
spring , 55 percent were sold on a graded basis ; summer , 59 percent ; fall ,
73 percent .
For the same three seasons , stained and dirty eggs that were sold
umgraded averaged 17 percent ; those sold graded averaged 7 percent . Bet
ter quality and fewer stained and dirty eggs were found among lots bought
by grade . Apparently farmers who sell on a graded basis take better care
of their eggs and olean them before marketing . As a result there is a
higher percentage of clean eggs in marketing channels ,
Another indication from the study is that the greater the number of
eggs per producer delivery , the larger will be the percentage of A - quality
eggs . If this is so , the reason may be that large producers take better
care of their eggs than small producers .
The following table shows how much egg quality declined between the
country buyer and the carlot assembler , according to the study :
Change in number of A - quality eggs and checks between
country buyer and central assembler in the Midwestern area , 1948 :
Season A - quality A - quality Docrease in Checks Checks at Increase
eggs at eggs at number of at at in checks
country central A - quality country assem
buyer's assembler's eggs buyer's bler's
-Peroent
Spring 72,2 62.3 9.9 4.3 5,0 0.7
Summer 68,7 58.9 9.8 4.7 5,7 1.0
Fall 80.0 74,8 5.2 3.6 4,2 0.6 .
In spring and summer , the table indicates , about 15 percent of the

A's dropped to lower levels of quality . In the fall the decline, though
not so great , was considerable . On the basis of these figures , it is
clear that in any attempt to reduce the deterioration of egg quality
during marketing channels , a great deal of attention must be paid to the
care eggs receive at country buying stations ,
A second way of measuring quality deoline -- a point system --was de
vised for use in the study . One point represented a quality decline of
1 egg by l grade in each 100 eggs tested, A 10 point decline , for ex
ample , might indicate a decline of 10 eggs by l grade each , or of 5 eggs
by 2 grades each , and so on . Using this system, it was found that on
the trip from the country buyer and the oarlot assembler -- lasting about
2 days on the average -- 13,1 eggs out of every 100 dropped l grade in
November 1949 9
quality. In terms of prices current when these
eggs reached country
buying stations, the quality drop me ant a loss of about 28 cents a case-
in about 2 days ' time .
Egg lots were sorted according to how many days elapsed between the
grading at the country buying station and the grading at the carlot as
sembling plant . In each of the three seasons studied, point values went
down as the number of days between gradings increased . Time between
gradings appeared to be the most important factor analyzed.
In general , the higher the temperature of the eces when they left
the country buyer , the greater was the rate of decline in interior qual
ity.
Full Report Available
The experiment stations of the following States cooperated in the

study : Illinois , Indiana , Iowa , Kansas , Kentucky , Michigan , Minnesota ,
Missouri , Nebraska , North Dakota , Ohio , South Dakota , and Wisconsin .
USDA agencies cooperating in the study were the Poultry Branch of the
Production and Marketing Administration , the Farm Credit Administration ,
and the Bureau of Agricultural Economics . The report of this study
titled "Changes in Ege Quality During Marketing , " was published at the
Michigan State College Agricultural Experiment Station . A brief , popu
lar summary of the study , entitled " Deterioration of Ege Quality During
Marketing ," is being printed now by the Production and Marketing Admin
is tration . It will be available at the Information Branch , Production
and Marketing Administration , U. S , Department of Agriculture , Washing
ton 25 , D. Co
USDA TO ENCOURAGE EXPORT PROGRAMS

OF ORANGES , APPLES AND WINTER PEARS
A program to enoourage exports of oranges from the United States to

European countries eligible to receive aid under the Foreign Assistance
Act of 1948 has been announced by USDA'S Production and Marketing Admin
istration . The program will provide for payments up to one -half of the
f.a.s. U. S. port price ( computed before deduction of such payment ). А
near - record production of oranges is in prospect this season , and the
program will assist in marketing the crop . Announcements containing
full details of this program are being mailed to all known shippers and
processors of citrus fruit .
USDA has also amplified its export payment program for apples and
winter pears , originally announced October 13 , 1949 , to include most of
the dependencies of countries participating in the European Recovery
Program. Such areas had previously been ineligible . A complete list of
all countries, territories , and areas approved under this program is e
vailable to exporters and may be obtained from the Production and Market
ing Administration , Department of Agriculture , Washington 25 , D. C. or
from its field offices in Portland , Oregon , and Sacramento , Califo mia.
Safflower - Newest Old Crop
By Archie R. Sabin
In 1949 safflower was grown for the first time on a commercial scale
in the United States when nearly 40,000 acres were harvested . This im
migrant from the dry land areas of India , Turkestan , and Africa shows
distinct promise of becoming a solid American citizen .
Safflower , a this
tle-like plant, was
cultivated for several
thousand years as source
of a dye obtained from
the flower . Seeds of
the plant have been
found in the tombs of
the Pharaohs . Today's
interest in safflower ,
however , is in the oil
and meal derived from
the seed. Although the
oil is used extensively
in India for edible
purposes , and for soap ,
the principal use of
this year's production
in the United States
an
will be as a drying oil
Safflower seeds are slightly larger than wheat kernels . Each
in protective coatings . head may bear from 20 to 100 seeds .
Safflower seed oil is
considered equal to linseed oil for many purposes and superior in some .
Of special significance is the fact that paint made with safflower oil
is resistant to yellowing , a common characteristic of paints made with
linseed oil .
Safflower Resists Drought

The sudden commercial interest in safflower comes from several
sources . Over two decades of experimental production show it to be well
adapted to the semi -arid areas of the West where wheat and flax have long
been important crops . Faced with reduced wheat acreage and substantially
lower flax prices , many farmers are looking to safflower to help fill the
gap . Mor eover , newly developed varieties having higher oil content are
now available for planting. Under average conditions safflower should
compare favorably with wheat as a cash crop . In addition , the plant is
exceptionally drought resistant and often yields enough to justify har
vesting under con ditions that make wheat a total failure .
November 1949 il
In 1949 several thousand acres of safflower were planted on land
where winter wheat seeded in the fall of 1948 had winterkilled . This
possibility of making a crop on acreage otherwise lost is also a point of
interest to farmers , since , for example , the 10 - year , 1936-45 , average
abandonment of wheat acreage was 17 percent in Nebraska and 23 percent
in Colorado . On dry land safflower yields about 750 lbs . pet aore on
the average while irrigated fields can be expected to produce 2,000 lbs .
or more per acre .
Progressive farmers in the Western Great Plains have long felt the
need for a new crop to include in their rotation plans , The cost of
producing safflower approxima tes that for wheat
since planting and harvesting machinery can be
used interchangeably . Because planting seasons
differ for these crops , and safflower ripens
later in the fall , fuller utilization of the
farmer's machines and more even distribution
of his time are permitted .
Meal Valuable Stock Feed
Another important consideration strength

en ing the position of safflower is that the
meal provides a protein supplement for live
stock in areas which heretofore have had to
ship in meal at considerable expense from hun
dreds of miles away . Experiments indicate that
safflower meal is comparable in feeding value Despite coarse stems, safflower
readily with
to soybean meal when fed on an equal basis . When combines.
oil is extracted without removing the hulls , protein content of the oil
seed cake from newer varieties now being recommended is about 25 percent .
While the ability of safflower to compete economically with other

crops in the future cannot well be forecast , it is possible to compare
returns from the 1949 crop . Colorado farmers are receiving 4 cents per
pound for crushing stock seed, At this rate farmers ' average gross ro
turn is $30 per acre on dry land and $ 80 per acre under irrigation , Com
parison with other crops requiring similar cultural practices is shown
in the following table :
Gross returns per acre for selected orops , Colorado , 1949
8
: Prioe 13
. Yield per acre :received :Gross return per acro
Crop : Dry Land : Irrigation : by : Dry Land : Irrigation
8 . & farmers :
Dollars Dollars Dollars
Safflower , lb. 750 2,000 .04 30,00 80.00
Spring wheat , bu , 20 32 1.82 35.40 58,24
Barley , bu 25 40 .86 21.50 34 , 40
Beans , lb. 400 1,500 .06 24.00 90.00
17 Prices are as at mid- September 1949
Send prices in future years will be influenced largely by the price
of oil . Safflower oil is currently being sold at prices below linseed ,
but substantially above soybean oils . As the present price is largely
introductory it is difficult to predict the price pattern in which future
production will fall . In Australia safflower oil normally sells at a
premium over linseed oil . Whatever the eventual relationship to linseed
oil prices , however , it appears that safflower oil in the new few years ,
at least , will find a ready market at prices higher than for soybean oil .
Estimated output of oil from the 1949 safflower crop will be over
8,000,000 pounds , equal to about 1 percent of the linseed oil production .
The only commeroial acreage in 1949 was grown in Colorado, the Nebraska
Pan handle , and some small acreage in Wyoming . One plant processing saf
flower exolusively is operating in Colorado while experimental lots are
being processed in California and elsewhere ,
Expanded Production Indicated
Present indications point to a safflower acreage in 1950 of more

than double the 1949 crop . Expansion of existing facilities and the
erection of one or more additional processing plants is planned . In
California , where safflower acreage was negligible in 1949, commercial
scale produo tion will be attained in 1950. Several oil companies , soek
ing to supplement their present oilseed sources , are arranging to con
tract for thousands of acres of safflower . Interest among individual
California farmers also is strong and a number have visited the Colorado
Nebraska area to observe the crop and to buy certified or proved seed ,
Development of those strains which produce seeds of highest oil content
will help strengthen the comparative position of safflower in American
agriculture .
PRIVATE TRADE CHANNELS TO HANDLE

MORE EXPORTS OF WHEAT , FLAX , AND SOYBEANS
With few exceptions, all countries are permitted as of November 1
to procure supplies of wheat , flax and soybeans in the United States
from private suppliers , Secretary of Agriculture Charles F. Brannan has
announced This action has opened the way for exports of these commodi
ties through the normal channels of trade on the same basis which is now
in effect with respect to the export of flour and whole grains other
than wheat . Countries and areas excepted are the oooupied zones in Ger
many and Japan , and Korea , Austria , Trieste , Greece and China ,. Govern
ment operations on shipments to these special areas are still essential .
For all other countries , arrangements can be made to secure supplies

of wheat, flax and soybeans ( as well as coarse grains and flour ) directly
from private United States exporters, if the importing countries indi
cate that it is their preference to handle imports through private trade
channels . This action is in line with the Department's policy of return
ing exports to private channels of trade as rapidly as it is practicable
to do so .
No vember 1949 13
New Beef Grade Proposed
By J. C. Pierce
Both consumers and producers should benefit directly if the recent

USDA proposal for a new beef grade is adopted.
The proposal is to divide the present Commercial grade into two
grades on the basis of maturity . One of the divisions would retain the
name Commercial while the other would be identified by a new name--tenta
tively designated as Regular .
Beef identified by the new grade name Regular would meet the needs
of those who prefer relatively tender beef carrying less fat than the
Good grade . Similarly , the new Commer
cial grade would appeal to those who
place more emphasis on meat with a liber
al amount of fat and a more pronounced
beef flavor , than on natural tenderness .
Present Commercial Grade
Too Wide in Scope
Most of the beef sold in retail

stores qualifies for one of the three
present grades --Choice , Good , or Commer
cial . The Choice and Good grades , be
cause of their uniform , dependable qual Leef having these characteristics would
continue as Commercial under the proposed
ity , have become firmly established and division .
are in daily demand by a vast segment of meat shoppers . However , beef

which is currently eligible for the existing Commercial grade is so
variable in its characteristics that this grade stamp has proved to be
of rather limited use as a consumer
buying .. Therefore , most of
guide for buying
the beef which is eligible for this grade
is at the present time either sold un
graded or identified by private brands .
Commercial Grade Variability

Related to Age of Cattle
Variability of the Commercial grade

results from the wide range in age of
cattle permitted within the grade . With
no limitation in age as in both Choice
Beef from young animals carrying con and Good grades , Commercial now includes
siderably less finish such as this would
be the proposed Regular . carcasses from steers , heifers , and cows
varying from the young est to the oldest animals sold as fresh beef , Bo
cause of this great variation in degree of maturity , beef of this grade
veries widely in fatness , texture , and natural tenderness .
Some of this beef comes from relatively immature cattle similar in

age to those in the Good grade . Beef from these animals would consti
tute the proposed Regular grade . Its characteristics are red , porous
bones , fine texture , only a very slight amount of fat in termingled within
the lean, and a thin outside covering of fat . In contrast , the beef
from the fully matured animals in the Commercial grade shows a hard ,
white , fl inty bone , rather coarse textured meat with a liberal inter
mingling of fat within the lean , and an outside covering of fat varying
from moderate to very thick . Under the proposal, this beef will retain
its Commercial grade .
Proposed Grade Division Affects Only Commercial Grade
Since the proposal for establishing a new grade designation involves
only beef presently included in the Commercial grade , it does not place
another grade between the Good and Commercial , but rather is a vertical
division of the Commercial gradě on the basis of maturity . Immature
carcasses having the conformation , quality , and finish presently required
grade would be graded Regular . Those which have
for the Commercial grado
reached maturity as indi cated by hardness of bone and soarse texture
would continue to be graded Commercial. Those carcasses in all stages
of maturity which do not meet the present requirements for commercial
grade would be graded no higher than Utility .
Grade Change will be Beneficial to Produoer
The proposed grade change will prove highly beneficial to the pro
ducer . Young cattle that do not qualify for the Good grade would sell
on their own merit and not be penalized by carrying the same carcas 8
grade as mature OOWS . At the present time young 8 laughter battle that
fail to grade Good sell at a sharp disoomt. Those meat processors and
retailers who do not have well - established private brands and rely on
Federal grades are now limiting largely their purchase of young cattle
to those that will grade Good and Choice . However , if the proposed
grade revisions are adopted, this segment of the meat trade may well be
come active oompetitors for the Regular grade carcasses thereby opening
& new outlet to produo ers .
TYPE " O" FOOT - AND - MOUTH VIRUS

IDENTIFIED IN MEXICAN CUT BREAK
The recent outbreak of active infeotion of foot - and -mouth disease

in Chicoloapan , State of Mexico , reported on October 24, was caused by a
virus type which had not been present before in the current Mexican
plague, USDA has announced . The infection since 1946 had been entirely
from the foot - and -mouth disease virus Type "A" . The new outbreak was
caused by Type " O " virus according to identification tests made in Mexi
Co and confirmed at the Foot - and - Mouth Disease Research Institute in
Pirbright, England ,
November 1949 15
The Latest on
Frozen Food Marketing
10
FROZEN FOODS
co
By James A. Mixon
" If frozen foods are to compete with other products in tapping the
mass market, production must be large enough and the cost low enough
that the frozen product can be sold to the consumer at a price which she
is willing to pay , and at the same time , allow for reasonable returns to
the producer and to those engaged in the essential marketing services . 11'
This key sentence , taken from the conclusions of a new report, " MAR
KETING FROZEN FOODS --FACILITIES AND METHODS , " symbolizes its forthright
appraisal of this new giant in the marketing field -- the frozen food in
dustry . The comprehensive 175 page report has been prepared by the Mar
keting Facilities Branch of the Produo tion and Marketing Administration
after three years' study, and covers every conceivable adventure of fro
zen food in its complicated journey from freezing plants to display cab
inets in your neighborhood stores .
Problems Analyzed
In detail the publication describes the packing , transporting , stor

ing , distributing , and merchandising of a wide range of food items .
Equally important are the constructive analyses of the many specific for
zen food distribution and facility problems, and the recommendations and
suggestions for further research to solve them ,
In addition to outlining the well - known advantages of frozen foods ,

the report logically surveys the industry's promise of bringing many
efficiencies to the marketing of perishable farm products . In processing
for freezing a greater proportion of the inedible parts of produ ots are
left at the point of production and thus substantial savings in handling
and transportation are effected. Longer storage life can be achieved with
freezing , and when properly performed , quality is captured at its peako
Important economically is the fact that freezing plants provide a market
outlet to areas ideally suited to producing
suited to producing certain perishable crops
which otherwise could not compete successfully at distant city markets ,
16 marketing Activities
One of the basic problems of the industry , according to the report,
is the shortage of freezer storage in retail stores and homes . Another
is the need for a low cost method of transportation capable of holding
frozen foods at zero degrees on long hauls as well as delivery transpor
tation that will maintain proper temperatures on the short hauls to re
tailers .
Shortage in Storage Space Key Problem
The shortage of freezer storage is pointed up in the problems of the

wholesaler , upon whom the burden is considerably greater in this in
dustry than in other food distribution systems . Wholesalers of nonfrozen
foods deliver to retailers and institutions almost entirely in case lots ,
With frozen food, however , this job is considerably more complicated.
The wholesaler delivers many of his orders in less than case lots because
retailers generally have no freezer storage space other than the retail
frozen food cabinets . Usually these retail cabinets are shared by sev
eral frozen food wholesalers . So , deliveries must be made more fre
quently than deliveries by conventional grooery suppliers .
In addition somewholesalers are eager to arrange the frozen foods
in the display cabinets , apply retail price marks on the packages , and
perform other services usually associated with retailing . These practices
tend to increase the marketing charges of frozen foods . However , as the
retail volume of frozen foods becomes larger , wholesale distribution
practices can be streamlined and made more efficient and , accordingly ,
the costs of marketing frozen foods should become lower .
Industry Expansion Related

to Number of Home Freezers
In summarizing the consumer end of frozen food marketing , the keys

to expansion , points out the report , will be found in more freezer stor
age space in homes , extensive consumer education , and of course lower
prices . Alth ough more than a million home freezers are in use , this
represents less than 4 percent of the Nation's families , so the public
generally lacks familiarity with home storage of frozen foods , While
most home refrigerators can hold several frozen items , the economies of
quantity buying will be difficult to achieve until more homes are equipped
with freezers . Thus , it appears that expansion of the frozen food in
dus try will depend largely upon the increase in the use of home freezer
facilities .
Locker plants are a partial answer to the food buyer's need for
freezer storage space . These plants are in a good position to serve
rural and city owners of home freezers by supplying meat and commercially
frozen foods at near wholesale prices ,
In compiling the report over 350 wholesale distributors were sur
veyed in 50 cities of key importance as terminal food markets . About
300 retail stores in all parts of the country were visited to study their
use of the various types of frozen food display and storage cabinets .
Finally , direct contact was made with many representative firms of the
more than 1500 now engaged in the expanding industry .
November 1949 17
1948-49 Food Exports Set Record
Record food exports of more than 22.1 million tons , almost 15 per
cent higher than last year's record of 19,3 million tons, were set in the
1948-49 fiscal year . At the same time civilian per capita consumption
continued 10 percent above the 1935-39 average , though somewhat below
the level of the three preceding years . These highlight figures are
taken from the summary of distribution of United States food supplies in
the year 1948–49, prepared by the Bureau of Agricultural Economics , the
Production and Marketing Administration and the Office of Foreign Agri
cultural Relations .
A number of factors apparently combined to bring about the decline

in per capita consumption . Domestic demand for food was less strong as
a result of slight decreases in total economic activity , employment , and
flow of income to consumers . A slightly larger proportion of consumer
income was spent on major consumer durable goods -- particularly automo
biles -- and oon su mer servioos , inoluding rent , rather than on such items
as food ,
On a physical quantity basis , United States civilians took 82.3 per

cent of the total amount of United States food distributed . Exports ( in
cluding military shipments of food to occupied areas ) accounted for 16.2
percent , and U. S. military services took 1.1 percent for troops stationed
at home and abroad , and the noncontiguous territories of the United States
received 0,4 percent .
Wheat Largest Food Export

Grains , excluding rice , accounted for about 80 percent of the total
export tonnage . Wheat and wheat produots , amounting to 61 percent of
total export tonnage , again represented the largest food iten shipped
abroad. The summary of the food exports from the United States ky major
groups for the prowar period 1935-39 and the four postwar years follows :
:Wheat and : Other : :
8 wheat : grains 8 Fats Meats : Dairy : : Total
Period :products : ( grain :
and : ( carcass :products : Other : food
: ( grain : equiv , ex- : oils
: equiv . ) : ( product : foods : exports
: equiv . ) :cluding : : weight ) :
: : rice ) . : :
1,000 1,000 1,000 1,000 1,000 1,000 1,000

long long long long long long long
tons tons tons tons tons tons tons
Average :
1935-39 : 1,366 1,335 87 55 17 1,363 4,223
1945-46 : 10,520 1,308 315 614 792 3,850 17,399
1946-47 : 10,670 4,165 227 181 494 3,436 19,173
1947-48 : 13,013 2,231 251 68 459 3,319 19,341
1948-49 : 13,430 4,265 397 33 382 3,600 22,107
Highlights - Agricultural Act of 1949
The Agricultural Act of 1949 makes price support mandatory for the
" basio " commodities -- corn , cotton , wheat , rice , tobacco , and peanuts ,
and for certain designated non basic commodities --Wool , mohair , tung
nuts , honey , Irish potatoes , milk , butterfat , and the products of milk
and butterfat . Price support is permissive for other nonbasio commodi
ties at the discretion of the Secretary of Agriculture .
The new Act becomes effective for price support operations on crops
for which the marketing year or season begins on or after January 1 , 1950 .
The Secretary of Agriculture may elect to make provisions of the Act
effective earlier if levels of support on programs begun or announced
are not reduo ed .
Basio Commodities
Price support is mandatory for corn , cotton , wheat , rice and pea
nuts to cooperators (producers who do not knowingly exceed their acreage
allotmen ts ) if they do not disapprove marketing quotas , and if acreage
allotments or marketing quotas are in effect :
( a ) in 1950 , at 90 percent of perity

(b ) in 1951 , at not more than 90 percent of parity nor less than
80 percent of parity or a lovel between 80 and 90 percent of parity as
called for by " sliding scales " based on the relationship of total supply
to normal su pply
( c ) and , in 1952 and after at not more than 90 percent as called

for by the " sliding scales , "
If pro duo ers disapprove marketing quotas price support would be
made available to producers who comply with aoreage allotments at 50 per
cent of parity in 1950 and after .
" Sliding Scales " Invoked
In 1950 and 1951 , if producers have not dis approved marketing quotas
and if no acreage allotments or marketing quotas are in effect , price
support is mandatory at not more than 90 percent of parity nor less than
the level of support between 75 and 90 percent of parity , nor less than
the level of support between 75 and 90 percent of parity called for by
the " sliding scales . "
November 1949 19
Price su pport for cooperators outside the commercial corn producing
area is 75 percent of the level of price support to cooperators in the
commercial corn producing area.
Price support for tobacco in 1950 and after is mandatory at 90 per

cent of parity to cooperators if marketing quotas are in effect , except
that fire - cured tobaccos will be supported at 75 percent of the burley
rate ; and dark air -cured tobaccos , including Virginia sun - cured tobacco
will be supported at 66 2/3 percent of the burley ratė. No support will
be available if producers di sapprove marketing quotas ,
Pri ce support for noncooperators is discretionary with the Secre

tary of Agriculture at a level not in excess of the level for cooperators .
For the years 1950-53 inclusive , support prices for basic commodities
will be based on parity prices calculated by the " old " or "new " parity
formulas , whichever results in the higher price . Beginning in 1954 , only
the new formula will be used.
Designated Non basic Commodities
Price support for wool, in cluding mohair , is at the level between

60 and 90 percent of parity based on the " new formula" as the Secretary
determines is necessary to encourage an annual production of approxi
mately 360 million pounds of shorn wool ,
Support for tung nuts , honey , and Irish potatoes is between 60 and
90 percent of parity as calculated on the "new" formula .
Whole milk , butterfat , and the products of such commodities are to
be su pported at such levels between 75 and 90 percent of parity as will
assure an adequate su pply . Price support is to be provided through loans
on , or purchase of , the products of milk and butterf a to
Other Nonbasic Agricultural Commodities

Price su pport for non basic agricultural commodities , other than
the designated anes , is permissive at any level not in excess of 90 per
cent of parity . In determining whether support will be provided for any
nonbasic commodity , the following factors are to be taken into account :
( 1 ) Supply of commodity in relation to demand; ( 2 ) price levels at which
other commodities are being supported ; ( 3 ) availability of funds ; (4 )
perishability of commodity ; ( 5) importance of commodity to agriculture
and the national economy ; ( 6 ) ability to dispose of stocks acquired ; ( 7 )
need for offsetting temporary loss of export markets ; and ( 8 ) ablity and
willingness of producers to keep supplies in line with demand .
Price support is to be made available , so far as feasible , on any
storable nonbasio commodity for which a marketing quota or marketing
agreement ar order is in effect . Support level cannot be in excess of
90 percent of parity and not less than the level between 75 and 90 per
cent called for by the "sliding soales " unless the Secretary determines
a lower level to be desirable
Other Price Provisions
Under the Agriculture Act of 1949 the Secretary of Agriculture is

given the right to condition eligibility of producers for price support
upon compliance with acreage allotments , production goals , and marketing
practices , including marketing quotas when authorized by law . A statement
in the House Conference Report makes it clear that this provision in
cludes authority to require the use of marketing agreements and orders
on potatoes and other non basic commodities in areas specified by the
Secretary as a condition of eligibility for price support .
In the interest of national security or of national welfare the
Secretary of Agriculture may authorize after a public hearing that price
supports may be made at a level in excess of 90 percent of parity to pre
vent or alleviate a shortage of a commodity or to increase or maintain
the production of a commodity .
Sales and Other Dispositions
The Secretary of Agriculture and the Commodity Credit Corporation

may make available to the Munitions Board or any other Federal agency any
food commodities which are in danger of deterioration or spoilage before
they can be disposed of in normal domestic channels without impairing the
price support program , for use in making payments for commodities not
produced in the United States . Any commodities not disposed of as out
lined above may be made available free of cost at the point of storage
in accordance with the following priorities
priorities : ( 1 ) to school lunch pro
grams and to the Bureau of Indian Affairs and Federal , State , and looal
public welfare organizations for the relief of Indians and other needy
persons ; ( 2 ) to private welfare organizations for the assistance of
needy persons within the United States ; and , ( 3 ) to privato welfare
organizations for the assistance of needy persons outside the United
Statos
Restrictions on Sales
Of CCC - Owned Commodities
The Agriculture Act of 1949 prohibits the Commodity Credit Corpora

tion from selling any basic agricultural commodity or storable nonbasio
commodity at less than 5 percent above the current support price of such
commodity , plus reasonable carrying charges , subject to certa in excep
tions, as follows : (a ) sales for new or byproduct uses ; ( b ) sales of
commodities which have substantially deteriorated in quality or when
there is danger of loss or waste through deterioration or spoilage ; ( c )
sales of peanuts and oilseeds for extraction of oil ; ( a ) sales for feed
or seed if such sales will not substantially impair any price - support
program ; sales to establish claims arising
arising out of contract or against
persons who have committed fraud , misrepresentation , or other wrongful
acts with respect to the commodity ; ( f ) sales for export ; ( g ) sales of
wool; and, (h ) sales for other than primary use .
November 1949 21
" Modernized " Parity
A " new " or "modernized" parity formula is provided which takes in

to consideration prices received by farmers during the most recent 10
calendar years or the most recent 10 marketing seasons , including war
time subsidy payments received by producers on milk , butterfat , beef
cattle , sheep , and lambs under programs to maintain price ceilings es
tablished by the Office of Price Administration . With respect to prices
paid , the formula makes allowances for wages farmers pay hired la bor .
Parity prices as calculated with the new formula may not drop more
than 5 percent per year below what they would be as computed with the
old formula -- prices thus scaled down being called " transitional parity
prices . "
Until 1954 support prices for basic commodities will be based on

whichever of the two parity calculations results in the higher parity
price . For nonbasic commodities, support prices will be based , beginning
in 1950 , on parity prices resulting from the new parity formula .
ELECTRONIC SCALE REPORT AVAILABLE
The article Electronic Scale Developed , " carried in the August

issue of Marketing Activities aroused an unusually broad response . Read
ers interested in more complete information may now obtain the full re
port " Improved Weighing Equipment for Livestook Marketing " by writing
PMA'S Information Branch , USDA , Washington 25 , D. C.
FROZEN APPLE JUICE

RETAINS FRESH FRUIT QUALITIES
A method for making a superior type of apple juice that retains

most of the color , aroma , and delicate flavor of the fresh juice has been
developed at the Experiment Station at Geneva , New York . There , it has
also been demonstrated that the new type juice can be preserved in ex
cellent shape by freezing .
The new idea involved in the Station's apple juice is the addition
of ascorbic acid powder , or vitamin C as it is known popularly , to the
milled apples just before they are pressed. The powder may be dissolved
in a little apple juice and sprayed on the apples , using one fourth ounce
of the powder to a pint of juice for each bushel of apples .
The ascorbic acid delays changes in the apples that produce a brown
ing of the fruit until the oxygen which causes the browning can be re
moved by deaeration and the enzymes can be made inactive by pasteuriza
tion , explains Dr. Carl S. Pederson , Station bacteriologist who developed
the procedure.
MARKETING BRIEFS
Dairy.--The method of pricing milk delivered by dairy farmers in the

Cleveland , Ohio , milk ma rke ting area has been changed so as to ( 1 ) revise
the pricing formulas used in determining the minimum prices to be paid
dairy farmers for milk used in certain dairy products , and ( 2 ) change
the classification of milk used in certain dairy products , USDA has
announced. The changes were adopted in an amendment to the Federal order
regulating the handling of milk in the area after more than two - thirds
of the dairy farmers in the area voted in favor of such action.
October 28 , USDA recommended that the minimum price assured to dairy
farmers supplying the New York milk marketing area for Class I -A milk be
maintained at the present level of $5,24 per hundredweight during Novem
ber and December . Class I -A milk , under the terms of the Federal order
regulating the handling of milk in the area , consists chiefly of fluid
milk sold in the area . The recommendation was based on evidence received
at a public hearing in Albany , N.Y. , October 19 at which dairy-farmer
organizations proposed increases of 44 cents to $ 1.08 per hundredweight
in the minimum price --about 1 cent to 2 1/2 cents a quart . The organiza
tions contended that higher production costs resulting from summer drought
conditions in the area make an increase necessary. The Department con
cluded , however , that justifica tion for an increase in the Class I -A
price could not be found in view of ( 1 ) present and prospective supplies
of fluid milk in relation to demand in the marketing area, and (2 ) the
relatively wide margin between the present Class I-A price and the value
of milk for other than fluid use .
Fruits and vegetables . --USDA announced November l that it has re
jected , on the basis of price, offerings of dried prunes by packers and

processors in the States of Oregon and Washington under Announcement FV
157 of October 14, 1949, which was a part of the dried prime purchase
program announced by the Department October 3, 1949 , Packers and proc
essors submitted offerings of 1,530 tons in the following price ranges :
size 40/50 , $ 0.1140 to $ 0.1250 per pound ; size 50/60, $0,1090 to $ 0.0990
per pound , USDA said offers will again be considered in the near future
on the same basis as announced by the Department October 14 , when it was
stated that acceptances by the Department would be conditioned upon pay
ment by packers or processors to producers of a basis price of not less
than 7 1/2 cents per pound . .. O Approval of a proposal to increase
the limit on supplementary salable allotments for hops from the 80 per
cert ( of the estimated final or total salable allotment ) allowed pre
viously , to 90 percent was announced by USDA November 1 . This action
has been taken by the Department upon the recommendation of the Control
Board which a dministers the Federal marketing order and agreement regu
lating hops,
Livestocko -- An ideal " meat - type" hog and a selection of pork cuts
from such a hog were exhibited at the Grand National Livestock Exposi
ti on held at San Francisco from October 28 to November 6 by USDA . The
purpose of the exhibit was to demonstrate the relationship between live
November 1949 23
hog types and the proportion of preferred cuts in the finished meat
producto Both the live hog and the meat cuts were from the Landrace
Poland China crossbred foundation stock being bred at Beltsville , 1.d. ,
in the swine - improvement work of the Bureau of Animal In dus try . USDA
has described the ideal "meat-type" hog as one that at the final ma rket
weight of approxima tely 225 pounds should yield not less than 50 percent
of its weight as preferred cuts . By preferred cuts is meant hans , loin ,
bacon , butt , and picnic shoulder . Also such a hog, should have an aver
age thickness of back fat of not less than 1 1/2 inches , to provide a
reasonable assurance of satisfactory quality of the cuts , and no excess
fat .
Potatoes .--On October 5 , USDA ruled that growers of early crop po

tatoes in California will not be eligible for price support for their
1950 and subsequent crops . Department officials stated that this step
has been taken because of the rejection by California growers in a ref
erendum held June 20-30 , 1949 , of a proposed Federal marketing agreement
and order which would have regulated the handling of California early
crop potatoes . The California early potato producing area was the first
in which potato growers in any area have rejected a marketing order and
agreement program since the Agricultural Act of 1948 was passed , Of the
approximately 1,160 growers eligible to vote on the marketing order in
the California production area , only 283 , or 28 percent , participa ted in
the referendum . of these only 41 percent favored the proposed market
ing order.
Sugar . --USDA announced early in November that a public hearing will

be held November 30, 1949 , at South Building , USDA , in connection with
the determination of 1950 sugar consumption requirements for continental
United States and the establishment of marketing quotas , as authorized
by the Sugar Act of 1948. In addition to the public hearing , the Departa
ment will receive for consideration briefs from any interested party on
the matters to be di scussed at the hearing and also on : ( a ) the deter
mination of local consumption requirements for Hawaii and Puerto Rico
and the establishment of quotas for these areas for 1950 ; (b ) the deter
mination and reallotment of the amount of sugar by which any damestic
area , the Republic of the Philippines , or Cuba will be able to market
its quota in 1949 . Persons desiring to submit briefs relating to any or
all of these subjects shall submit them , in quadruplicate , addressed to
the Director , Sugar Branch , Production and Marketing Administration , and
received by him no later than December 12 , 1949 .
Tobacco .-- A 1950 national marketing quota for Burley tobacco of
496,000,000 pounds was proclaimed by Secretary of Agriculture Charles F.
Brannan on November 3 , 1949. The proclamation , made in conformity with
the Agricultural Adjustment Act of 1938 , as amended , results in a reduc
tion of about 15 percent in 1950 farm acreage allotments for farms having
allotments above nine - tenths acre in 1949 . Farms with allotments of
nine-tenths acre or less cannot be reduced under existing legislation .
As a result , the 1950 total Burley acreage allotted will be about 10 per
cent below the total acreage allotted in 1949 . The 1949 marketing quota
was 545,000,000 pounds , Since marketing quotas cannot be in effect un
less they are approved by at least two - thirds of the Burley growers
voting , a referendum will be held on November 26 to determine whether
growers approve them for the 1950 , 1951 , and 1952 crop years .
ABOUT MARKETING

cently , may be obtained To order , cheok on this page the
upon request .
publications desired, detach and
mail to the Produotion and Marketing
Administration , U. S. Department of Agriculture , Washington 25, D. C.
Addre8808 and Statements :
Testimony of Secretary of Agriculture Charles F. Braman before the

Committee on Foreign Affairs , September 28 , 1949, 12 pp . (Pro
cessed )
The City Dweller's Stake In a Sound Farm Program , a talk by Secre

tary of Agriculture Charles F. Brannan , at Chicago , September 30 , 1949 ,.
12 PP • ( Processed )
Brannan Sees Marketing Aid In Production Payments , a summary of re
marks by Secretary of Agriculture Charles F. Brannan at Atlantic City ,
New Jersey , September 28 , 1949 . 2 pp . ( Processed )
.
The Cooperative Way , a talk by Under Secretary of Agriculture Albert

J. Loveland , at Omaha , Nebraska , October 12 , 1949 . ll pp . ( Processed )
Keeping the Fourth Acre Productive , a talk by Under Secretary of
Agriculture Albert J. Loveland , Kansas City , Mo. , October 3 , 1949. 9 pp .
(Processed )
Pri oo Supports for Perishables , a talk by Assistant Secretary of
Agriculture Knox T. Hutah inson , at Chicago , October 10, 1949 . 12 pp .
( Processed )
A statement by Ralph S. Trige , Administrator of PMA and President of
CCC, before the House Banking and Currency Committee , Ootober 5 , 1949 ,
Feed Trends , a summary of remarks by Frank K. Woolley at Annual Con

vention of Virginia State Feed Assn . , at Richmond , Va . , October 18 , 1949 .
2 pp . (Processed )
The Outlook for Prepa oka ged Produce , an address by Donald R. Stokes ,
Marketing Researáh Analyst , Marketing Research Branch , PMA , at. New York ,
N.Y. , October 25 , 1949 , 3 pp. ( Processed )
Publications :
Improved Weighing Equipment For Livestock Marketing . (PMA ) June 1949,

17 PPO ( Proo essed )
The Potato Price Support Situation . (USDA ) August 1949 , 19 pp
(Processed )
Storage of Dry Sholled Com in Farm - Type Bins . ( Circular No. 826 )
(USDA ) August 1949. pp..
36 pp ( Printed)
November 1949 25
National School Lunch Program , ( PMA ) PA - 19 . Revised June 1949,

4 pp. (Printed )
Cotton , Review of Commodity Credit Corporati
Corporation
on Programs 1933-48,,
( PMA and Commodity Credit Corporation ) July 1949 . 23 pp . ( Processed )
The Fertilizer Situation for 1949-50 . ( PMA ) September 1949 . 7 pp .
( Processed )
United States Standards for Grades of Dates , Effective October 20 ,
1949. ( PMA ) 10 pp . ( Processed )
Market News Service on Fruits and Vegetables , Marketing Florida
Citrus Summary of 1948-49 Season . ( PMA in cooperation with Florida State
Marketing Bureau ) October 3 , 1949 , 50 pp • ( Processed )
Marketing South Carolina Peaches , Summary of 1949 Season . ( PMA in

cooperation with Clemson College Extension Service ) October 6 , 1949 .
Changes in Egg Quality During Marketing : North Central Regional
Publication 15 . ( Published by Michigan State College , 13 North Central
States and USDA cooperating ). Special Bulletin 361 , August 1949, 39 pp .
(Printed )
Farm -Mortgage Loans and Their Distribution by Lender Groups , 1940-48

( BAE ) August 1949. 63 pp . (Printed )
Agricultural Outlook Charts 1950 . ( BAE ) October 1949 , 99 pp •
(Printed )
Consumption of food in the the United
United States , 1909-48 . ( BAE ) MP 691 .
August 1949 . 1 9 6 p p. ( Pro ces sed )
Farm Consumption of Liquid Petroleum Fuels and Motor Oil, ( BAE )
FM - 73 . 1949 . 21 pp . ( Processed )
Citrus Fruits , Acreage , Production , Farm Disposition , Value and
Utilization of Sales , Crop Seasons 1946-47 to 1948-49 . (BAE October
1949. 11 pp. ( Processed )
Wool Statistics , Including Mohair and Other Animal Fibers . ( BAE )

CS -37 . 1949 . 66 pp. (Printed )
( Be certain that you have given us your name and full address when
ordering statements or publications , Check only the individual items
NAME
ADDRESS
2
1
CITY ZONE STATE
December 1949
MARKETING
ACTIVITIES
Washington 25, D.C.
IN THIS ISSUE :
NATURAL CHEESE PACKAGING OFFERS PROMISE AND PROBLEMS TO INDUSTRY

By W. W. Witte .
Page 3
When you've heard about all the vexing problems that had to be
solved before natural rindless cheese became a reality in small packages ,
you'll wonder if it was worth it . After you've seen its advantages ,
you'll be asking where you can buy it . Mr. Witte , Chief , Division of
Markets , Wisconsin Department of Agriculture , has directed much of the
pioneering work in the development ,
WHAT HOG PRICE SUPPORTS MEAN TO INDIVIDUAL PRODUCERS
By R. H. Roberts . 0 0 O Page 8
Mr. Roberts of PMA'S Livestock Branch , clears up a number of ques

tions relative to the hog price support program and at the same time
commends producers for their orderly marketing this year .
TRUCK MOVEMENTS INFLUENCE " BAROMETER OF SUPPLY "

By John L. Buntin . Page 13
There's sound evidence that trucks are moving more and more produce ,
but up - to - the -minute figures on the operations just aren't available .
Transportation Specialist John Buntin , Fruit and vegetable Branch , points
out the need for filling those gaps .
THE EXPORT PICTURE

By Stanley Andrews o O 0 O O Page 18
Some import- export arithmetic soon shows (and

up the favorable
otherwise ) aspects of our foreign trade . OFAR's Chief , Stanley Andrews,
emphasizes the necessity for two -way trade , and backs up his reasoning
commodity by commodity .
SELLING MORE AND BETTER PRODUCE
By Robert J. Andrews o o 0 0 o Page 23
Bigger sales and less spoilage of fresh fruits and vegetables --plus
an important by-product called consumer satisfaction --are the chief re
turns of a retailer training program conducted cooperatively by the in
dustry and the Department under RMA . Robert Andrews of the Fruit and
Vegetable Branch has worked directly with the program since its beginning
2 years ago .
ABOUT MARKETING . .... Page 30

Washington 25 , D. C. Issued month ly . Vol . 12 , No. 12
Natural Cheese Packaging Offers
Promise and Problems to Industry
By W. L. Witte
About 30 years ago an alert cheeseindustry , intent on improving

the usefulness of its product , developed " processed " cheese which could
be packed in handy , attractive pac keges by the manufacturer . Cheese in
this form found ready consumer acceptance and soon became an important
part in millions of new menus which had never before known cheese in a
convenient form .
Now the industry , aided by the Wisconsin Depart . ent of Agriculture

and , to some extent , by the U. S. Department of Agriculture (under the
Research and Marketing Act ) , is perfecting methods of packa ring natural
cheese , with its distinctive flavor and texture , in the handy contain
ers that have stimulated the marketing of processed cheese .
New Product Means Many Changes
In the course of this major cheese development however , both the

Wisconsin Department and the industry encountered a need for serious ad
justments in the entire sequence of cheese manufacturing . From the se
lection of the raw ma terials to the distribution of the l'inal product
new techniques and methods have been studied . Iany of the problems have
been resolved successfully ; others will have to be faced in continued
research before the cheese industry generally can successfully pro duce
the natural rindless product ,
During the last low years there has been a growing consumer prefer
ence for natural cheese in small packages, Consequently , more and more
natural cheese has been prepackaged --generally in the retail stores , and
after it has been cured and ripened . The newer methods now being devel
oped go much further than that -- they allow cheese to be molded and cured
in neat , sanitary, attractive packages wrapped in durable, transparent
material, genera 1.ly of the pliofilm or cellophane type , Pioneering in
this development has been the Wisconsin Department of Agriculture which
has financed and directed a program whose practical objective has been
to package natural rindless cheese in one - half , one - pound and two - pound
units .
In order to demonstrate that American housewives would welcome a

pa ckage of this type , Wisconsin researchers conducted an experimental
sale in Detroit , Michigan Marketing studies were also made elsewhere
to determine consumer preference in the purchase of cheese . These studies
December 1 349 3
revealed that given satisfactory packaging most housewives buy cheese on
a price basis rather than weight .
Summed up then , the studies indicated that a new economical method

of cheese packaging at the factory was necessary . Large 70 -pound Cheddar
and 200 - pound Swiss wheels simply could not be cut economically into
small consumer packages . As a direct result a special press and " hoop "
were developed for making rectangular 20 - pound blocks . These blocks were
then wrapped in pliofilm and cured in special curing rooms . After ouring ,
the cheese could be out into standard sizes and re -wrapped without loss
or waste , In addition , greater uniformity in texture and appearance was
ob tained.
The overall objective of this program was the development of a rind

less , qui ck - curing cheese so wrapped that the contents of the package
would ( 1 ) be of uniform quality and flavor ; ( 2 ) be revealingly and attrac
tively packaged so that it is readily
identified by the consumer ; ( 3 )
have greater keepability than cheese ; ( 4) neither
the old form of cut
mold nor dry out , and ( 5 ) eliminate rind and waste .
High quality Key to Acceptance
Since the Wisconsin Department of Agriculture specialists knew that

consistent production of cheese having a uniformly high quality was fun
damental to the success of the program, it sou ght the wholehearted CO
operation of the industry . Before any large scale production of rind
less natural cheese was possible it was necessary to convince the prac
tical chees emak er that the new program offered him definite advantages
in the distribution and sale of his product .
It was desirable , too , that the work be done by a publi
publicc agency
which could make its findings available to the entire cheese industry as
soon as the program showed practical results . From the start it has been
the goal of the Department to make its results available for the use of
anyone seeking improved methods for the production and merchandising of
cheese .
In undertaking the cheese packaging development the Wisconsin De

partment of Agriculture had no intention or desire to embark upon a pro
gram of cheese merchandising . It was necessary , however , for some or
gani zation with trained personnel and laboratory facilities at its dis
posal to undertake the basic research .
In its work , the Department has maintained close cooperation with a

number of cheese factories . In several instances cheese plants have co
operated by installing special equipment for the manufacture of the now
rindless pa okage .In every instance , the Department has kept in close
touch with these factories and has insisted that a number of technical
requirements be met before manufacturing could be started . These in
cluded ( 1 ) use of highest quality milk ; (2 ) high plant sanitation stand
ards and removal of any sources of contamination ; ( 3 ) availability of
adequate and proper equipment; and ( 4 ) a comprehensive knowledge of the
new method of procedure on the part of the cheesemaker .
The Department's plans involved changes in the method of manufacture ,
new " hoops " or forms for pressing the curd into square prints , new pro
cedures for curing the cheese in the wrapper , and finally , a material
which made a suitable wrapper itself . During the early period some 75
dif ferent kinds of wrapping materials were tested , A number of them
were found to offer definite possibilities .
With the outbreak of World War II this program was greatly reduced in
scope because it became practically impossible to obtain packaging mate
rials . Enough work had been done , however , to demonstrate that the manu
facture of rind less natural cheese offered definite promise in the solu
tion of marketing problems which were limiting the use of cheese and
causing the industry grave concern .
After the end of the war the program was resumed . To date the De
partment has worked with nearly all large chemical organizations and film
manufacturers in the Nation . Over 200 packaging materials , many of them
developed specifically for wrapping cheese , have been tested and the re
sults have been very encouraging . The Department has worked with nearly
all the manufacturers of transparent wrapping materials in the Nation .
Industry Cooperating on Packaging Materials
As the work with a rindless package of natural cheese continued , an

increased number of manufacturers of packaging materials indicated a
great interest . Several companies beran experimental work , principally
in developing a rubber wrapping product . More recently there has been a
shift to flexible materials of non - rubber composition and one large manu
facturing concern has had several of its scientists working on this pro
gram for over three years , This firm has developed a very satisfactory
packaging material which is being widely used in other industries , and
which may be an important factor in the success of the rindless natural
che ese merchandising program .
In addition to problems of manufacture , curing , wrapping , and sat

is factory storage , another difficulty was encountered . At the outset
the program was handicapped by a severe lack of mechanical packing equip
ment . Up to a year ago practically all natural cheese pa ckaging was
done by hand . It also tumed out that each of the satisfactory packaging
materials presented an individual problem in wrapping . At the present
time there are at least five machines which are being used with reason
able success . However , improvements may be made and they need to be
adapted to the various films . The handling and especially the sealing
of each different wrapper require s
special attachment and techniques ,
These are problems the film manufacturers are lending a hand
in which
but before natural rindless cheese production can be expanded to the pro
portions which the Department believes are possible , it will be necessary
to have machinery designed and adapted specifically for packaging this
product .
order to carry on a study of all the processes involved under
In
conditions where exact controls and comparisons could be obtained , the
Department found it necessary to set up a cheese pa ckaging laboratory .
December 1949 5
Here , tests have been carried out to determine thebest and most practical
me thods of curing and storing natural cheese . These include wrapping
and curing rindless cheese in the 20 - pound block size and also in cutting ,
wrapping, and ouring the cheese in consumer - size packages cut from the
original blocks shortly after their removal from the presso Through
these recent studies many of the difficulties encountered early in the
program have been satisfactorily solved . Much additional work will be
necessary before all the wrinkles can be ironed out .
Swiss Problems Are Still Troublesome
Some of these special problems have been encountered in the packag

ing of Swiss , brick and bleu cheeses . While the early packaging work
was done almost exclusively with Cheddar or American cheese , producers
of these other varieties became interested in adapting these processes to
their special varieties . However , major difficulties still are to be
solved in the Swiss cheese field . For example , work must be done on se
curing proper eye formation as well as finding a satisfactory way of
adding salto While salt is added to Cheddar curd before it is placed in
the hoops , Swiss cheese is salted by immersing the huge wheels in a tank
of brine after they are removed from the press . Such a procedure cannot
be followed after the small squares are individually wrapped .
Tied to these curing difficulties with Swiss is the complex problem

of rindless packaging • It has been approached from two angles ; ( 1 ) By
cutting and packaging the conventional Swiss wheels af ter curing , and
( 2 ) by producing rindless blocks that can be cut and packaged. In pack
aging of the large cured wheels serious waste is encountered in utilizing
the odd- shaped pieces left over after autting out uniform sized blocks .
In cutting a 175 - pound wheel the odd- shaped pieces amount to 30 to 50
pounds , and from 15 to 30 pounds are rind and waste . Before Swiss wheels
can be economically cut and packaged it will be necessary to solve the
serious problem of waste . With continued work and in du stry's cooperation ,
it is hoped that these handicaps can be overcome .
Use of Pasteurized Milk Increasing
Another problem on which the packing program has thrown a good deal
of light is the use of raw milk as contracted with pasteurized milk for
the manufacture of cheese . From its beginning the Wiscons in cheese in
dustry has traditionally used raw milk in cheese manufacture , With the
development of new and more effective pasteurizing equipment there has
been a gradual shift to the use of pasteurized milk during recent years .
In order to obtain more data , now studies were started by the Wis
consin Department of Agriculture in February 1948 . In each experiment ,
24,000 pounds of milk was placed in a holding tank and thoroughly mixedo
One - half was then drawn off and pasteurized before being made into cheese .
The other half was processed without pasteurization . The two lots were
kept separate but were cured and wrapped under iden tical conditions ,
using four types of wrappers . One - half of each lot was held in cold
storage at 35 degrees and the other at 45 degrees F.
Later , at two months and then at four - month intervals, cheese from
each lot was examined and judged . Trained cheese judges were asked to
grade and score the cheese and to identify the pasteurized and the un
pasteurized product . Correot identification varied from 58.9 percent to
95.3 percent . Identification was slightly more accurate in the case of
the lower temperature curing . The average proper identification was 76.3
percent . It must be remembered , however , that the judges were experienced
cheese graders and it can probably be assumed that the average consumer
would have experienced considerable difficulty in separating the two
groups . It was also found that in every instance of direct compariso n
the pasteurized milk cheese was scored higher than the raw. Thus another
question was answered in favor of pasteurization , in the search for proo
esses turning out the highest quality product possible .
Acceptance Tied to Consumer Education
When enough of these roadblocks to efficient preparation and pack

aging had been passed allowing sufficient production of natural rindless
cheese to permit commercial distribution , the Department realized that a
job of consumer education was still to be done . The average consumer
was not aware of the new product's qualities and in many cases she was not
able to identify it , but she did recognize the advantages of the newer
package . Individual manufacturers and distributors quickly recognized
its value and began merchandis ing on a fairly broad scale .
An important feature of this educational program was the $ 75,000
display exhibited at the Wisconsin Centennial held at the State fair park
in Milwaukee in August 1948 . As a part of its natural cheese program,
the Departenentprepared a display of rindless cheese and conducted a
sales program , American cheese was offered in one and two pound sizes ,
Swiss in one pound packages, and brick in packages of about two - thirds
of a pound . All of this oheese was packaged in a special " centennial
wrapper" . The first cheese was packaged under this label early in 1946 .
A careful check was made of public reaction both as to the type of cheese
used and to the packages themselves .
At first it was found were frequently in doubt
that the consumers
as to the differences between natural cheese and the so -called processed
cheese . Now , however , it appears that the consumer is rapidly learning
these differences although an extensive job of advertising and merchan
dising will be necessary before the rindless natural package will be
given full acoeptance .
The centennial package also made possible a check on "keepability "

of the rindless natural cheese package . One lot of 400 packages which
was kept for 5 months revealed only two spoiled packages.
In general the centennial sales campaign indicated that the rind
less na tural cheese package has widespread appeal to the general public .
The question most generally asked by buyers was , "Where else can I buy
this cheese " ? Perhaps the best concrete example of the success attained
in this program will be found in the fact that during 1948 Wisconsin
cheese producers manufactured and merchandised more than 10 million
pounds of rind less natural cheese . Interest in the industry is increasing
and more cheese makers every year are expressing a desire to switch to
the manufacturing of this promising product .
December 1949 7
What Hog Price Supports
Mean To Individual Producers
By R. H. Roberts
Orderly marketing of hogs has paid off . All during the summer and
early fall a sharp seasonal drop in hog prices seemed inevitable this
fall and winter with the marketing of last spring's record peacetime
pig orop . While prioes have dropped from last summer's high , orderly
marketing teamed with sustained high oonsumer demand for pork has main
tained hog prioes above price support levels through the first part of
the marketing season .
Great credit is due individual hog producers for the way they have
geared their marketings to con sumer demand for pork by selling hogs at
Those hogs are "ready to go " . Throughout this past fall farmers have been sending
lighter weight hogs such as these to the Nation's livestock marketing centers in an
orderly stream. This has helped maintain prices above support levels and at the same
time has kept processing facilities running at full tilt to handle the large 1949 crop .
8
8
This producer, in looking over his year's crop of hogs , knows that they won't be
ready for market for several weeks . But he , like most producers this past fall , will
send them on in small lots as they reach satisfactory weights .
lighter weights and by carefully gauging market strength in shipping their

hog 8. Orderly marketing paid off handsomely in October when despite the
heaviest federally inspected slaughter on record for that month , market
prices stayed substantially above support levels . This has been impor
tant in the farm in come picture , too , because returns from hoge amount
to around 12 % of total farm merke ting dollars .
Farmers Have Practiced Orderly Marketing
In marketing this fall , farmers have been holding their hogs off
when market prices started to drop too fast, but moved them at other
times as fast as possible when they could without breaking the market .
This has been partioularly important with the large numbers coming on
this winter , and its importance will not diminish in the coming weeks
because there is always danger of a backlog of hogs piling up on farms .
If hogs which are ready for market are not moved as fast as the market
can handle them at prices above support levels , delayed marketing could
well mean a glut later on . This two - fold feature --holding hogs off when
prio es are weak and keeping numbers ooming in as long as the price is
strong enough --will continue to be important .
Thus hog producers themselves may be the ones to determine whether

December 1949 9
or not price support operations will be necessary . The Department has
been ready all fall with its program aimed at keeping hog market prices
in line with supports However , the Livestock Branch points out that
prices can't be held even then if farmers glut the market .
Questions on the Program
There are other aspects of the support program which may not be en
tirely clear to many producers , Farmers have been asking just how they
can assure themselves of support prices , Some have asked if they can
apply for payments or sell their hogs directly to the Government , Sush
que stions as these indicate that the program ought to be outlined as di
rectly as possible for the individual producer..
Under existing legislation , there is no authority for making direot

payments to producers to support hog prices and the purchase of live hogs
to support prices is not practical . If support operations are needed,
purchases of pork products from processors will be made at prices needed
to prevent U. S. average prices from falling below the support levels .
Under this method, prices of individual lots of hogs could not be guaran
teed .
Differentials Not Fixed
If support prices were established at individual markets , price

differentials between grades and between markets would have to be estab
lished Normally , these differentials are not fixed but change up and
down from day to day and from woek to week depending upon changes in
supply of hogs and demand for pork at each market , The maintenance of
fixed differentials could lead to a chaotio situation in the marketing
and distribution of hogs and pork with an over supply of hoge in one lo
cality and an under supply of pork in another .
This does not mean that , in the operation of the purchase program ,
areas where prices might fall out of line would be disregarded . If prices
in an area started to fall too far below the national average and out of
their generally normal relationship with other areas , purchases would be
made to try to hold prices up in the area .
Individual Lot Price Not Guaranteed
To provide a specific support price for each producer , it would be

necessary to determine the grade and value of each lot of hogs . This is
impractical and too expensive to do on a Nation-wide basis . If it could
be done , it would result in the same difficulties as fixed differentials ,
With the program operated to support the average price of all hogs ,
producers should try to obtain the best possible price for their hogs in
relation to the support price . If a producer's hogs are below average
in quality , he should expect them to bring less than market average . If
his hogs are of the best quality and bring the top market price , he should
receive more than average for the area ,
Hog prices vary by areas . In deficit hog producing areas , hog prices
may be expected to be above the average for the county as a whole . In
surplus producing areas , hogs should be expected to sell somewhat below
the U. S. average price because of the expense involved in shipping the
hogs or pork to consuming centers , Prices of hogs in some deficit areas ,
however , normally average lower than prices in surplus areas because of
the lower quality of hogs in such deficit areas .
Under this program which operates through free and imrestricted mar
ketings , the responsibility for marketing hogs at as high a price as their
quality will demand rests with producers . If a producer markets his hogs
when the market is glutted with more hogs than processors can handle, his
hogs may bring less than support prices . However , by carefully watching
the market and selling hogs when marketing and processing facilities are
not over - crowded , individual produoers should be able to obtain the full
equivalent of support prices or higher for their hogs .
Present Support Legislation
Price support on hogs is required at 90 percent of parit y through

parity
December 31 , 1949 , After Decem ber
December 31 , suppo rt
support may be at any level from
zero to 90 percent of new parity under the Agricultural Act of 1949 .
However , the Department has announced that prices will be supported at 90
peroent through March 1950 , to give the 1949 spring pig orop the same
level of support in the last half of the marketing season as in the first
half . Parity is based on the U. S. farm price .
If hog price support operations are needed, they will be conducted

to maintain the U, S , average farm price of hogs at monthly support lev
els . Monthly support prices vary in accordance with usual seasonal price
variations . This means that the higher support levels are in the months
of normally small marketings and the lower support levels in the months
of normally large marketings . This tends to encourage orderly marketing
of hogs and to even out the marketings over the different months of the
year .
Guides Reflect Week - to -Week Variations
Under present authority , the method of carrying out hog price support
would be to remove from commercial channels any amount of surplus pork
that is necessary to prevent hog prices from falling below established
support levels . Weekly support guides have been established to show the
average market prices that are needed for farm prices to average out to
the support levels , These guides reflect the week - to -week variations in
monthly support levels .
The guides also refleot the relationship between the monthly support
figure for all olasses and grades of hogs and the comb in ed average weekly
market price of barrows and gilts at 7 midwestern markets : Chicago , Sto
Louis National Stockyards, South St. Paul , Sioux City , Omaha , Kansas City ,
and South St. Joseph . While these guides are not support levels , they
provide a practical method of comparing support prices with actual mar
ket prices from week to week,
ll
December 1949
Weekly guides through March 31 , 1950 and actual average market prices
of barrows and gilts at the 7 midwest markets follow :
Support Guide Barrow and Gilt
Week Dollars per Average Price Week Dollars per
Ended 100 pounds at 7 Markets . Ended 100 Pounds
Oct. 1 18,25 19,48 Jan. 7 15,00

8 17.85 18.39 14 15.25
15 17.45 18.18 21 15.50
22 17.05 18.27 28 15,50
29 16,65 17.85
Nov. 5 16.25 16.76 Feb. 4 15,65
12 15.85 16.03 11 15,90
19 15.45 15.60 18 16.15
26 15.05 15.47 25 16.40
Deo . 3 14,75 15.22 Mar. 4 16,65
10 14.75 il 16,65
17 14.75 18 16,65
24 14. 75 25 16.65
31 14.75 31 16.65
If support operations become necessary , pork products would be pur

chased since the purchase of live hogs is not feasible . Purchases would
be made from packers operating under Federal inspection since pork pro
duced by other slaughterers cannot be shipped across State lines nor ex
ported from the United States . Pork purchased under the program would
be disposed of through the school lunch program, to public institutions
and through export for foreign countries .
NAMO ELECTS OFFICERS FOR 1950
Matt Jennings, Chief , Division of Markets, Tenn . , has been elected

president of the National Association of Marketing Officials for the
year 1950 . Other new officers elected at the organization's 30th annual
convention held October 10 in New York City are : First Vice - President ,
J. H. Meek , Director , Division of Markets, Virginia ; Second Vice - President ,
Miles Nelson , Chief , Bureau of Marketing and Enforcement , Michigan ; and
Secretary- Treasurer , Fain G , Cesar , Director , Marketing Division , Okla
homa .
During the Convention at New York , several days were devoted largely
to an inspection of the marketing facilities of that city . The officials
visited the Washington Street Market , the auotion markets on the docks ,
live and dressed poultry markets , the wholesale flower market , and two
retail food markets operated by the City of New York, In addition , dairy
and fruit farms in New York State were visited as well as egg and fruit
and vegetable auction markets and a large dairy farm in New Jersey.
12
Marketing Activities .
Truck Movements Influence
" Barometer of Supply" By John L. Buntin
The average consumer doesn't oare whether his food has been trans -
ported to his local market by mule train or jet plane so long as the job
has been well done . This indifference is evidence that good service has
been performed , for consumers don't worry about services that are abso
lutely dependable ,
You can be sure , however , that someone is concerned with the prompt
and efficient movement of food , for the job is as tremendous as it is
important . For that reason any fundamental changes within the transpor
tation system are of great interest to the agencies which report on this
movement . Among them is the Production and Marketing Administration of
the U. S. Department of Agriculture , whose Fruit and vegetable Branch is
particularly interested in trends in transportation of fruits and vege
tables .
" How " as Important as the 4 " W's"

Through its Market News Service , PMA charts the rail mo vement of
produce to large centers of consumption . Knowing how this food is being
moved is a vital part of the whole transportation picture . An accurate
breakdown on rail and truck movement is essential to provide a clear
picture on availability each day for the total volume .
Such data amount to the best "barometer of supply " available in the
produce industry . Any sudden and unknown change in the volume in transit
can create serious problems at terminal markets . Because of the increase
of truck transportation , the daily shipment releases restricted to rail
and boat movement no longer give a true picture of the actual situation .
In fact , there have been many instances when unreported sud den increases
in truck movement of a commodity have weakened prices at a terminal mar
ket , resulting in heavy financial losses to growers , shippers and re
ceivers , If in these cases daily truck shipments had been released on
the same basis as rail , all phases of the industry would have had a bet
ter chance to adjust their operations accordingly ; in other words , the
supply barometer would have more readily served its purpose .
There are other advantages in having a reliable and complete check
on commodity movements . Such data enable the industry to adjust for sec
tional deficits or gluts ; railroads are able to anticipate general car
needs by areas , and more important , refrigerator car demand by specific
December 1949 13
location . Package manufacturers can meet their schedules more precisely ,
and processors are better able to gauge their operations . In an over
all sense , accurate statistios on rovement of perishables enable the in
dustry to operate more efficiently , resulting in more reasonable prices
for consumers and increased returns for produoers .
When , in the early 20's , the transportation to market of fresh fruits

and vegetables was confined largely to rail and boat, the daily shipment
releases of the Market News Service gave an excellent picture of ourrent
movement . This , coupled with the arrival and hoars on track " reports
also released daily for several important terminal markets , made it pos
sible for the fruit and vegetable industry to determine the trend of
available supplies each day for the various markets in the United States ,
Even though produce was shipped for 3rd or 4th morning delivery or
even lith or 12 th fairly accurate receipt estimates could be made .
Truck Movement Difficult to Tally
In the late 20's a noticeable volume of truck movement became appar

ent , and by the late 30's this trend had grown until it was estimated
that one - third of the total fresh fruits and vegetables going to market
moved by trucks, Unfortunately , such estima tes were based on reports
which laoked the detail and completeness of the data on rail and boat
shipments . Truck operations by nature are difficult to tabulate and in
most cases they are unscheduled and unreported , Inclusion of these in
creasing quantities moving by truck in timely releases of the Market News
Service is essential . This would enable the industry handling these
products to better determine the flow of supplies to market under current
conditions .
Evidence of growth of truoking has come in through the side door ,

so to speak , in the form of statistics showing that railroads handle a
declining proportion of the total tonnage During World War II truck
O
movement declined temporarily , as truck replacements and repair parts

became unobtainable . A second factor was the motor carriers ' shift to
movement of urgently needed and less perishable war materials . Beginning
in 1947 this temporary trend was reversed . Today , many individuals in the
produce industry feel that 40 to 50 percent of the commercial movement
of fresh fruits and vegetables is now by truck .
Chart Shows Receipts in 6 Cities
As is indicated in the chart showing percentages of total shipments

represented by truck receipts of fresh fruits and vegetables in six major
cities , there is considerable variation as between the cities . It will
be noted that a very high percentage of receipts in Atlanta , Los Angeles
and San Francisco move by truck , This is largely due to these cities
being located with in the general proximity of heavy producing areas .
Truck receipts at Boston , New York and Philadelphia include considerable
seasonal movement from nearby production areas ; however , as a whole these
cities receive a considerably lower percentage by truck than those in
the South and Far West . The trend for each of these cities , as well as
the 6 -city average , follows the same general pattem with the exception
FRESH FRUIT AND VEGETABLE RECEIPTS BY MOTOR
TRUCK IN SIX IMPORTANT TERMINAL MARKETS,
AS PERCENTAGE OF TOTAL RECEIPTS, 1932-48
PERCENT
BY
TRUCK
90 Los Angeles
80
San Francisco
Atlanta
70
60
6 - city average
50
NO DATA Philadelphia
X
NO DATA X
40
New York
30
20
Boston
10
0
1932 1934 1936 1938 1940 1942 1944 1946 1948 1950
U.S. DEPARTMENT OF AGRICULTURE NEG . 17005 PRODUCTION AND MARKETING ADMINISTRATION
Deo ember 1949 15

of New York during the period 1944-48 . This is possibly due to the fact
many towns and cities formerly supplied with fruits and vegetables from
the New York City market now receive these items direct by truck . Data
on truck receipts in Chicago , which have been collected only during re
cent years , were not inoluded in the chart . However , receipts during
the period of collection followed the same pattern in Chicago as in the
other markets . The average trend indicates the movement by truck may be
expect ed to con tin ue a gradual inorease until such time as some balance
is achieved in the use of various types of transportation .
Nation -wide Rail Shipment Decline
While the statistics available for the chart are not complete through
1949 , reliable data show that nation - wide movement of fresh fruits and
vegetables by rail through November shows a 12 percent decline compared
with saine period for 1948. Although comparable data on truck shipments
are not available , it is believed that the total volume marketed has not
declined The only conclusion is that trucks have taken up the slack .
Air transportation has also increased , but it totals only a small frac
tion of this unspecified movement .
Data on truck receipts are collected for several large cities , and
truck shipment figures are available for a very few commodities and
States . But the national picture for daily truck receipts and shipments
is far from complete . As a result , the Market News Service has received
numerous requests for inclusion of such data in its releases . The Ser
vice , however , has not been inclined to request funds needed to attempt
collection and dissemination of truck shipments and receipts on a nation
wide basis until workable methods could be devised , and the costs esti
ma ted . This position has been adopted because practically all truck move
ment of fresh fruits and vegetables is handled by contraot truckers ,
grower - shipper - receiver - owned trucks and itinerant truck merchants , none
of which maintains systematic accounting methods required of common
carriers . Therefore , serious operating problems are to be expected in
the collection of such information .
RIA Project Concentrated on Strawberries
Early in 1949 a project under the Research and Marketing Act was
undertaken to survey prevailing conditions in the various shipping areas
with respect to truck movement of fresh fruits and vegetables , in an ef
fort to develop methods for collecting and disseminating this information .
During the first six months of 1949 this project was concentrated on the
truck movement of strawberries from the States of Florida , Louisiana ,
Arkansas , Tennessee , Kentucky , North Carolina , Missouri , Illinois , Indi
ana and lichigano It was discovered that truck movement of strawberries
from these States varied from 35 percent of the total to the entire move
ment . The study showed that this information could be obtained . The
sources of information for daily truck shipments in these States were the
principal shippers , established auctions , farmers ' central markets and
Federal- State inspection records , depending upon the conditions existing
in the different areas . After conclusion of the work on strawberries the
project was broadened to include other commodities with satisfactory re
sults where the majority of the marketing was conducted through organized
channels . On certain commodities in some areas it was found there was
some truck movement direot from the farms ,
Up to the present time no
practicable satisfactory reports of
me thod has been devised to obtain satisfactory
truck shipments each day on commodities moving direct from the growers ,
which usually means the truok load was purchased by an itinerant truck
merchant , or hauled to market in the grower's truck .
Much emphasis will be placed in the future on this direct - from - farm
movement , and it is felt eventually a method will be devised to make a
reasonably accurate estimate of such movement from the various affected
shipping sections each day . The survey with respect to movement in so
called normal wholesale channels is being diligently pursued in the vari
ous shipping areas . It is hoped that the results will bring to light
ways and means of collecting and issuing each day data on the movement
of fresh fruits and vegetables by truck , as is now done for rail and
boat shipments .
When it becomes possible to provide this additional information ,

the fresh fruit and vegetable producers and distributors will again be
in position to more satisfactorily and equitably market these perishable
produots through use of this " barometer of supply . "
FRUIT " ESSENCES " NOW FREE OF ALCOHOL TAX

WILL BOLSTER NATURAL FRUIT FLAVORS
Consumers should soon be getting food products with finer natural

fruit flavors , say U. S. Department of Agricultural researchers , Changes
in the alcohol - tax laws , or dered recently by Congress, now permit manu
facture of fruit " essences " without payment of the $ 9- per-gallon tax for
merly imposed . These flavor concentrates must still meet certain require
monts , but Department scientists in the Bureau of Agricultural and In
dustrial Chemi stry expect that the now regulations will result in rapid
expansion of the fruit - essence industry --and in tastier fruit - flavored
foods on your grocer's shelves . The process for recovering and concen
trating the volatile fruit concentrates of fresh apples and of grape
juice has been developed by the Bureau at its Eastern Regional Research
Laboratory in Philadelphia ,
One promising use for fruit essences is in preparing full -flavored ,

concentrated fruit juices , Diluted with water before serving , concen
trated juices containing flavor essence make beverages that have a deli
cious natural flavor and aroma . Being concentrates , they are relatively
less expensive to ship and store than the bulkier single - streng th juices.
Fruit essenoes can also be used to improve the flavor of cooked or
pasteurized fruit products , which ordinarily lose much of their taste
quality during processing because their volatile flavor constituents are
driven off . Fruit essences are already being used in carbonated bever
ages and candies . Other potential outlets for large quantities of flavor
concentrates are in the production of ice creams , ioes , sherbets , table
syrups , and gelled desserts .
17
December 1949
The Export Picture
By Stanley Andrews
During the past 10 years a world preparing for war , at war , and
cleaning up the mess after the most disastrous war of modern times , made
a seller's market for about everything American farmers were able to pro
duce . But that condition is now over ; a buyer's market is here .
Although there is still in the United States an enormous unsatis

fied market for many of the items in our farm production which some now
are beginning to call a "farm surplus " , these greater supplies create a
problem which challenges our own national policies on marketing and dis
tribution . Of great immediate concern are those portions of our national
agricultural production which have moved into international trade chan
nels . Careful students of production and marketing argue that a healthy
industrial or agricultural plant requires that year after year about 10
percent of the value of our farm production must be exported . So , let's
look at that 10 percent which most people agree is essential if farmers
of this country are to maintain a healthy and prosperous farm business .
The Need for Food
Our farm exports are a part of international trade and they must
compete for the attention and the dollar exchange with other items which
nations and peoples of the earth desire . During the war , food was just
as valuable as bullets and from our own war experience we can testify
that we saw artillery shells rationed on the fronts of Europe in order
that some ships could be spared to haul food for the destitute popula
tions back of the fighting line which had to be fed if they were not to
become a terrible liability . The choice was easy then ; food was bought .
In the days after the fighting stopped we saw individuals take their
jewelery , their last piece of old silver , their china , their fine old
paintings and their last penny to buy a little food . We saw nations with
gold bars which carried crests of a proud history for 500 years take that
gold out of their vaults and place it in the channels of world commerce
to buy food for the ir pe o ples . As a representative of a foreign govern
ment told me in Washington in the summer of 1947 when he was begging for
the permission to pay $ 3,50 per bushel for wheat from this country , "Food
is cheap at any price for a starving na tion . " So American farmers , who
by their effort and their enterprise had produced these great orops , were
able to sell them not only for the relief of the hungry of the world but
at considerable prof it to themselves .
But now the world's again.. Textile

bare cupboards are filling up again
fibres have come out of the warehouses and out of the fields and many
countries do not find it necessary to sacrifice their life is blood for
food and fibre from the outside . From here out we are going to find it
more difficult to sell the things we wish to sell in the markets of the
world . This is all bound up in a lot of things such as currency conver
tibility , tariffs , quotas , prices and restriotions of all sorts . The
fundamental reason , and one we may as well face up to , is the fact that
we are much more willing to SELL TO the world than we are willing to BUY
FROM the world . International trade , and we are mormore and more going to
realize it , is a two -way street , not a one - way street though taking
note of some of our recent trading history one would almost come to the
conclusion it is a one -way street ,
To put it another way we have shipped from the United States since
1914 goods and services , including the military aid sent to Europe in
the two wars , totaling $ 101 billion more than we have shipped in . If we
take the striotly military aid out and confine the sums to only goods for
so - called normal peace - time needs , we find that we have sold and shipped
to Europe some $ 52 billion worth more goods than we have imported . This
gap between the imports and the exports has been filled in primarily with
gifts , loans that have never been repaid , and the movement of gold out
of Europe to be buried in a cave in Kentucky .
ECA And Farm Exports
To bring all this down a little closer to the present situation ,

our exports in the past 3 or 4 years have roughly averaged $ 6 billion a
year more than our imports . This gap has been made up largely by ECA aid
and military spending for the relief of the oocupied areas . Farmers are
vitally interested in that figure because nearly 60 percent of that $ 6
billion each year has been spent for agrioultural products and in the
present year the percentage of such aid that is going to agrioultural
items is still that figure . Spe oifically , of shipments abroad
around
during the first 6 months of this year , 65 percent of our cotton , 60 per
cent of our wheat , 25 percent of our rice , 60 percent of our tobacco , 25
percent of our fruits and 45 percent of our fåts and oils were financed
by ECA or military funds . By this I do not wish to infer that some of
the se exports would not have been possible without ECA or other spending
or gifts on our part but most assuredly the volume would not have been
anywhere near as great as it was save for the simple fact that we are
literally giving foreign countries the money with which to buy a great
volume of our goods and thus keep up our export.
In order to bring this down to cases , let's look at a bit of history

of some of the agricultural items in our international trade . We are not
trying to draw conclusions from the figures I am about to give but as
farmers and as na tional leaders of farmers we may as well look squarely
at them .
COTTON . Since our parities all more or less start with some base
period in comparison with some other period , let's take cotton in the
base period . In the period 1909 to 1914 United States grown cotton moving
in international trade represented 69 percent of all of the ootton moving
in world trade . If we move up to the so -called pre -World War II period ,
1934 - 1939 , we find American cotton holding 41 percent of the interna
December 1949 19
tional trade in cotton . Jumping then to the 3 years following the col
lapse of Germany and Japan we have averaged 36 percent , the percentage
in one year being as low as 23 percent , and in the season just closed ,
45 per cent , Sixty - five percent of that cotton was paid for by ECA .
WHEAT . In this samo base period , 1909 to 1914 , 16 peroent of the
some 675 million bushels of wheat moving in international trade annually
came from the United States . Again in the 1935 - 1939 pre -World War II
period , we had only 7 per cent of the 545 million bushels then moving in
international trade . If we move ahead to the same three post - war years ,
1945–46 , 1946-47, and 1947-48 , we get quite another picture with United
States exports of flour and wheat running at the all - time high of 503
million bushels in a single marketing year . But more significant , roughly
365 million bushels of that wheat moved to ECA and military zones as a
result of direct appropriations of the United States Treasury and only
10 percent of that great total movement of wheat came by the use of normal
import and export trade. Thus we furnished the money for 73 percent of
that 503 million bu shels of wheat .
FATS & OILS . In the 1910-1914 period 21 percent of the world trade
in fats and oils came from the United States mostly in the form of lard ,
In the pre -World War II period only 4 percent of the total movement of
fats and oils in interna tional trade came from the United States and that
was again principally lard . But in the past 3 post -war years , 30 percent
of all fats and oils moving into international trade was from the United
States and this time principally soybeans, peanuts and lard . Army and
ECA paid for 45 per cent of these fats and oils exports since April 1948 .
The Rice Picture
Now let's take a look at rice using these same base periods . In
the first one , 1909-1914 , only one tenth of 1 percent of the total move
ment of rice in world markets came from the United States . That figure
still stood at 1 percent in the pre -World War II period . But since 1946
the picture has changed . In the 3 seasons since that time we have raised
about 16 percent of all the rice moving in world trade channels . And
this in spite of the fact that our rice
production is only slightly
over 1 percent of the total world production .
Fruits , fresh and processed , represent a very small item

FRUITS .
in our export picture but they are an important small item . Contrary to
the usual opinion the United States in most years is a net importer of
fresh fruit when we include bananas in the import list . And again , in
spite of a lot of noise to the contrary , our exports of dried , fresh ,
and processed , in terms of fresh , fruits have been increasing over the
years . Back in that base period about which we talked for other products ,
1910-1914 , our exports , on a fresh - fruit basis , were 530,000 tons annu
ally . In the 1934-1939 period exports averaged 1,468,000 tons and in
1947-48 they were about 1,432,000 , in 1948-1949 , slightly lower , at
1,005,000 tons , Thus , when we look at the fruit business on a national
basis , we find ourselves with surpluses , seasonal and otherwise , of spe
cifio We are also dealing with items which normally we do not
items .
expect to move into international trade in a great volume except perhaps
to our neighbor , Canada . There is the dried fruit industry on the West
Coast which used to have important export outlets and we exported prin
cipally to Europe, annually , around 100,000 tons of prunes , raisins , and
dried peaches . The dried fruit industry on the West Coast was built up
largely on exports to Europe . While there will likely be a small market
for these items in Northern Europe in the future , there is little chance
of anything like the former volume ever be ing realized . This results
from some rather basio facts . First , there's the dollar shortage . In
spite of the fact that people may want these dried fruits , scarce dollars
will not be sacrificed for the me Second , suah fruits in rather large
volume are now available from Mediterranean areas and these areas buy
things from Europe and sell their fruits . Third and last , modern trans
portation and handling methods of fresh fruits are coming to Europe and
the expanding produo tion of Italy, to some extent, Spain , and more par
tiou larly the Palestine , Lebanon , and North African areas , simply
that Europe is going to do just what the United States is doing eat
fresh and frozen fruits instead of dried one 8 .
TOBACCO . Let's look at tobacco . The pioture , on the surface , looks

pretty good . Again taking the base period , 1909-1914 , our exports of
leaf , farm weight basis , totaled 445 million pounds annually and accounted
for 45 percent of the total tobacco moving in export trade . During the
prewar years , 1935-1939 , our exports were 470 million pounds per year
refleo ting the great inorease in tobacco consumption the world over . But
we still had 38 percent of the world's tobacco ex ports . Coming down to
the 3 post - war years the situation is oonfused if nothing else . In 1946
1947 we had 53 percent of the total world trade ; in 1948 we dropped to 42
percent of the world export and this year we are handling a greater per
oentage with about 35 to 50 percent of the tobaoco being financed by ECA
or other direotly donated funds .
Agricultural Export Total

Depends on Many Factor 8
In citing these figures , I have steered clear of increased world
production of all items , increasing consumption , and many other factors
which influence the total crop farmers may have to sell . I have confined
my discussion to the portions of the crops moving out of the United States
into international trade with relation to the world movement of such prod
ucts in international trade
It can be seen that , except in minor instances , we are already the

residual suppliers of most of these items in world trade . In other words ,
with the possible exoeption of tobacco , countries are buying from other
markets to the extent they can and from the United States to the extent
they are compelled to buy or to the extent that We furnish them the
wherewithal to buy . That's not a pretty pioture . In summary let's look
at a few of the unfavorable factors in the world situation and then some
of the brighter -hued aspects . The unfavorable first ;
1. World production of food and fibre is catching up with effective

demand , There are not the desperate shortages of a few months back ,
2. There are still too many quotas , tariffs , exoises and regula
tions whioh prevent the normal movements of goods in international trade .
December 1949 21
3. There is the dollar shortage and the inability of nations short
of dollars to sell their goods in dollar markets in other words , our-
reluctance to buy goods from dollar- short areas ,

4. desperate drive for all nations to try
The to become self
sufficient at all costs is an important factor .
5. There are the high United States support price for farm produots
which might move in export trade .
The rise of synthetios and substitutes for fibre is causing con
6.
cern in many areas of utilization where ootton onoe reigned supreme .
7. ECA and Army spending are expeoted to be reduced during the
next 2 or 3 years .
Rising Living Standards

Mean More World Trade
Now for the more favorable factors :

1. The world's population continues to rise and world produotion
in terms of per capita is still below prewar . Nations will continue to
make desperate efforts to meet the inoreasing demands of their peoples
for better food and clothing .
2. Devaluation of the British pound and other ourrencies forecasts

improvement in the exchange of goods between countries .
3. Efforts are being made , notably in Europe , toward a more multi

lateral trade .
4. Normal areas from which many countries once drew some of their
supplies are now cut off :
ao The Danube Basin and Russia out off from Europe ,
b. China is out off from countries in the Far East

and Europe .
5. Countries must have supplies above and beyond the ir own produo
tion -- and they need and desire our products .
6. American farmers , traders and government have a lot more exper
ience in working together to solve trade problems than they did 20 years
ago . This is true both domestically and internationally .
* * *
PRICE SPREADS SUMMARIZED
Now available upon request to the Bureau of Agrioultural Economics

is the bulletin " Price Spreads Between Farmers and Consumers , " by Rich
ard 0. Been , Agricultural Economist in the Bureau , The Publication ,
Agricultural Information Bulletin No. 4 , summarizes farm - to - retail price
spreads and marketing charges by months for the period 1943-49 and as
unweighted annual averages of monthly data for earlier years .
Selling More And Better Produce
By Robert J. Andrews
Bigger sales and less spoilage of fresh fruits and vegetables are
the chief results of a national retailer training program started a lit
tle more than two years ago in Amarillo , Texas . The practical classes
are conducted under the Research and Marketing Act of 1946 .
When MARKET ING ACTIVITIES first reported on the program in an ar
tiole entitled "Training Courses Aid Food Retailers " ( Ootober 1948 ) ,
more than 600 classes had been conducted in 41 cities in 18 States , and
6,100 retailers and employees had been trained . Now , a year later , more
than 14,000 persons throughout the country have taken the training in
The classes are small and informal , and after the instructor has given his demon -
stration , each trainee learns by doing the special practices himself.
produce retailing, and more olasses are being formed right along in an
inoreasing number of cities .
Even more impressive than the extent of partioipation are the fig
ur 98 showing that out of 1,881 retail stores turning in results of the
December 1949 23
program , more than 95 per cent have reported that sales were up and
spoilage down , That means better business for both me rohant and farmer .
An odd faotor in this highly effeotive program is that there is

it ,. Good ways of handling and merchandising
in it
little or nothing new in
produce have been known for years to some of the big grooery chains and
also to some independents . But , for various reasons , the know - how just
failed to spread through the Nation's food retailing system ,
Too many grocers have had a habit of dumping everything from green
peas to hubbard squash on the display rack , pretty much helter-skelter ,
and leaving them there until they were sold or had deteriorated to such
an extent that they had to be thrown out . At long last, something has
been done about it in a big way .
New Techniques Practiced in Classes

Across the Nation classes are being conducted by the United Mer
chandising Institute of the United Fresh Fruit and vegetable Association ,
working under contraot with the Department of Agrioulture through the
Fruit and Vegetable Branch of PMA . Retailers and their employees are
given an intensive one - day course in trimming, preparing , displaying ,
storing , and merchandising fruits and vegetables , and also some instruo
tion in buying , prio ing , and reoord keeping .
2002 2000 00 00 00
Fruits and vegetables are arranged to take full advantage of natural color con
trasts so that they look even better than "just good enough to eat ".
But this is no more leo ture course , Classes are restricted to a
small number of trainees , usually 12 or fower , and every trainee actually
handles produce , trims it , and helps to build attractive displays and to
store the " left -overs " properly so as to keep them in good condition over
night . All of the trainees leam by doing .
Proper trimming , display and storage are three of the key points in
the instruotion . The results are obvious --certainly to the customers ,
who find on the store racks fresh , attractive fruits and vegetables ,
arranged to take full advantage of the natural color contrasts and look
ing even better than just " good enough to eat" . Experience has proved
that this attractiveness in the display leads oustomers to buy more than
they did before the improvements were made .
And this attractive appearance is not deceptive , either ; for proper
handling and care results in maintaining high quality in the produce
played ,
Reasons for the improved sales and lowered spoilage rates are not
hard to find in the reports that trainees have sent to PMA . The reports
show a high degree of acceptance and applioation of the improved methods
of merchandising that were taught,
Eleven Points Highlighted

The subjeot matter of the instruotion was classified into il prao
tions , and retailer trainees were asked by PMA to report on their actual
adaption of the practices taught .
The ll points are : 1 , trimming vegetables as taught in the school ;
2 , planning color contrast in displays ; 3 , watering the items that need
it while on display; 4 , using featured or "high- lite" items to inoroase
sal es ; 5 , using mass display techniques ; 6 , using " seleotive displays " ,
arranged so that the oustomer can select the fruit or vegetable she wants
without bruising or disarranging the rest ; 7 , using a short - out method
for rapidly computing selling prioes ; 8 , using recommended simplified
record -keeping forms ; 9 , prioe -marking all items; 10, making one person
in the store responsible for the produce department; ll , removing the
more per ishable items to a cooler or a produo e barrel at night ,
Of the retailers reporting who had not previously followed the prac
tices recommended, 98 percent adopted the trimming practions demonstrated ;
89 peront adopted color contrast in planned displays ; and 87 percent a
dopted the watering practice , Six other recommended practices wore
adopted by 60 to 75 percent , and only two practices were adopted by less
than 50 percent .
More than 400 umsolicited letters have been received from retailers
who took the training , nearly all of them telling of the effectiveness of
the course and stating that it has led to increased sales and decreased
spoilage of produce. A few very enthusiastic retailers commented that
their sales had risen as much as 50 to 100 percent over previous levels ,
and reductions in spoilage ranged as high as 80 percent.
December 1949 25
And the enthusiasm for improvement went farther even than applica
tion of the specific practices taught : More than 45 per cent of the re
tailers who reported said that they had improved or remodeled their pro
duce departments after taking the
training . The se 852 retailers did
everything from making minor im
provements to remodeling the entire
store .
Of those who reported making

improvements , 42 peroent said they
were installing new display racks
equipped with drains ; 1: 6 percent
remodeled their present raoks , and
8 poroent in stalled refrigerated
raoks . The other 33 percent me de
GREEN
misoellaneous improvements ; a few
remodeled the entire store ,
Many Want Enoores
Soores of retailers suggested

that the oourse be repeated each
year , both as a refresher for those
who had taken it before and for new
tra inees . This suggestion has been
adopted in several instanoes . Others
proposed that growers and shippers
be invited to attend the olasses
or that special ola sses be organ
ized for them , and some wanted the
courses lengthened with more points
included or more time devoted to Packing the fresh vegetables in the
each of the points in the present iced produce barrel is an essential for good
type of instruotion . overnight care .
Copies of a detailed report on the training program are available

from the Information Branch of PMA , Washington 25 , D. C.
* * *
FRESH PRUNE JUICE -- AFTER 25 YEARS
Drink a glass of prune juice to the food technologists of the Uni

versity of California ! They have worked 25 years to find a good way of
getting juice from fresh prunes , but the problem was as tough as the peo
tin , the substance responsible for the heavy consistency of fresh pruneso
This heavy texture made it almost impossible to obtain juice from
prunes by pressing . Only during the last three seasons the food tech
nologists found a way . They steamed and cooled the crushed or pulped
prunes and then treated them with a peotio enzyme that destroyed the
peotin . Fruits so treated give a good yield of red to deep pink juice
of rich , fresh prune flavor . The product is readily preserved by pas
teurization in oans or bottles , or by freezing .
Marketing Briefs
Dairy .--Indefinite postponement of the public hearing called for De
cember 12 , to consider a proposal for establishing a Federal order to
regulate the handling of milk in the Washington , D. C. , milk marketing
area was announced December 7 by USDA . Postponement until the latter
part of February was requested by the Maryland and Virginia Milk Pro
ducers Association , Inc. Because of uncertainties affecting this date ,
Depar tment officials stated that it was considered advisable to hold the
hearing subject to further call on at least 15 days notice . . December
6 , USDA announced its approval of proposed action to establish minimum
farm milk prices in the Nashville , Tenn . , milk marketing area at $4,80
per hundredweight for Class I milk and $4,30 per hundredweight for Class
II for the months of January through March 1950 . These prices would be
40 cents per hundredweight below the minimum prices effective through
December but could be somewhat higher than the minimum prioes which other
wise would be in effeot beginning in January , Department officials stated .
Before the proposed minimums can go into effeot , they must be approved
by two - thirds of the dairy farmers regularly supplying the Nashville
markete
A new long -range method of fixing minimum prioes to be paid to farm

ers supplying the New York market for that part of their milk classified
as Class I - A (primarily fluid milk ) , was recommended by USDA December 16 .
The new method is designed to cause the Class I - A price to change auto
matioally in response to changes in economio conditions which affect the
market supply and demand for milk in New York , Under the recommended
method , a base price would be adjusted by ( 1 ) changes in the general
level of all prices , ( 2 ) changes in market supply and demand , and ( 3 ) a
schedule of seasonal changes designed to encourage more even seasonal
production of milk . The new pricing method would become a part of the
Federal milk marketing order regulating the handling of milk in the New
York metropolitan marketing area ( Order No. 27 ) .
Fruits and Vegetables .-- The Secretary of Agriculture December 6 ap
proved proposed amendments to the Idaho - Malheur County , Oregon , potato
marketing agreement and order and also directed that a referendum be
held among potato growers in that area to determine if they favor or ap
prove issuance of the amended order . Under the amendments the adminis
tration of the marketing agreement and order will be , as it has been in
the past , in the hands of an 8 -member committee -- 5 growers and 3 handlers .
They can recommend not only that potato shipments may be regulated by
grade , size , and quality of any or all varieties of table stook , for any
or all portions of the produotion area , during any part of the season ,
as now , but also , similar or different regulations for exports, for seed ,
December 1949 27
for manufacturing , or for livestock feedo In addition , the committee
may recommend that potato shipments must comply with certain me turity
requirements similar to those whioh were in effeot this past fall from
mid - September to the first of November . November 25 , USDA announced
a purchase of 240 tons of size 50/60 dried prunes at $ 207.00 per ton .
All purchases were made from processors in Oregon and were conditioned
upon payments to producers of 7 1/2 cents per pound, basis . Distribu
tion will be made to the school lunoh program and other eligible out
lets , probably during January and February 1950 .
Grain . --Small export allocations for the 1949-50 crop season of
certain grass and oover crop seeds to meet current needs of areas de
pendent on U. S. supplies were announced December 5 . The kinds and the
amounts were as follows : Red clover , 250,000 lbs .; crimson clover , 100 ,
000 ; hairy vetch , 250,000 ; common vetch , 250,000 ; purple vetoh , 200,000 ,
and Austrian winter peas , 500,000 . These allocations are in addition to
a previous 1949-50 allocation of one million pounds of timothy seed which
was announced October 5 .
Livestock .--Meat sales increased in 46 out of 51 stores that con

verted their service meat departments to the prepackaged, self - service
method of merchandising , and oustomer reaction to the innovation was good
at all but 2 out of 97 self - service stores surveyed , according to a PMA
report . The study , made under authority of the Research and Marketing
Act , covered costs , packaging me thods and materials , merchandising prac
tioes , and some of the unsolved problems in selling meat on the self
service basis . The survey covered 65 chain and 32 independent stores in
80 cities in all sections of the country . Of the stores , 51 had con
verted from service to self -service , and the remainder had been self
service sinoe opening . Other factors than the shift to self - service may
have been partly responsible for the increased sales , notably the fact
that , in inking the change, the stores generally modernized their meat
departments . However , the volume of sales usually rose after the change
and then loveled off at materially greater totals than had been achieved
on the service basis ; and the number of stores having self - service meat
departments rose from about 400 in operation at the time of study to
about 1,200 in less than a year .
Poultry .-- As of December 9 , USDA has been offering for sale to do

me stio outlets , holdings of approximately 725,000 pounds of 1949 -orop
turkeys purohased for price support purposes since August 1 . The frozen
and New York dressed turkeys are being sold f.oob . the ir present loca
tion , in carload lots as purchased , on an offer and acceptance basis .
The Government - owned turkeys are being offered to domestic buyers be
cause a large part of the 725,000 pounds purchased for price support so
far this year represent tur keys of the smaller sizes . Prices of such
tur keys have advanced recently to levels somewhat above support prioes .
Since this advance indicates that such turkeys may be in relatively
short supply , USDA is making its stocks of these birds available to con
sumers . The turkeys available are frozen New York dressed hens and toms
in lots containing at least 70 percent U. S. Grade A quality with the
remainder of V. S. Grade B quality . .. On December 5 , USDA amended the
1949 turkey price support program to permit producers or their agents or
cooperative organizations to sell turkeys which were processed between
Augus l and December 31 , 1949, to the Commodity Credit Corporation during
t
the month of July 1950 . This action is being taken in response to re
requests from producers that they be permitted to offer any unsold 1949
crop turkeys to ccc in July 1950. The change will give producers and co
operative or ganizations opportunity to store tur keys before January 1 ,
1950. If the turkeys are not sold in commeroial channels before July 1
the produoers or cooperative organizations may offer them to the Govern
ment and obtain prices for the dressed birds reflecting the support level
for live birds which prevailed for the August 1 through December 31
period the 1949 marketing season .
Sugar .--November 23 , USDA announced that the total amount of the
current sugar quota for Cuba for 1949 has been entered or certified for
entry into the continental United States . Certification was granted on
the final cargo on November 23 , 1949 . A small additional quantity may
be permitted entry if remaining cargoes out turn less than certified
weights . of the total quota of 3,092,976 short tons , raw value , approx
ima tely 369,000 short tons , raw value , were charged as direct -consumption
sugar within the statutory limitation of 375,000 tons for this purpose .
The balance was charged as raw sugar for further processing .
Tobacco.-- The average loan rates , and schedules of rates by grades ,
for ccc loans on 1949 crop Wisconsin tobacco (used principally as cigar
binder and scrap chewing ) , Types 54 and 55 , were announced December 2 by
USDA . Loans will be available to grower's on a grade basis at an average
level of 19,8 cents per pound for Southern Wisconsin tobaoco ( Type 54 )
and 25,7 cents per pound for Northern Wisconsin tobacco ( Type 55 ) . These
average prices are 90 percent of the parity prices for these kinds of
to bacco as of September 15 , 1949 , The average rates for the 1948 crop
were 20.8 cents per pound for Type 54 and 27.0 cents per pound for Type
55. A total of around 2,000,000 pounds of Type 54 and 3,000,000 pounds
Type 55 of the 1948 crop was pledged for loan . Over half of these loan
stocks have been sold for producers ' accounts .
NEWELL TO HEAD
CROP REPORTING BOARD
S , R. Newell , Deputy Assistant Administrator for Marketing , PMA , be

came Chairman of the Crop Reporting Board January 3 . Newell succeeded
W. F. Callander , who retired December 31 after 45 years of Government
service .
Mr. Newell , in PMA , had general responsibility for marketing service

and regulatory activities , including cooperative work with the States
under the Research and Marketing Act .
Roy W. Lennartson , formerly Assistant Director of PMA'S Poultry

Branch , was named to succeed Newell .
December 1949 29
ABOUT MARKETING
The following addresses , statements, and publioations, issued ro

cently , may be obtained upon request . To order , cheok on this page the
publications desired , detach and mail to the Produo tion and Marketing
Administration , U. S. Department of Agrioulture , Washington 25 , D. C.
Dairying Can Lead , a talk by Secretary of Agriculture Charles F.

Brannan at annual convention of National Cooperative Milk Producers '
Federation , New York City , Nov. 8 , 1949. 8 pp . ( Processed )
To Light Other Lamps , a talk by Secretary of Agriculture Charles F.
Brannan at annual meeting of the Association of Land - Grant Colleges and
Universities , Kansas City , Mo., Oct. 26 , 1949 . 13 pp . ( Processed )
The High Cost of Error , a talk by Secretary of Agriculture Charles
F. Brannan at the annual convention of National Grange , Sacramento, Calif . ,
Nov. 19 , 1949 . 12 PP . ( Processed )
The Present Status of Farm Price - Support Policies , an address by
Ralph S. Trigg , Administrator , Produotion and Marketing Administration ,
and President , Commodity Credit Corporation , U. S. Dept. of Agrioulture ,
before the Western Political Science Association , Albuquerque , N. Mo ,
Nov. 26 , 1949. ll pp . ( Processed )
The Livestook and Wool Situation , an address by H. E. Reed , Direo

tor , Livestock Branch , before the 89th Annual Convention , California
Wool Growers Assn . , San Francisco , Calif . , Nov. 17 , 1949, 6 ppo (Proo
essed )
The Flaxseed Outlook for 1950 , an address by George L. Prichard ,
Director , Fats and Oils Branoh , at Annual Meeting of the Flex Institute
of the United States , Minneapolis , Minn . , Nov. 4 , 1949 . 7 pp. ( Processed)
Some Economio Aspeots of the Livestook Industry , an address by
Charles A. Burmeister , Agrioultural Economist , Livestook Branoh , PMA , at
Florida State Conference of County PMA Committeemen , Seoretaries , and Ad
ministrative Officers , West Palm Beach , Florida , Nov. 8 , 1949 . 8 pp .
( Processed )
Publications :
Price - Support Levels , Agricultural Act of 1949 , PMA . October 31 ,

1949 . 1 p . ( Printed )
Tomorrow's Food , PMA . July 1949 , PA - 72 Folder ( Printed )
The Direct Distribution of Food. (PMA ) PA - 77 , 4 pp . (Printed )
Storage of Dry Shelled Corn in Farm - Type Bins. USDA Ciroular 826 ,
August 1949 , 36 pp . ( Printed )
Wheat Price - Support Loan Operations , 1938-1948 . ( PMA ) 11 pp .
( Proo essed )
Cotton Testing Service. ( PMA) Revised Oct. 1949. 29 pp . (Processed )
Relation of Six Elements of Cotton Quality to Strength of 228 Yarn
(Regular Draft ) , by Crop Year , Variety and Staple Length . (PMA ) Prelim
inary report . Ootober 1949 . 61 pp . ( Processed )
Marketing of cotton in Producers' Local Markets . ( PMA ) September
1949 . 95 pp. ( Processed )
The National School Lunch Program , 1948-49 . ( PMA) November 1949 .
6 pp . (Processed)
School Lunch Recipe so.. using Cheese . ( PMA ) November 1949 . 10 pp .
( Processed )
World Flaxseed Situation 1949. Foreign Agriculture Report No. 41 ,
September 1949 , 17 pp . ( Processed )
The Whole sale Markets for Fruits , Vegetables , Poultry , and Eggs in
Greater Little Rook , Ark , University of Arkansas , Arkansas Resources
and Development Commission and USDA . June 1949 . 64 pp . ( Processed )
Regulations Governing the Grading and Inspe otion of Poultry and Do

me stio Rabbits and Edible Products There of and United States Specifica
tions for Classes , Standards , and Grades : With Respect Thereto . (PMA )
Effective Jan. 1 , 1950 , 19 pp . ( Printed )
U. S. Standards for Grapefruit , Effective November 15 , 1949. ( PMA )

13 pp . (Processed )
U. S. Standards for Fresh Tomatoes . Effective Dec. 5 , 1949. (PMA )
8 pp . (Processed )
U. S. Consumer Standards for Fresh Carrots . Effeotive Dec. 10,1949,
(PMA ) 4 pp . ( Processed )
Regulations of the Seoretary of Agriculture Under the United States
Cotton Standards Act . SRA - PMA 153 . 26 ppo (Printed )
you desire. --Editor . )
NAME
ADDRESS
CITY ZONE STATE
December 1949 31
January 1950
MARKETING
al
1950
Alla
ka
ACTIVITIES
1717
IN
P
DE )
Washington 25, D.C.
IN THIS IS SUE :
PREPACKAGED MEAT SELLS ITSELF

By A. T. Edinger .
... .. . Page 3
Prepackaged meat has a way with cor ners . Some people miss the
butcher's friendly chatter , but they like the convenience of pre -wrapped ,
pre -weighed , and pre - priced cuts ,
UN CLE SAM " SHOPS " YOUR POTATOES
By Anne Carter ..... Page 7
paw over all the potatoes in the bin to find the size that
Don't
suits your purpose . Just pick up the bag marked "U. S. Grade A"-- end
look for the size designation .
MEAT GRADING -- CUSTOM - MADE

By George H. Wahl .... .... . Page 10
Whether you're biting into a hamburger in the county jail or carving

a porterhouse on the Queen Mary there's better than a 50-50 chance that
you're eating " oustom - graded " meat ,
SELL FRUIT WHERE IT ISN'T
By Arthur E. Browne Page 13
A man with a lot of fruit to sell ought to be looking for places

where it's A PMA report soon to be released ,
soarce . shows that some
good markets have been overlooked .
ABOUT MARKETING . . . Page 19

Produotion and Marketing Admin , permission .
Prepackaged Meat Sells Itself
By A. T. Edinger
l.leat is its own best salesman . Package it in transparent wrappers ,

preweigh it , preprice it --and it will sell itself . All the evidence in
dicates that the retailing of pre packaged meat is here to stay .
A year or so ago , only about 400 retail food stores sold all pre
packaged meats . Now it is estimated that about 1500 stores have in
stalled self -service display cases for both fresh and cured meats . In
) MEATS ROASIS
PEALERTSWE
EE WHAT
ON EAU MAKSASE
TTENDANT
No waiting was high on the list of reasons why consumers like prepackaged meats . They
report better selections too , and the unhurried chance to buy within their budget . Only
a few comment that they prefer to see meat cut before they buy .
January 1950 3
dications are that nearly all the stores that have shifted from service
to self - service have inoreased their sales , and the majority of shoppers
who have expressed an opinion like the new way of buying .
Those co nolusions are based on a study made by the Production and

Marketing Administration , U. S. Department of Agrioulture , last year ,
together with estimates of later trends . PMA has taken a good long look
at about one- four th of the stores that have gone fully self - service on
meats, and has found many interesting things to report-- to both the trade
and the consumer . The report " RETAILING PREPACKAGED MEATS , " was prepared
and released by the Marketing Research Branch of PMA , working under au
thority of the Research and Marketing Acto
The 97 stores surveyed in the were widely dispersed in 80
study
cities in 27 States and the District of Columbia , For most of the stores ,
prepackaging was a new venture -- 88 self - service systems were less than 2
years old and 61 of these were less than 1 year old . Thirty - two were
independently owned and 65 were owned by 34 chain -store companies , Of
the 97 stores , all but 4 sold 95 to 100 percent of their meat and meat
products by the self - service method .
Self - Service Boosted Sales
Meat sales in 91 of the 97 stores climbed after the prepackaging and

self - servicesystem was installed . Of the remainder , 4 reported no
change in sales and 2 reported declines . The overwhelming number of
stores turning in favorable reports came up with long lists of reasons
why their oustomers like the new service . Full , attractive displays of
appealing packages; no waiting in line ; ease of determining prices ; and
the diversity and accessibility of different sized packages were offered
as prominent reasons for favoring meat prepaokaging . Of the total number
reporting , 67 stores stated that their oustomers reacted enthusiastically
to their self - service departments while 28 reported that the reception
were moderately enthusiastic .
Consumers , too , have much to say in favor of self - service meat de
partments "No waiting , " " better seleotions ," " buying within the house
hold budget ," " know what they are buying , " "may take their time , " " pur
chase cheaper outs without embarrassment" and " no arguments with the
butcher " are first - ranking favorable evidence .
Friendly Butchers Missed

Unſ avorable comments were broadly scattered except for one which
does credit to meat retailers . Twenty - two of the stores reported that
customers "missed personal contact" in the self - service merchandising
Considerably less frequent were complaints that shoppers "preferred to
see meat cut , " and some were " suspicious of meat in filmo "
The overwhelming welcome for prepackaging on the part of both the
customers and the retailers did not mean , however , that all the problems
were solved . In spite of the suocesses achieved in the new type of mer
chandising , store managers reported a total of about 50 different prob
lems still confronting them in operating their self - service meat de
partments , Most of these fell into three general categories : Discolor
ation , packaging techniques , and labor efficiency . While the solution
of some of these problems must depend upon research , many of them are
sure to be olarified by the broad experiences summarized in the study .
Some light is thrown on the problem of labor efficiency , for exam
ple , in the summary of the Report , As the sales volume of stores in
creased, the number of pounds of meat handled per man -hour by all labor
( skilled and unskilled ) increased : 17 pounds per man -hour in stores with
a weekly sales volume of $ 2,000 and under , as compared with 29 pounds
per man -hour in stores with a volume of over $ 10,000 ,
Sales Volume and Labor Costs
Total labor costs of all self - service departments averaged 4,5 cents
per pound of meat handled , and 5.2 cents per package. Stores in the two
smallest volume groups --$2,000 and under , and from $2,001 to 4,000 --ex
ceeded these average labor costs per pound and per package primarily be
cause of their high costs for skilled labor . The unskilled labor costs
in these two groups of stores either were below or equaled the average
for all stores . This indi
cates that outters were per
forming some of the unskilled
tasks , such as wrapping and
sealing As the volume in
oreased the number of hours
of unskilled labor mounted
more rapidly than skilled ,
reflecting a more efficient
utilization of skilled labor .
Stores with a weekly

salés volume of more than
$ 10,000 had an average of 76
linear feet of refrigerated
display cases , and average
for length of display cases
and four times the sales are
erage per linear foot , for
stores with a sales volume
of $ 2,000 and less per week ,
Because discoloration
is a major factor in deter
Packaging is more than simpiy wrapping in
mining salability of prepack transparent film . The form as well as the color
aged meats , it has been given and bloom of the meat must be maintained for
considerable attention in the proper " shelf life . "
study . Three - fourths of the retailers reported that fresh beef , veal ,
pork and lamb remained in an acceptable condition in display cases for
48 to 72 hours . The majority of these reported 48 hours as the maximum .
01
January 1950
Prino ipal outs on which shelf life was a problem were beef steaks , beef
roasts , sliced ham , luncheon meats , cold outs , lamb , and veal . The im
portance of color in retailing meat was brought out by the fact that
only 5 of the 97 retailers stated their oustomers were indifferent to
color and bloom
All stores had adopted measures to prevent discoloration before

wrapping . Among these were : ( 1 ) Plattering before wrapping (meat cuts
were placed on trays for a short time to allow the free fluids to drain
from outs before wrapping ) ; ( 2 ) using oxygenic paper ( sheets of oxygenio
paper were placed over and under the freshly out unwrapped meat outs to
aid in maintaining color and to absorb some of the free liquids ); and
( 3 ) allowing for a blooming period (freshly out meats achieve their best
color between 15 and 30 minutes after cutting ) . Ninety of the 97 stores
had adopted measures to prevent discoloration after wrapping . Those
most frequently reported were : ( 1 ) Turning packages face down ; ( 2 ) keep
ing meat well refrigerated; and ( 3 ) placing packages on display as needed .
Handling by the customer was the principal cause for rewrapping
packages . Items on which rewrapping exceeded the average were beef roasts ,
beef steaks , and pork roasts .
Pilfering was a problem in 33 stores . Of these , 14 did not know to

what extent it occurred , and 16 believed it did not exceed 1 percent of
sales . Thirteen found label switching by customers to be a problem,
Their ohief concern in this instance was for the customers who received
mislabeled packages .
The relative importance of these problems may change as this method

of meat me rohandising grows . As consumer acceptance broadens and the
number of self - service departments increases , and retailers gain more ex
perience , another survey would show more clearly the operational pattern
the departments will eventually develop . Economies of operation that
might be revealed would be of value to the entire meat retailing indus
try and to the consumer .
* * *
FROZEN TOMATO JUICE
PRESERVES RAW FRUIT FLAVOR
Tomato juice may be frozen and stored for future use , but no really
satisfactory way to freeze tomatoes has yet been devised , says Dr. Frank
A. Loe , food chemist at the Experiment Station at Geneva , New York .
"The chief difference between frozen tomato juice and the canned
variety is that the former has a flavor resembling raw tomatoes ," states
Doctor Lee . "Many people have become accustomed to the cooked flavor of
canned tomato juice , and for that reason it may be well to try out the
frozen product on a small scale at first . "
Frozen tomato juice is prepared by washing well -ripened toma toes ,
removing stems and green spots , and outting the tomatoes into sixths .
The out tomatoes are allowed to simmer for five minutos and then the
juice is strained off , salted and then cooled rapidly and frozen .
66
Uncle Sam "Shops. Your Potatoes
By Anne Carter
Potatoes of all sizes can be used th ough some sizes are better for
some purposes than others , Most modern homemakers , however , do not care
to be potato pickers and graders in order to select potatoes suitable to
their particular cooking needs . For that reason they'll welcome a 10
pound bag of smooth , fine quality potatoes of more uniform size .
Maine Introduces New Pack
Such a package is now on the market . It is marked U. S. Grade A

Ile dium - to -Large -- a con su mer grade established by the U. S. Department of
Agriculture and now for the first time being used by several shippers in
Maine . Wherever these potatoes are available , shoppers will need only
to check the bag for the words " U. S. Grade A " followed by the size in
dication .
U.S. Grade A Med. to Large 10 lbs. Net

STATE OFMAINE
AF ( AF
AF AF
POTATOES
CARIBOU, MAINE
Careful selection by the most particular homemaker wouldn't result in more evenly
sized potatoes than these . Several Mai ne shippers are the first to market U. S. Grade A
Medium - to - Large potatoes . This typical 10 - pound mesh - windowed bag af fords good protec
tion and means that potatoes don't have to be handled to be seen .
January 1950 7
U.S. Grade A Medium - to
Large means the potatoes in
the bag may be from 2 1/2 to
4 inches in diameter . Most
of the bags have a mesh win
dow in the front of the bag
STRE
which means the potatoes don't
have to be handled to be seen .
Other grades are : U. S.
Grade A Small, 1 1/2 to 2 1/4 B010
inches ; U. S. Grade A Medi

um , 2 1/4 to 3 inches , and
U. S. Grade A Large , 3 to 4
inohes .
O2 WIT
An indication that even

more uniformity in potato
sizing may become more widely
available is found in the
fact that one large retailing
concern is insis ting on a 10
pound pack within a 2 1/2 to
3 1/2 inch range . As the
idea catches on and consumer
willingness to pay a small
premium for uniformity be With the new consumer grades, shoppers don't
comes evident , more and more have to be potato pickers and graders as well in
order to get the proper size and quality .
potatoes should be reaching
the stores in the strioter U. S. Consumer Grades .
Provisions for the new potato packs are based on U. S. Consumer

standards for potatoes established about two years ago . This is the
first season , however , in whioh potatoes so sized and seleoted have made
their appearance .
Fewer Off - grade Potatoes Allowed

The U. S. Grade A allows for fewer defects than U. S. No. 1 Grade-
not more than 5 percent by weight may fall below the requirements set
for the grade , including not more than 1 percent for potatoes affected
by soft rot or wet breakdown .
U. S. Grade B potatoes are divided into the same size groups as

Grade A's but Grade B allows for a higher percentage of defects .
Wholesalers have used the grade U. S. No. 1 for many years and
shoppers may find consumer - sized bags so marked . These are good potatoes
but the U. S. Grade A's must meet a higher standard of quality , size and
cleanliness . Their uniform quality means low waste , and time saved in
preparation . Every housewife knows there is no economy in paying less
for an inferior pro duct .
So far , consumer - graded potatoes on the market are of the round or

intermediate shaped varieties , but there are standards for the long re
rieties too . Growers can use these grades , or not , as they see fit , for ,
like all other U. S. Department of Agriculture grades , they are volun
tary . When their use become a general , it will be a simple matter for
shoppers to select potatoes of the size and grade they want,
MARKET SHELF LIFE OF VEGETABLES

INCREASED BY COOLNESS AND MOISTURE
Give them the cold , moist treatment and the shelf life of fresh veg
etables may be tripled say USDA plant scientists testing coolness and
mois ture effects on fresh vegetables . In a recent Research and Marketing
project eleven different fresh vegetables were tested on four pieces of
equipment of the type used in markets with a small to medium volume of
business .
The equipment included a sloping ice bed rack and three horizontal
trays , each of which was used differently. On one the produce was gar
nished with a cover of snow ice ; another was equipped with a drain and
sprinkled at frequent intervals ; while the third was used as a dry rack
control display .
In nearly all cases the ice bed kept the vegetables fresher , greener ,
and orisper than the other displays during the four -day display period .
The low tempe ra ture --usually around 45 ° F .--held diseases to a minimum .
The moisture was sufficient for the vegetables to maintain or to gain
weight . Most vegetables tested on this raok were in good condition at
the end of four days .
The rack garnished with ice maintained low temperature during the
day --usually about 58 ° F .--but as the ice melted the temperature rose
enough at night to allow the development of disease . The supply of mois
ture usually resulted in the commodity gaining weight .
Commodities held on the sprinkled raok during the day and held at
40° F , at night were in good condition longer than those on the dry raok ,
Most produce readily absorbed the moisture and gained in weight . Warm
temperatures during the day -- around 73 ° F. in the afternoon -- favored the
development of disease and advanced aging in many commodities .
Tho vegetables on the dry raok remained in good condition only a
relatively short time , a day in most cases as compared with four days for
those on the ice raok . At room temperature , there was excessive deoay
in many commodities along with severe wi thering and loss in weight.
Radishes , green onions, beets , beans , and peas appeared to be bene

fited much more by cool moist conditions than were eggplant , oucumbers ,
and squa sh . Eggplant was the only vegetable tested that rema in ed about
the same on all four types of display racks during the four -day holding
period ,
9
January 1950
Meat Grading - Custom -made
By George H. Wahl
How would you like to buy pork chops for 4007 Or ground beef for
400,000 ?
If you've ever had trouble picking out a roast for the family you'll
appreciate the problem faced by meat buyers for hospitals , schools , re
stores , steamship lines or whatever it is that has an ultra
multiple appetite . You'll know , too , why dietitians and food purchasing
agents have welcomed a grading service which seleots foods that meet me
ticulous specifications, whether they stipulate fatless roasts for bland
hospital diets or tender , juicy outs for small children ,
For more than two decades the Federal Grading Service of the Live
stock Branch has simplified this perplexing task for over 400 institu
tional buyers who must make large scale purchases of meat of a stipulated
quality or grade . The service has been specially designed to eliminate
the bewilderment and confusion of large order meat buying .
Forerunner of Grading Program
It all started in 1923 as a special service to the United States

Steamship Lines, and as such it caught on and became the forerunner of
the present non - compulsory and self -supporting Federal meat grading pro
gram whioh benefits all who make
use of it . Charges are nominal-
$ 3.00 per hour for the time con ACCEPTED
sumed in performing the service -- FOR
end are borne by the applicant . GRADE AND SELECTION
Institutional buyers utilize the AS SPECIFIED
service because it usually results
in savings sinoe many of them have U.S. DEPARTMENT
neither the time nor the technical OF AGRICULTURE
knowledge to secure exact grade or
full value for every moat dollar .
This special grading service

is an important part of the " regu
lar" Federal meat grading program The acceptance stamp is the
but it differs in that it is
essentia l link in the program .
" custom - made " -- that is , meats are selected, graded and labeled by the
grader to meet specifications previously determined by the purchaser ,.
Actually , the rules are very simple .
Under the regulations outlined for the service the puruhasing agency
contracts with meat wholesalers who provide and deliver meats graded ,
selected and accepted by Federal meat graders , The essential link in the
operation is the special acceptance stamp of the purchasing institution .
Only cuts or packages of meat which carry
this distinctive personalized label may be
accepted at the supply rooms or kitchens of ACCEPTED FOR
the receiving agencies . Thus it is very GEORGETOWN UNIVERSITY
important that all receiving personnel be ORADE AND SELECTION
able to identify their puroha ses by the AS
thouse " label . Local grading offices are SPECIFIED
at the service of the institutions and should U. S. D. A.
be notified immedia toly if produots appear
to be in noncompliano e with the specifice
tions . " House " labels identify
institutional purchases .
Queen lary a Customer
This method of grading and identification has worked very well in

practice . The distinctive acceptance stamp or label appears on deliver
ies varying in size from a few dozen pounds a week for a child day care
center to the thousands of pounds taken a board with each New York visit
of the Queen Mary ,
States Represent Many Institutions

In most cases those requesting this type of service are individual
institutions , though 21 States utilize the service and thus automatically
utilize the program in all their many institutions, schools , hospitals ,
and agencies .
Specifically, the service includes selection for kind , class , grade ,

condition , weight ranges and averages , and trimo This may include the
certifioation of weights and selection of cuts within weight ranges , as
well as correct pao kaging and marketing of the product .
follows :
For example , specifications for ground meat may read as
" Shall be prepared from Choice , Good or Commercial
stoer flanks , bone less navels , boneless · briskets ,
and boneless cow chucks , Watery cow meat may not be
used . Shall contain not to exceed 25 pe roent fat by
quantitative analysis of 20 percent trimmable fat ;
shall be relatively free of connective tissue and
prepared in packages not to exceed 10 pounds ,"
More exacting stipulations for chuck roasts may specify as follows :

" Shall consist of boned , rolled , and tied chuck roll-
that part of the square cut chuck above the heavy seam
of fat connecting principal muscles of the chuck at the
shank edge , for which excess interal fat has been re
moved . U. S. Choice , U. S. Good , or U. S. Commercial .
State separately prices for each grade . "
January 1950 11
Advisory Sorvice Included
In addition to performing the selecting , grading and marking for

acceptance , the Federal Service is prepared and willing to help purchasing
agents formulate specifications which meet their particular needs ,
Though this specialized grading service began in the early 20's it

was not until 1927 that the service broadened into the official U. S.
grading program . This welcome development was sponsored in a large part
by the Better Beef Association which was interested in promoting the sale
of high - grade beef . At that time a system was devised for identifying
Prime and Choice grades of steer
stoer and heifer beef by a grade stamp that
could be recognized by retailers and consumers , and simultaneously the
grading and ribbon stamping of beef was initiated ,
Since 1927 this service has been conducted in cooperation with the
National Livestock and Meat Board . In 1928 meat grading was placed on a
regular service basis and has been made available upon request to anyone
desiring grading of beef in which they were financially interestedo
Strong Ally to Dietitians
As early as 1935 the public school systems in Cleveland and other

progressive cities had adopted specifications for meats and other food
products designed to meet their own particular needs and in effect were
using the Federal meat grading service as their assistant purchasing
agents in obtaining the exact kind of food products desired, To dieti
tians of hotels , hospitals , steamship lines and schools --precise speci
fications are nearly as important from an economic aspect as they are
from the standpoint of good health and good food .
Because of the complexities involved in meat buying during the war ,
hospitals and other institutions, including school lunch programs were
obliged to follow individual procedures in securing supplies -- often with
out strict regard to uniformity or even desirability. Consequently there
was little expansion of the service during that period .
With the return of a buyers ' market , consumers everywhere and par
ti ou larly institutional management , are intent on obtaining desired
grades and qualities , with assurance that they are getting products to
suit their needs without the necessity of taking substitutes . Inquiries
pertaining to any phase of the service should be directed to the United
States Department of Agriculture , Production and Marketing Administration ,
Livestock Branch , Standardization and Grading Division , Washington 25 ,D.C.
* * *
KNOW YOUR BUTTER GRADES
The shield shaped emblem of the Federal butter grading service means
that the package stamped is filled with quality butter , tasted and tested
for you by expert Government graders . The various grade emblems and
their significance are clarified by a leaflet " Know Your Butter Grades "
( L-264 ) available now from the Production and Marketing Administration ,
USDA , Washington 25 , D. C.
Sell Fruit Where It Isn't
By Arthur E. Browne
That term "buyer's market, " seen more frequently these days, should
be an unmistakable cue to handlers and processors of fruit to search out
all potential markets . Particularly the search should be for those areas
where products are not generally available to consumers .
An overall picture of fruit availability -- or the lack of it-- in the
Nation's retail food stores has been presented in a series of Produotion
and Marketing Administration reports financed with Research and Market
ing Act funds . Beginning with the November 1949 survey , oitrus and dried
fruit industry groups have been helping finance this work . The Fruit and
Vegetable Branch of PMA has arranged , by contract , for collection of the
information by a private research agency , and is soon to release a re
port , " Availability of Certain Fresh Fruits , Canned Fruits , Camed Juices
and Dried Fruits in Retail Stores , November 1949 , " the third in a series .
The first two cover availability in October 1948 , and April and August
of 1949 . The third compares these data with availability figures for
November 1949 .
Figures Showing Low Availability

Should Be Lead to Greater Sales
For the Nation as a whole , the reports show the percentages of food
stores that handle each of the major fresh fruits , dried fruits , canned
fruits and juices . This information is obtained from a representative
national sample of about 1800 stores classified by region , by type of
store mana gement ( chain or independent ) , by size of store , and by size
of city . Conversely , in each tabulation the data in dicate the propor
tions of stores that do not handle these produots .
Thus the tabulations provide a view of important elements in the

retailing of fruits on a comparative basis as between stores of different
sizes , between chain stores and independents , between different regions ,
and between cities of different sizes , In addition to the regional fig
ures , data are given separately for New York City and Chicago ,
With regard to fresh fruits , the studies indicate that many excellent
outlets are not being fully exploited . Right at the peak of the market
ing season in August 1949 only 32 per cent of all retail food outlets had
plums available for consumers . During the same period grapes were avail
able in but 37 percent of the Nation's retail outlets , while peaches were
available in only 46 percent of the food stores surveyed , In November
1949 , a month when distribution of winter pears is well under way , only
32 percent of the Nation's food stores had them in stock,
Jen uary 1950 13

In general , the peroentages of retail stores handling fresh and
dried fruits and canned juices were lower in the Southern region than in
any other of the groups of States , although there were exceptions for
individual items . Southern stores maintained an average of 60 percent
availability for oranges during the four periods reported-- October 1948 ,
April , August and November 1949. By contrast , in the same periods ,
Northeastern stores averaged 76 percent ; North Central stores , 88 per
cent ; Mountain and Southwest , 77 percent ; and Pacifio , 88 percento
Yes , We Have No Dried Fruit
Dried fruit availability appeared low in many regions and periods .

Dried prunes were available , for example , in but 44 peroent of South
ern stores in November 1949. Dried apricots were stocked by only 28 per
cent of New York's stores surveyed in the same period . Eighty - eight per
cent of the Northeastern stores surveyed did not stook dried peaches in
the same month .
Frozen concentrated orange juice , canned orange juice , and tomato

juice --to cite examples of canned and frozen juices --generally were more
readily available in outlets of national chains than in either regional
chains or independent stores . By volume of store business those stores
handling an annual volume of $ 500,000 or over led in availability for
these three products . There is no clear- cut pa ttem for the se throo
juices in the analysis by oity size .
With respect to frozen concentrated orange juice , the surveys re

veal a phenomenal increase in availability from the first tabulation in
April 1949 , when slightly under 17 percent of the retail stores studied
had it available . In November of the same year this figure had nearly
doubled as over 31 percent of the stores had stocked the produot .
Audits of canned fruits , shown for two periods (April and November
1949 ), reflected less seasonal change in availability than most canned
juices . Absence of a tally on these products in August when stocks are
allowed to reach a seasonal low point prior to now pack shipments , how
over minimizes this comparison ,
Buying Practices Survey Underway
In addition to the retail availability report , another study summar

izing the buying practices of household consumers in the purchase of cit
rus fruits , dried fruits , and fruit juices is being undertaken by the U.S.
Department of Agriculture , This study will be an important follow - up to
the availability surveys . Its purpose is to furish producers , shippers ,
and processors of these fruits and fruit produots with information on
purchases at retail levels by a representative national sample of sev
eral thousand households .
The project also represents a new type of cooperation between this

industry and the Department , since the cost will be shared by the Depart
ment and citrus and dried fruit industries . The Department's funds are
fumished under authority of the Research and Marketing Act , while its
work on the project will be performed jointly by the Bureau of Agrioul
tural Economios and the Fruit and vegetable Branch of the Production and
Marketing Administration , The two reports--on availability and buying
practices -- should furnish the industry with double -barrelled information
essential to the efficient marketing of large volumes of fruits and fruit
products ,
USDA BUYS LARD UNDER ECA REQUISITIONS
Since December 28 , the U.S. Department of Agriculture has purchased

nearly 100 million pounds of lard under ECA requisitions for Germany and
Austria .
The first announcement was made December 14 for purchases of lard

for Germany . The major portion of this 42,354,524 pound purchase is now
on its way to Europe , These purchases were made at an average cost of
12.69 cents per pound delivered at ports ,
On January 12 , purchases of 29,582,200 pounds of lard were announced

for Austria under an ECA requisition . This quantity is now being shipped
and will continue to move to ports through the latter part of February .
The cost averaged about 12.18 cents per pound delivered at ports .
Additional purohases of approximately 24 million pounds were made
for Germany under a January 18 announcemento The cost of this latest
purchase ranged between 11.45 cents and 12.125 cents per pound delivered
at ports . Shipment will continue through the middle of March . At tho
same time this last purchase was announced , the Department invited bids
for additional quantities ( of prime steam lard only ) for Germany .
PARITY RATIO DOVN TO 98
According to the Bureau of Agricultural Economics , the ratio of

prices received by farmers to prices paid , including interest and taxes,
was down to 98 at mid - December . The ratio is below 100 for the first
time since November , 141. A 3-point drop from mid -November to mid - December
in the level of prices received and a 1 -point rise in the index of prices
paid account for the lower parity ratio . Prices received index in De
cember was at 236 compared with 239 in November and 268 in December 148 .
Prices paid, at 240 compares with 239 a month earlier and 246 a year
earlier . Farmers ' prices declined from November to December for poultry
and eggs , meat animals , ootton , truck and some other crops while grains
and hay brought somewhat higher prices . Farmers paid higher prices for
feed, clothing , building materials , and household operating items
This information has been reported in BAE's conoise monthly econom

io digest , the Statistical Surmary .
15
January 1950
Marketing Briefs
Dairy Products .--A program to support farm prices of manufacturing
milk and butterfat from January 1950 through March 1951 at national ev
erage prices of approximately $ 3,07 per hundredweight for manufacturing
milk of 3.95 percent butterfat ( yearly average test ) and approximately
60 cents per pound for butterfat was announced in late December by USDA .
The program will support the price of all milk and prices announced are
within the range specified by the Agricultural Act of 1949 which re
quires that farm prices of milk and butterfat be supported at levels be
tween 75 and 90 percent of parity. The support prices represent about
79 percent of the parity equivalent price for manufacturing milk , as
parity is estimated under the new parity formula ,
As a means of carrying out the support program , USDA will offer to
make carlot purchases of processed dairy products at the following prices ,
f.0.b. at any location in the United States : Cheddar cheese , U. S. Grade
A or higher , 31 % per lb .; butter , U. S. Grade A or higher , 60 % per lb .;
butter, U. S. Grade B , 58¢ per lb .; no.fat dry milk solids , spray type ,
U. S. extra , 12 1 , - per lb. ; nonfat dry milk solids , roller type , U. S.
extra , 10 1/24 per lb , and evaporated milk , $ 3.95 per case . . Minimum
farm price for Class I - A milk in the New York milk marketing area at
$ 4, 80 per hundredweight have been set for January and February , USDA
announced The prices were made effective in an amendment
December 27 .
to the Federal order regulating the handling of milk in the area follow
ing approval of a proposal for such action by more than two - thirds of
the dairy farmers regularly supplying the market.
Cotton . --In Late December , USDA announced that the effective date
for terminating purchases of cottonseed of the 1949 crop under the cur
rent emergenoy purchase program has been extended by the Commodity Cred
it Corporation to February 15 , 1950 . Extension was made because unprec
edented yields in certain areas have made it impossible to harvest and
gin the current cotton crop during the usual harvesting season . Har
vesting will not be completed in several states until well after Decem
ber 31 . Extend ing the purchase program will enable producers who are un
able to have their cotton ginned by that date to participate in the cot
tonseed purchase program ,
Grains.--Marketing quotas will not be required for 1950-crop rice

because the total supply of rice for the marketing year beginning August
1 , 1949 , is below the level at which marketing quotas would be called
for under controlling legislation . Secretary of Agriculture Charles 7 .
Brannan made the announcement December 30 and at the same time proclaimed
the national rice acreage allotment for 1950 production , as required by
the provisions of the Agricultural Adjustment Act of 1938 , as amended,
Compliance with individual producer allotments will be a condition for
price support, which is mandatory at 90 percent of the August 1 , 1950 ,
parity level . The national acreage allotment for 1950 is 1,593,112 acres .
While this represents a needed downward adjustment from the big plantings
of recent years , and will be 13.7 percent below the 1,845,000 acres
planted in 1949 , it is set at a level to provide abundant supplies . With
average yields , the 1950 allotment will produse 74,239,000 bushels . The
carryover of old rice at the end of the 1949-50 marketing year is esti
mated at 12,718,000 bushels --more than twice the carryover of August ,
1949 , about four times the average carryover for the 1945-49 period , .
January 16 , USDA annouoed that price support for 1950-orop dry edible
beans will be available to farmers who plant within aoreage allotments
to be announced by the Department at a later date . Dry beans grading
U. S. No. 2 or better will be eligible for support under the 1950 crop
program at levels which will refleot to farmers an average of $ 6.30 per
humdredweight on a thresher - run basis . This is approximatel 75 percent
of parity . Price support for 1949 -crop dry beans averaged yabout $ 6,65
per hundredweight on a thresher - run basis . Beans eligible for price
support in the 1960 program are the ola8888 : Pea , Medium White , Great
Northern , Small White , Flat Small White , Pink , Small Red , Pinto , Cran
berry , Red Kidney , Standard Lima and Baby Lima . . Produotion of 1949
.
orop hops in Oregon , Washington , Idaho , and California , as determined

wder the provisions of the marketing agreement and order regulating the
handling of hops grown in theso States , totaled 50,735,253 pounds , the
U. S , Department of Agrioulture announced January 9 .
Livestook . --USDA announced January 9 that revisions are being made
in the selling prioes of certain types and grades of wool in ourrent
stooks acquired by the Department under price support operations, The
revisions are made to bring USDA'S selling prices for both shorn and
pulled wool stooks in line with present market conditions , In general ,
prices for shorn wool acquired under the 1948 and 1949 programs will be
inoreased from 1 to 9 cents per pound depending on the type of wool .
Medium and lower grade shorn wool purchased under the 1947 program will
be reduoed 2 to 5 cents per pound and shom wool from the 1946 program
generally will be reduced 6 to 8 oents . These changes for shorn wool are
effective as of January 9. Revisions in the pulled wool schedules were
effective January 2 , when prioes for pulled wool were inoreased 3 to 5
cents per pound for a number of grades and types of wool purchased under
1947 to 1949 programs . Pulled wools aoquired in 1946 were reduoed 2 to
3 cents per pound .
Poultry.-- January 12 , USDA announo ed its initial purchases of 753,
630 pounds of dried whole eggs at 96 cents a pound , made under the pur
cha se program announo ed earlier for January and February in the surplus
produoing Midwest area . The program is designed to attain a national
annual average farm price for eggs of 37 cents a dozen under the 1960
pri oe support program announced December 21 , 1949 . All of the purchases
of dried eggs were made in the Midwest from driers who have certified
that they have paid producers an average of not less than 25 cents a
dozen (a minimum of 27 sents a dozen for eggs delivered by producers to
the plant ) for all of the edible shell eggs they bought. Offers under
the Midwest purchase program will continue to be received weekly on an
offer and acceptance basis .
17
January 1950
Potatoes. --Changes in the minimum and maximum sizes of potatoes
that may be shipped from the State of Maine were announced by USDA Jan
uary 16 . Under the new regulations , shipments of all varieties of pota
toes , other than Bliss Triumphs , must meet the requirements of the U.S.
No , I grade or better grade , and must be of sizes not less than 2 1/4
inches nor more than 3 3/4 inches in diameter . Shipments of Bliss Tri
umphs must be at least U. s . No. I grade and may not be below 1 7/8 inches
minimum diameter . A maximum size is not prescribed for this variety .
The new regulations , which were recommended by the State of Maine Potato
Committee operating under Federal Marketing Order No. 87 , become effec
tive January 23 , 1950 , and continue in effect through
through June 30 , 1950.
Potatoes shipped for certain purposes and to designated outlets continue
to be exempted under the new regulations. Exempted shipments include
those to export, to the Federal Government under the price support pro
gram for relief distribution , manufacturing purposes , livestouk feed,
and seed . Late in December USDA announced that despite prospects
for reduced purchases of surplus potatoes under the mandatory price sup
port program , it will continue throughout this marketing year to oon sider
offers far export of potatoes for food use as it has in past years ,
Since any potatoes available for export this marketing year will origi
nate principally in the Northeastern States , interested persone should
communicate with the Production and Marketing Administration office in
New York City at 67 Broad Street , telephone : Digby 4-8300.
requirements for the 1950 orop of sugar beets
Sugar , --Minimum wage
to be paid by producers in California and southwestem Arizona who apply
for payments under the Sugar Act were announced in early January by USDA .
The minimum timo rate for thinning , hoeing , and woeding is 60 cents per
hour and for pulling , topping , or loading 65 cents per hour . Piecework
rates for these operations are to be as agreed upon between the producer
and the worker but the average hourly earnings of individual workers who
are employed on piecowork must be not less than the hourly rates pro
vided, the producer is required to furnish the laborer , without charge ,
the customary perquisites such as a house , garden plot , and similar items ,
The time rates specified are the same as those provided for 1949 - crop
sugar beets . " For the 1949 crop uniform
uniform specific piecowork rates for
thinning , hoeing , and weeding were provided but harvesting piecework
rates were as agreed upon by producers and workers . With the plao ing of
all piecework on an " agreed upon " basis for the 1950 crop , it is antici
pated that produo ers and workers will be able to agree upon rates which
will moro aocurately reflect the wide differences in field conditions
and produotion methods than did the wiform piecowork rates in effect
during previous crops .
Tobacco. --No change is contemplated in the 1950 marketing quota of

1,097,000,000 pounds for flue - oured tobacco originally announced on July
1 , 1949 , This announcement was made in late December after a review of
supply and demand prospects , As announced on July 1 , 1949 , the 1950
acreage allotments for flue -cured tobacco will total about 970,000 aores ,
as compared with 960,000 acres allotted for 1949 , Individual farm aore
age allotonents for 1950 will be about the same as in 1949 , the small in
orease in the total allotment being reserved for adjustment of inequi
ties among individual farm allotments and for new tobacco farms which
qualify for allotments in 1950 ,
ABOUT MARKETING

cently, may be obtained upon request
requesto. To order , check on this page the
publications desired, detach and mail to the Production and Marketing
Administration , U. S , Department of Agriculture , Washington 25 , D. Co
Marketing Problems of the Nation's Agrioulture , a talk by Ralph S.

Trige , Administrator of the Produotion Marketing Administration and
President of the Commodity Credit Corporation , USDA , at meeting of Calif .
State Chamber of Commerce (Agricultural Committee ), Dec. 1 , 1949, 12 pp .
(Processed )
Address by Ralph S. Trige , Administrator of PMA and President of
CCC , USDA , at opening of the 1949 PMA National Conference , Memphis , Tenno ,
Dec. 5 , 1949 . 20 pp . ( Processed )
Progress Under the Research and Marketing Act , a talk by Omer W.
Herrmann , Asst . Administrator of the Agrioultural Research Administration ,
before Annual Meeting of American Farm Bureau Federation , Fruit and Veg
etable Group , Chicago , Ill . , Dec , 12 , 1949 , 16 pp. ( Processed)
Cooperative Associations and the Federal Milk Order Program , a talk

by Philip E. Nelson , Direotor , Dairy Branch , PMA , at Annual Meeting of
the Illinois Milk Producers Assn . , Chicago , Ill . , Nov. 15 , 1949 . 6 pp .
( Processed )
Statement by Robert M. Walsh , Asst . Director , Fats and Oils Branch ,
at meeting with Tung Nut Growers and Processors, PMA State and County
Committee Members , Biloxi , Miss . , Dec. 1 , 1949 . 4 ppo (Processed )
Publications :
Grain Production and Marketing . MP -692 . October 1949. 78 pp . ( PMA )

( Printed )
Marketing Frozen Foods --Facilities and Methods . June 1949. 175 pp .
( PMA ) ( Processed )
Retailer Training in the Merchandising of Fresh Fruits and Vege
tables , October 1949 . 23 pp . ( PMA ) (Processed )
Deterioration of Ege Quality During Marketing. PA - 79 . 10 pp . (PMA )
( Prin ted )
Retailing Prepackaged Meats . December 1949 . 27 pp . (PMA ) ( Proc
essed )
Marketing Sugarcane in Louisiana . November 1949 . 48 рро (PMA )
(Processed )
January 1950 19
ABOUT MARKETING (Cont'd )
The Marketing of Cottonseed . November 1949 . 61 pp . ( PMA) (Proo

essed )
Fiber and Spinning Test Results for Some Cotton Varieties Grown by
Selected Cotton Improvement Groups , Crop of 1949. November 1949, 8 pp .
(PIA ) ( Prooessed )
1. S. Standards for Oranges California and Arizona ) . Effective
November 26 , 1949 ,. 12 pp . ( PMA ) ( Processed )
Marketing Texas Carrots 1948-49 Season . November 1949, 4 pp . (PMA )
( Processed )
Market New3 Service on Fruits and Vegetables , Marketing Texas Cit
rus Lower Rio Grande Valley of Texas Summary of 1948-49 Season. Nov.
1949 , 38 pp . ( PMA ) ( Processed )
Marketing Texas Vegetables 1948-49 Season , Nov. 1949 , 10 pp . ( PMA )

( Processed )
Statistical Findings of Survey of Transportation From Farms to Ini

tial Markets , November 1949 , 29 pp . ( BAE ) (Processed )
Price Spreads Between Farmers and Consumers . Agricultural Informa
tion Bulletin No. 4 . November 1949 . 95 pp .
(BAE ) (Processed )
order ing statements or publications . Check only the individual items
you desire .--Editor . )
NAME
ADDRESS
CITY ZONE STATE
182.17 February 1950
NE
STA
& 3 1950
.N
D
MARKETING
ACTIVITIES
I
DP
O
F
Washington 25, D.C.
IN THIS ISSUE :
THREE HOGS WENT TO MARKET

By H. E. Reed Page 3
Actually , about 75 million hogs go to market each year . Many of

that number reflect the basic problem outlined here for three hogs --how
to determine their true worth in terms of quality and cut - out values .
Harry E. Reed , Director of PMA's Livestock Branch , outlines a solution-
tentative Federal hog grades that measure quality and at the same time
give producers and buyers a standard by which the ratio of loan to fat
cuts can be determined .
COTTON TO FIT THE CLOTH

By Norman Hummon Page 10
One of the great gaps in cotton information centers about the ques
tion : What cotton is used where ? William J. Martin and Joe H. Mo Lure
of the Cotton Branch have taken a big step toward answering this ques
tion in a 113 - page Report , "Market Outlets for Cotton in Some of the
Principal Cotton Fabrics ." This article is a brief review of that re
port, summarizing some of the major results of the RMA study , and out
lining the methods used in collecting the data .
WIRE TIES CUT LETTUCE LOSSES

By R. W. Hoecker ... . Page 15
A practical way of reducing damage to lettuce in transit was the

objective of the Research and Marketing Administration project described
here . Cooperation between shippers , receivers , railroads and box manu
facturers enabled the researchers to come up with clear -cut results .
MARKET FOR MOLASSES
By Phillip E. Jones and L. John Kutish Page 18
Feed handlers and manufacturers and cattle feeders , as well as the

producers of molasses , will find the Report " The Marketing of Feed Mo
lasses , " the source of both practical marketing and feeding information .
This article summarizes the recent report of that name .
MARKETING BRIEFS .
Page 21

Three Hogs Went To Market
By H. E. Reed
Three hogs of the same weight were

sent to market but that's where the re
semblance ended . One hog produced nearly
5 percent more of the preferable lean
cuts by weight than the second , and nearly
10 percent more than the third . Yet ,
because their weight was the same , so was
the price paid for them .
This leads us to the most serious
marketing problem confronting the hog
industry today . And the problem boils
down to this : Too much importance is
being given to weight in determining hog prices , For weight is not the
only factor determining hog value . If other factors are overlooked, as
is done when hogs are being sold on a weight basis , we have an inequit
able method of pricing .
Pork Appetites are changing

From the producer's standpoint, a change is long past due . Cer
tainly it is true that the fatter and heavier the hog , the higher the
carcass yield . But with changes that have taken place in the demand for
pork products , a measure other than carcass yield should be used to de
termine the true worth of hogs .
In recent years we have seen rather startling changes in the rela

tive values of pork cuts , The leaner pork auts have captured consumers '
fancy while the fatter cuts have gone begging . At the same time lard ,
faced with strong competition from vegetable oils , has fared rather bad
ly price -wise . All this adds up to the fact that cut - out yields are
more important than carcass yield or weight in determining the value of
live hogs .
We in the Livestock Branch of the Production and Marketing Adminis

tration , as well as many people in the industry , have realized for some
time that the practice of letting scales determine the price of hogs is
a bad one . ( "Hog Selling on a Merit Basis " --MARKETING ACTIVITIES , May
1949) Pricing hogs according to weight is a fast method of handling hogs
in the market place , of course , but since hog shippers are paying their
agents to obtain the highest possible net return , speed should not be
the criteria for establishing a marketing practice . This is particularly
3
February 1950
х
Х
The range of fatness evident between hog X above and hog Y on the following page
is duplicated in thousands of hogs reaching the Nation's markets each day . The side
and rear views of hog Y show considerably more fatness than the same views of hog X.
true when the weight method does not provide hog producers with an in
centive to produce the type of hogs the market can best absorb .
But we in the Livestock Branch also were aware that talking about
improved marketing me thods does not necessarily bring about improvement.
Before there can be real improvement, there must be some usable stand
ards that both buyers and sellers can employ to identify real quality in
hogs . Such standards have been developed ,
Live Hog Standards Relate to Cut - out Value
After much painstaking research , (MARKETING ACTIVITIES --October

1949 ) our specialists are ready to take the wraps off standards for
grading live hogs . These should go a long way toward solving this knotty
problem of merit selling of hogs . We are not advocating through these
standards compulsory Government grading or anything of the sort . The
standards are tools that have been developed as a means of appraising
the value of a live hog in relation to its eventual cut - out value .
It seems to me that the proposed system of standards is essential
for at least three reasons : First , something of this sort is absolutely
necessary in the proper sorting and merit selling of hogs . Second , it
is as good a solution as I can visualize for curtailing our growing lard
problem . And third , it is an answer to the urge for carcass grade and
weight selling which seems to come from those who are dissatisfied with
present marketing practices . These new live hog standards will permit
translation of cut - out va lu es to live hog prices .
Both producer and packer are interested in hogs that produce the
largest proportion of the more valuable pork cuts -- both from their own
economic standpoint and to satisfy consumer preferences , For many years
the industry has been aware of the importance of cut - out value of hogs
but has lacked a guide by which that value could be quickly and easily
Y
The difference in fatness between hogs X and Y poses the central problem --how to
determine the true value of hogs in terms of quality and cut - out va lues . The proposed
solution -- tentative Federal hog grades that measure quality and at the same time give
producers and buyers a standard by which the ratio of lean to fat cuts can be determined .
appraised in a live hog . With a great deal of assistance from State Ex

periment Stations , Extension Services , State Colleges and Universities ,
other Department agencies and the industry as a whole , our standardiza
ti on specialists , with some financial aid from Research and Marketing
Act funds , have developed a system we think will do the job .
Some knowledge of how the grades were developed is needed as a key

to better understanding and more successful application of the standards ,
The first step in developing the grades was to work out standards apply
ing to carcasses and then translate these results into live hog grades ,
Based on Lean to Fat Ratio
The carcass grade system is based on the ratio of loan cuts to fat
cuts as in dicated by certain apparent characteristics of the carcass .
This system has proved to be extremely accurate and satisfactory in de
termining the value of hog carcasses .
In the early development of these standards two factors seemed to

be of primary importance : The yield of lean cuts from a carcass and the
quality of the meat in the cuts . Consequently , standards that would
adequately measure these two factors became our goal .
A great many carcass measurements were given a thorough going - over
by our specialists , They came to the conclusion that the yield of hams ,
loins , picnics and Boston butts were representative of the ratio of loan
to fat within the carcass . Once they settled on these four as the pri
mary cuts they sought a yardstick that would indicate the yield of these
lean cuts and at the same time not overlook the quality of the cuts .
Shoulder and ham thickness , carcass length and depth , back fat thick
ness , and other factors were studied to find a clue as to this vital re
la tionship It soon became apparent to the researchers that back fat
5
February 1950
thickness was the best single factor for estimating the pro portion of
lean to fat within the carcass . Further tests showed that the back fat
thickness in relation to the length or weight of the carcass permitted a
more accurato estimate of the ratio of loan to fat cuts ,
Using these factors , the next step was to develop ranges or limits
of thickness that would adequately define the different categories or
grades of carcasses , Five grades of pork carcasses are defined in terms
of the range in average back fat thickness at different carcass weights .
Following is the Schedule of Proposed Carcass Measurements for Grades of
Slaughter Barrows and Gilts :
SCHEDULE OF PROPOSED CARCASS MEASUREMENTS FOR

GRADES OF SLAUGHTER BARROWS AND GILTS
Weight ( lbs . ) Average Back Fat Thickness of Carcass , by Grade

:
Live Carcass : Choice : Choice : Choice : Medium : Cull
( Approx . ) : No. 1 : No. 2 : No. 3 : :
Inches Inches Inches Inches Inch 65

140 92
1,46-1.73 1.74-2.02 2.03 1.03-1.45 1.02
170 115 or more or less
-1.51-1.78 1.79-2,07 2.08 1,08 1,50 1.07
-1.57-1.84 1.85-2.13 2.14 1,13-1.56 1.12
1.62-1.89 1.90-2.18 2,19 1.18-1.61 1.17
260 187 or more ' or loss
1.68-1.95 1.96-2.24 2,25 1.24-1.67 1,23
290 213 or more or loss
-1.74-2.01 2.02-2.30 2.31 1.30-1.73 1,29
1/ Average of three me a surements made opposite first and last ribs and
la st lumbar vertebra .
Three divisions of pork quality -- Choice , Medium and Cull -- are reo
ognized in the five grades . Choice No. 1 , Choice No. 2 , and Choice No.
3 are comparable in that all produce choice quality cuts , but the grades
differ in fatness and in yield of lean cuts . Medium and Cull grades
differ in quality of outs as well as in yield of lean cuts ,
Each grade of slaughter barrows and gilts is based on and corre
sponds to one of the pork caroass grades . The standards describe the
characteristios of live hogs that are appraised to determine grade on
the basis of lean to fat of the carcass and the quality of the cuts .
Such characteristics as width in proportion to size , shape over the

top of the back , width near the top line compared with width near the
underline , comparative width through the shoulders and hams are indica
tions of the ratio of lean to fat of the animal . In general , all of
these characteristios change gradually in proportion to each other and
to differenoes in degree of finish , but numerous combinations of the
characteristics are found in animals of the same grade .
Following are specifications for live hog grades that are being
made available now. These are not officially promulgated standards but
are proposed standards that will be promulgated as soon as the use of
them corrects any possible shortcomings .
Choice No. 1
Choice No. 1 grade slaughter barrows and gilts have an intermediate

degree of finish , as indicated by body proportions and other evidences of
fatness . The degree of finish of this grade is near the minimum neces
sary to insure the production of Choice quality cuts . Hogs of this grade
appear moderately wide over the top in proportion to the weight of the
animal . Width of body over the top is nearly equal to that at the under
line . The back , from side to side , appears well rounded and is slightly
full at the edges with a smooth blend into the sides . Width is usually
nearly equal through the hams and through the shoulders . The sides are
usually moderately long in relation to weight, moderately thick , and
usually smooth with moderately thick , full flanks
flanks . Depth of rear flank
is slightly less than depth of fore flank . Hams are moderately thick
and full , indicating a moderate covering of fat . Jowls are usually mod
erately full and thick . All parts of the body present the slightly full ,
convex appearance associated with a moderate degree of finish . Barrows
and gilts in this grade are expeoted to produce Choice No. I grade car
casses .
Choice No. 2
Choice No. 2 grade slaughter barrows and gilts have a high degree
of finish , as indicated by body proportions and other evidences of fat
noss . The degree of finish of this grade exceeds the minimum necessary
to insure the produotion of choice quality cuts . Hogs of this grade
appear wide over the top in proportion to the weight of the animal . Width
of body is slightly greater over the top than that at the underline . The
back , from side to side , appears slightly flat and is full at the edges
with a noticeable break into the sides , Width is usually slightly less
through the hams than through the shoulders . The sides are usually
slightly short in relation to weight , thick and smooth , and the flanks
are thick and full . Depth of rear flank is nearly equal to depth of fore
flank . Hams are thick and
full , indicating a thick covering of fat ,
especially over the lower part. The jowls are usually full and thick ,
and the neck appears short . All parts of the body present the full ,
convex appearance associated with a high degree of finish . Barrows and
gilts in this grade are expected to produce Choice No. 2 grade carcasses ,
Choice No. 3
Choice No. 3 grade slaughter barrows and gilts have a very high de
gree of finish , as indicated by body proportions and other evidences of
fatness , The degree of finish of this grade considerably exceeds the
February 1950 7
minimum necessary to insure the produotion of Choice quality outs . Hogs
of this grade appear very wide over the top in proportion to the weight
of the animal . Width of body is considerably greater over the top than
that at the underline . The back , from side to side , appears rather flat
and is very full at the edges with a definite break into the sides , Width
is somewhat less through the hams than through the shoulders . The sides
are usually short in relation to weight, very thick and smooth , and the
flanks are very thick and full . Depth of rear flank is equal to depth
of fore flank . Hams are very
thick and full , indicating a very thick
covering of fat , especially over the lower part , The jowls are usually
very thick and full , and the neck appears very short . All parts of the
body present the very full , convex appearance associated with a very high
degree of finish . Barrows and gilts in this grade are expected to pro
duce Choice No. 3 grade carcasses .
Medium
Medium barrows and gilts have a slightly low degree of finish , as

indicated by body proportions and other evidences of fatness . The degree
of finish of this grade is slightly less than the minimum necessary to
in sure the production of Choice quality cuts . Hogs of this grade appear
slightly narrow over the top in proportion to the weight of the animal .
Width of body is slightly less over the top than that at the underline .
The back , from side to side , appears slightly peaked at the center , es
pecially over the shoulders and immediately behind the shoulders , and
lacks fullness along the edges with no readily apparent break into the
sides . Width is usually slightly greater through the hams than through
the shoulders. The sides are usually long in relation to weight, slightly
thin and wrinkled, and the flanks are thin . Depth of rear flank is some
what less than depth of fore flank , The hams are slightly thin and flat
with a slight tapering in the lower parts . Jowls are usually slightly
thin and flat , and the neck appears rather long . All parts of the body
present the slightly conoave appearance assooiated with a slightly low
degree of finish , Barrows and gilts in this grade are expected to pro
duce Medium grade carcasses ,
Cull
Cull grade slaughter barrows and gilts have a very low degree of
finish , as indicated by body proportions and other evidences of fatness .
The degree of finish of this grado is considerably less than the minimum
necessary to insure the production of Choice quality cuts , and most cuts
are suitable only for processing . Hogs of this grade appear narrow over
the top in proportion to the weight of the animale Width of body is
somewhat less over the top than that at the underline . The back , from
side to side , appears peaked at the center and slopes into the sides with
no apparent break . Hips are often rather prominent . Width is usually
somewhat greater through the hams than through the shoulders . The sides
are usually very long in relation to weight , very thin and wrinkled , and
the flanks are very thin , Depth of rear flank is considerably less than
depth of fore flank . The hams are very thin and flat with a decided
tapering in the lower parts . Jowls are usually very thin and flat, and
the neck appears very long . All parts of the body present the concave
appearance associated with a very low degree of finish . Barrows and
gilts in this gre.de are expected to produce Cull grade carcasses .
8 Marketing Actvities
There is good evidence to indicate that experienced hog men can fa
miliarize themselves and make use of these live hog standards in a short
time . In fact , actual demonstrations have proved this to be true . Fur
ther , both produo ers and hog buyers have often been amazed at the live
hogs that are placed in the Choice No. I grade -- they are accustomed to
placing emphasis on a much fatter hog . However , when they have seen the
carcasses there was invariably agreement that the grading system identi
fies the hogs producing the most valuable carcass . Generally the demon
strations which we have been able to give thus far have met with consid
erable enthusiasm from both producers and packers .
Lest hog producers feel that this system will cause drastio changes
in breeding programs , let me assure you that any of our present breeds
of hogs , if properly selected , fed , and marketed , will produce a Choice
No , 1 carcass . Undoubtedly some breeds will utilize feed more effi
oiently than others and will lend themselves to the attainment of heavier
weights without becoming excessively fat , but under this system of grading
it is possible for most any weight gilt or harrow to qualify for Choice
No , I if selection , feeds and management practices are properly con
trolled . This grading system , if used , will provide the basis for giving
recognition to the producer who has consigned an outstanding lot of hogs .
In most cases , he has been getting little if any recognition in the
prices he receives . Under present selling methods , if his hogs having a
certain weight bracket , he receives
within a certain
high out - out value fall within
approximately the same price as the shipper who con signs overfat end
poorer cutting hogs of the same weight bracket . The best load of hogs
outs out much more money for the processor and carries the fat load for
the packer to average out oost .
A Basis For Premium Prices
This should not be interpreted as suggesting that the use of these

standards will make packers pay more total money for hogs than competition
foroes . Use of these standards should prompt a better job of distribut
ing the total amount of money among producers on the basis of the quality
and value of hogs . Instead of selling all hogs within a given weight
range at the same price , selling individual lots of hogs on their merits
is essential if quality production is to be rewarded with premium prices .
Rememberthose three hogs of the same weight that went to market
and were sold for the same price ? Chances are that all three produced
choice quality cuts ... but that's where the resemblance ended , The first
hog probably would have graded Choice No. 1 under this system . ..since it
had the highest out - out of lean cuts, and Choice No. 1 oarcasses produce
about 48 to 51 percent of their weight in the four primary lean outs of
hams , loins , pionios and butts .
A Choice No , 2 carcass produoes only 45 to 48 peroent of its weight
in lean cuts and a choice No. 3 will cut out less than 45 percent in the
four lean cuts . It's rather simple to see that the first hog carried
the price load for the other two when the " three hogs went to me rket . "
Bagio under standing of how these live grades were arrived at and the
eventual carcasses live hogs will produce along with application of these
live grades will provide producers an opportunity to sell hogs on merit
as well as provide buyers a means by which to translate real out - out
values into live hog prioes ,
9
February 1950
Cotton To Fit the Cloth
By Norman Hummon
Whether your question is " what is the relationship between the price
of cotton fabric and the amount of fabrio produced ?" or " what sort
stuff is a strait - jacket made of ? " you'll find it covered in the 113
page report , MARKET OUTLETS FOR COTTON IN SOME OF THE PRINCIPAL COTTON
FABRICS . Prepared by the Cotton Branch of the Production and Marketing
Administration , the report represents the results of a study that has
been under way for more than 2 years , financed under the Research and
Marketing Act of 1946 .
The objective of the study is designed to fill one major gap in in

formation about ootton : " What are the specific quantities and qualities
of raw cotton required for the major types of cotton textile product ?"
The authors , William J. Martin and Joe H. Mo Lure, have blended essential
technical , economic , and theoretical findings into a comprehensive but
understandable report. Charts and diagrams help clarify the necessarily
intricate relationships between price and consumption , production and
utilization , and raw cotton grade and the finished fabrio ,
Putting Cotton Utilization in order

Admitting that not all the answers can be sharply outlined , the
authors point out that certain imponderables , the unusual and the theo
retical , have had to be considered . They insist too , that there is
nothing sensational about the results , for changes in cotton come slowly .
The direct , immediate value of the study is in its contribution toward
putting ootton utilization in order . "Under the existing system of oot
ton marketing , " they write , " the various qualities produoed each year go
into a wide range of manufactured produots for which they may or may not
be best suited . " While the requirements and the preferences of cotton
proo essors are not fixed , it is time that what is practiced or proved be
summarized in usable form .
In a longer - range sense , this report , and reports to follow, should

be of even more value to those responsible for formulating ootton im
provement and marketing programs . Cotton breeders , aware of more speo
cifio mill requirements , will be in a position to shape their varietal
development toward meeting needs of partioular fabrios ; cotton produo ers
will be able to plant varieties for whioh there are dependable market
outlets .
Essentially the report has been prepared to serve men in the busi
ness of producing and prooessing ootton , and appropriately, the language
of the trade has been retained . The introduction and summary sections,
however , are devoted largely to broader facts or di soussions about cot
ton which should interest us all .
The study showed that during the period under observation the major
factors affeoting either output or consumption were the unnatural condi
tions oreated by World War II . The comparative tables indicate that aside
from the major variations resulting direotly from the war emer genoy ,
trends in consumption or produotion have been gradual . Fine goods , such
as o ambed lawn and combed broadoloth , have suffered in periods of do
pressed consumer income , whereas such commonly used fabrics as sheeting ,
duok , and osnaburg , have maintained more constant levels of consumption .
Price and Consumption Relationships Studied
Classified as " preliminary " are results showing a sharp relationship

between price and consumption for print oloth and wide sheeting . A rola
tionship between price and consumption for print oloth , for example , in
dioatos a very high index of correlation -- 86 . For the two decades stud
ied, the report shows that under average marketing conditions , provided.
other conditions remained the same , manufaoturers of print cloth would
consume 292,000 bales of cotton a year when the price of the oloth was 60
cents a yard. At 20 cents a yard for cloth , manufao turers would oonsume
880,000 bales a year .
Procedure Outlined
In obtaining data for one of the principal ains of the research --the
determination of quality --the direot approach was to select 10 represent
ative cotton fabrios and ferret out the most complete figures obtainable
on consumption , production , and pricing as well as the many distinguishing
properties among raw cotton , yarns , and finished fabrios . The 10 fabrios
sele ote d -- plain print oloth , wide shooting , narrow sheeting , dem im ,drill,
duok , Osnaburg , carded broadcloth , combed broadoloth , and combed lama-
represented an aggregate market outlet of 3,092,000 bales in 1948 , or
about one - third of that year's total domestio consumption , Utility of
these fabrio stretohes from the extremes of rough , coarse osnaburg saok
ing to filmy negligees made from lawn . In continuing the research under
this program , other cotton products will be studied , and the results
made available in later releases ,
Such broad differences in composition among the fabrios selected

are naturally the result of fairly rigid specialization , and so the next
step was to seleot a representative member of mills manufacturing each
of the particular fabrios , These groups were further divided by size in
to smaller groups -- to insure adequate representation by volume of produo
tion -- and from the se subdivisions the mills produoing the specifio fab
rio in question were ah os en at random .
These mills were visited periodically by staff members of the Cottaa

Branoh who obtained data and samples of raw cotton , yarn , and fabrios
for testing at the laboratories of the U. S. Department of Agrioulture .
The procedure was to obtain samples of raw cotton from each bale in the
February 1950 11
" mix " to be processed , while 10 bobbins of warp yarn , 10 bobbins of
filling yarn , and 5 one - yard samples of fabrics were chosen to cheok
against the laboratory - manufactured produot .
At Cotton Branch laboratories , fiber strength , fin en 888 , matur ity ,

color , grade , and fiber length were examined . The samples from the mill
bales were then composited into about a 10 - pound "mix" and spun , and then
woven into fabrio . The results were then ma tohed direotly against the
properties of the yarn and fabriosamples secured from the mills in an
effort to obtain all qualitative data possible. As a further cheok ,
those results were compared with
with laborator
laboratoryy bench marks maintained in
USDA reoords ,
Information in the report relating to quantities involved has been

based on data obtained from the Bureau of the Census , From this source
quantitative statistics for some fabrios manufaotured are available for
the period 1921 through 1948. Figures on fabrio pro duotion have been
converted by the Cotton Branch to the approximate quantities of raw oot
ton utilized in the manufacture of these specifio fabrios , In making
these estimates recognition has been made of such faotors as weste fibers
removed in prooessing , and sizing or staroh that adds weight to the fab
rio . In all cases where varianoes had to be recognized average values
have been used ,
No Clear Cut Pattern for

Cotton Grade and utilization
The report disclosed that in actual manufacturing praotice no sharp

differentiation exists in regard to the average grade of cotton used in
the several fabrios . Except for denim and osnaburg , whigh used very low
qualities , the average grade was in the Strict Low Middling to Middling
range . Average staple length of the cotton used in the various fabrios,
however , varied to an appreciable extent . For example , the ootton used
in duck averaged 5/16 inch, that in wide sheeting i inch , and that in
combed laws averaged 1 1/8 inches .
The study revealed , too , that both grade and staple length vary to
a considerable extent among the different mills making the same type of
fabrio , For instance , one narrow shooting mill used ootton averaging
about Low Middling , while an other used cotton averaging Striot Middling .
The average staple length used in the mill mixos in the so sheeting mills
varied from about 7/8 inch to i 1/32 inches , Tho explanation for these
variations is found largely in differences in manufao turing organization
and in the quality of fabrio required
required for
for each
each particular end use. As
to differeno es in quality of the finished product the Cotton Brenoh points
out that insufficient data are on hand to " compare differences in cost
of manufao turing and differences in mill effioionoy exoept as refleoted
in pro duot quality ."
For the periods for which adequate data are available for some
fabrios as far baok as 1921-- annual per capita consumption has been es
timated . Annual con su mption was analyzed to show proportional comparisons ,
INDEX ( 1935-39 = 100 )
Consumption of cotton in plain print cloth

225 Total cotton consumption in U. S.
....... Industrial production
200
175
150
125
100
75
50
25
0
1921 1925 1929 1933 1937 1941 1945 1949
FIGURE 1 .-- Comsumption of cotton in plain print cloth in

comparison with total cotton consumption and with industrial
production in the United States , for specified years , 1921
to 1948 .
February 1950 13
periods of high income , and World War II . These figures make it clear
why it was nearly impossible to buy a white shirt a few years ago , when
output of combed broadoloth was out to nearly one - third in favor of more
pressingly needed fabrios such as drill and duok used in military uni
forms and equipment .
Fashion's Role Unknown
What part fasion plays in production of a fabrio for a given year

has not been determined by research .
Varying with the fabrio , fe.shion
maust be considered along with such other factors such as quoted fabrio
price , general commodity prices , industrial activity , mili margins for
the particular fabric , consumer income , population increase , and elas
ticity of demand for the particular product .
Fabrios Desoribed
For each of the fabrios seleoted, desoriptions convey information

of interest to both technical and lay reader 8 .
For example , the report desoribes drill in technioal language a8 ;
" A strong medium- to heavy -weight twilled oloth made

from coarse car ded yarns . In a twill weave , each end
floats over at least two oons soutive pioks , and the
points of intersection move one outward and one upward
( or downward ) on suoceeding pioks . Such a pr 00 088 forms
the diagonal lines commonly assooiated with this fabrio .
The prinoipal purpose of this weave is to provide a fab
rio with greater weight and firmess than similar fabrios
of pla in weave , A twill weave is not only dooorative
but it also has greater tearing and ripping strength than
plain weave ,
About Batiste and Nainsook
Less technical desoriptions such as the following identifioation of

lawn may be of value to many homemakers :
" Lawn is a light -weight , sheer , fine fabric made with
fine carded or combed yarns and woven in a high thread
count . A large variety of names , including organdy , ba
tiste , and nainsook , are associated with this fabric ,
such designations depending upon the finish and the
number of the yarn . Although lawn may be given a soft
or a crisp finish, it is usually semi - crisp ; not as
soft as voile nor as crisp as organdy.
For all fabrics di soussed, specifio uses of each are given , even to
a listing of some 85 products made from duok . Such pain staking detail
is characteristic of the thorough approach evident throughout this re
porto
Wire Ties Cut Lettuce Losses
By R. W. Hoecker
Reduoing shipping damage to lettuce by tying a single wire around

each crate is a recent improvement resulting from organized research .
Preliminary tests made on five carload shipments of lettuce indicate that
when a strand of wire is tied around the bulge , crate breakage is re
duced by nearly 50 percent . The tests were made with standard , widely
used Los Angeles crates ( called by the trade the "LA crate " ) .
Some indi oation of the importance of this kind of improvement may be
gained from figures on damage ordinarily sustained during shipment , For
example , total loss and damage to let
tuce shipments by rail in 1948 were
$ 1,700,000 , and damage attributed to
package failures of the type studied
in the 5- car test was $ 700,000 . If
breakage could be reduced generally by
the same percentage shown in the test ,
Burda
there would be a gross reduction in
dama ge of nearly $350,000 in a single
year for a single commodity . What the
savings would be if this or other im
provements were made in shipping con
tainers for other kinds of produce is
not known , though further tests are
being made ,
Get Results to the Trade
It is recognized that tests of

only five cars may not yield the ex
aot percentage of reduction in damage
that would result from general use of
wire ties , but it is felt that the re
sults of the test are of sufficient The bulge of the untied crate in the
foreground contrasts with the trimmer
sign ificance to warrant their being lines of the wire - bound crates in the
passed on to the trade . back of the car .
The experiment with lettuce shipments was made as part of a research

project under authority of the Research and Marketing Act. The work was
done by the Western Growers Association , under contract with the U. S.
Department of Agriculture and under the supervision of the Marketing and
Faoilities Research Branch of the Production and Marketing Administra
tion . In the same project , better containers are being sought for sev
eral other vegetables ,
15
February 1950
In the lettuce experiment , standard LA crates of lettuce and iden
tical crates to which had been added a wire tie around the middle were
loaded into each of five cars . Five rows of crates were loaded from end
to - end of each car , three of the rows being crates without wires , while
LOADING PATTERN OF TEST CARS
STANDARD L.A. CRATES
STANDARD LA CRATES - WIRE TIED
BOTH TYPE OF CRATES WERE SUBJECTED TO IDENTICAL TRANSIT CONDITIONS
the other two rows were crates with wire ties . The loading and unload
ing were observed carefully to make sure there was no material differ
ence in the handling of the two types of crates .
Dama ge Analyzed
The cars were shipped from Salinas , California , to New York City.
At the end of the trip it was found that : Of the 926 unwired crates
shipped, 107 were damaged , or 11.5 percent . Of the 640 wire - tied crates ,
only 40 were damaged ,
or 6.2 percent . And
in every car there was
less dama ge to the wire
tied crates than to the
crates without wires .
The wire was tied

around the middle of
the crates by a now
machine developed to
fit into the regular
pa cking operation . The
device can be installed
on the packing line
right after any stand
The capacity and design of the wire - tying ard lidding machine ,
machine permit it to be installed after any and it binds at about
standard lidding equipment. the same speed as crates
are lidded with ordinary equipment.
The 15 1/2 gage wire used in the test costs about one - fourth of a
cent for each wrap . A few shippers made records of the cost of placing
the wire on the crates , and , while these data are not sufficient to be
conclusive , they showed costs ranging from 1 1/2 to 2 cents a crate ,
which adds up to $4.70 to $ 6.25 a car .
This search for better shipping containers has resulted in a year's

ing the bulge
postponement of an Interstate Commerce Commission order reducir
allowance on crated lettuce from 2 1/2 inches to 1 5/8 inches , The ICC
is awaiting results of the PMA study . The project is under the direction
of the author , of PMA , and C. B. Moore of the Western Growers Association .
The Association has employed J. Prescott Blount and L. J. Voegeli to work
at the western shipping points and George Woodhams to cover eastern depots .
***
BREAD CONTAINING MILK
FOUND MORE APPETIZING
Bread containing milk not only has better appearance , flavor , and
keeping quality , but also appeals more to consumers, states Dr. E. L.
Jack , of the University of California , speaking before those attending
the American Dry Milk Institute in San Francisco .
Dr. Jack outlined for the Institute an experiment wherein a group
of 320 boys were fod breads containing 0 , 6 , 10 , and 14 percent nonfat
dry milk solids for successive periods , The bread con sumption inoreased
with increasing amounts of dry milk solids in the proportions of 100 ,
104.4 , 107,1 , and 112.6 percent for the respective amounts of milk .
The results of the experiment bore out that consumption increased as the
amount of nonfat dry milk solids in the bread was increased .
***
EXPORTS OF VEGETABLE AND INDUSTRIAL OILS

ANNOUNCED BY PMA ; FLAXSEED CONVERTED TO OIL
For the period July 1 , 1949 --February 28 , 1950 , the Fats and Oils
Branch , PMA , purchased about 200 million pounds of vegetable and indus
trial oils ( soybean oil , coconut oil , peanut oil , fish oil , and tallow )
for ECA and the Army . January and February purchases of approximately
1500 tank cars ( 61,000 lbs.: 1 tank car ) of crude soybean oil are now
being delivered to Bizone and Trizone Germany .
Also being delivered currently to ECA are about 29 million pounds
of crude cottonseed oil crushed from CCC's stocks of cottonseed purchased
under the oottonseed Price Support Program . This oil , presently looated
in Texas , will be exported through the port of Houston . In addition to
these present operations , arrangements are being made to export approxi
mately 6 million pounds of Menhaden fish oil .
Announo ement has also been made by PMA that approximately 4,500,000
bushels of flaxseed has been converted in to linseed oil ( approximately
87,700,000 lbs) by selling to processors CCC owned flaxseed and purchasing
the oil crushed from that flaxseed at a negotiated price , with the proc
essors keeping the meal .
February 1950 17
Market for Molasses
By Phillip E. Jones and L. John Kutish
Certain price relations have shifted sin on the war in way that
makes particularly economical the use of molasses as an ingredient in
livestock feeds . The volume of molasses now moving into feeds , and taking
advantage of the favorable price situation , is growing rapidly -- probably
at a rate greater than the molasses trade itself realizes .
Molasses can be substituted , up to a point , for other carbohydrate

feeds . When used as recommended by the U. S. Department of Agriculture ,
the feeding value is about 70 percent , pound for pound , of the feeding
value of corn . Molasses is ordinarily economical to use whenever 6 1/2
gallons of it costs less than a bushel of corn .
Prices Have Fallen
Blackstrap molasses is the mother liquor that remains after the

crystallization of sugar from the juice of the sugar cane or sugar beet .
The price of this blackstrap has dropped drastically during the last 3
years . During the 12 months ending with June 1948 , it averaged 31 cents
a gallon in the wholesale price quoted at New York City . During the
next 12 months the average price was 16 cents . Six months later , for
December 1949 , it was quoted at 8 cents a gallon -- and information from
the trade is that volume sales were being made at prioes from a fourth
to a third under the quoted price ,
Corn also has declined during the last two or three years , but not
so much as has molasses . During the 12 months ending with June 1948 , a
bushel of corn cost 55.5 cents more than the quoted price of 6 1/2 gal.
lons of black strap molasses at New York . In that period , it is estimated
that 131,6 million gallons of cane and beet industrial molasses were used
as livestock feed in the United States . During the next 12 months a bu
shel of corn cost 70.6 cents more than the quoted price of 6 1/2 gallons
of molasses , The volume of molasses used as feed during this period is
estimated at 177.5 million gallons . By December 1949 the price differ
ence between 6 1/2 gallons of molasses and a bushel of corn had reached
103,3 cents .
Suitable for Mixes or Direct Feeding
Molasses can be used by commercial feed mixers or by farmers on the

farm . Large commercial mixers use it in prepared formula feeds . Small
comme roial mixers use it in prepared feeds and custom mixes . Farmers
use it for dire ot feeding and home mixing , and as a preservative for
grass silage .
Although direct use by farmers is increasing , much the greater
share of feed molasses goes into commercially mixed feeds , principally
dairy feeds . Interviews with large Midwestern and Northeastern commer
cial feed mixers indicate that they use considerably more mola 8 608 sinoe
the war . There reasons for this increase
are two They are using a
higher content of molasses in their mixes , and they are using molasses
in types of feed where it was not used before , The molasses content of
oattle feeds mixed by large companies appears to be about as high 88
present mixing equipment can make it . Some equipment is being changed
to handle a higher pero entage of molasses
Small commeroial feed mixers are a large potential market for mo

lasses . market has gone untapped in wide sections of the country
This
for two reasons . One is that the special mixing equipment that is neo
essary costs too much , in relation to the volume that small mixers turna
out . The other reason is that many small mixers can't take molasses de
liveries in tank -oar lots , and thereby par ticipate in the woonomies of
bulk purchasing .
In some sections of the country , special low - cost small - scale mixing
equipment has been developed . In some seotions , molasses is being de
livered to small mixers in tank trucks . If tank trucks were in general
use for this purpose , costs might be substantially reduced . In one North
eastern seotion , tank - truck delivery out the costs of molasses to small
mixers by about 25 pero ent . If equipment could be afforded by mixers of
mich smaller production capacity than oan afford it now, the use of mo
lasses as feed would increase accordingly .
Marketing Margins Bulk of Retail Cost
The most important marketing margins are these : ( 1 ) Transportation ,

from the U. S. seaport terminal where the molasses oargo is discharged ,
to the city where the molasses is barreled , ( 2 ) Barreling , handling , and
wholesale mark - up . ( 3 ) Transportation to retail feed stores, handling ,
and retail mark -up . Together , these three factors acount for about 70
percent of the on - the - farm cost of molasses .
Most barreled molasses that reaches the farm is sold to the farmers
by feed mixers , Small mixers in rural New York buy in bulk from tank
tru oks and sell direct to the farmer . This system cuts out a marketing
step that is important in , say , Wisconsin -- the transportation of barreled
molasses to retail feed stores and the retail handling and mark -up .
The distribution system in New York is indirectly responsible for the

reduotion there of another important marketing margin -- the mark - up for
barreling , handling , and wholesaling . Because so many rural New York
feed stores barrel molasses , competition among them for sales narrows
the margin for comparable services much more than it does in the Midwest ,
where fewer firms barrel molasses .
These two factors in New York help hold the spread between the price
paid by the barreling firm and the price the farmer pays for barreled mo
lasses to 3.5 cents per gallon . In much of Wisconsin this spread amounts
to about ll cents .
19
February 1950
The direot farm feeding of molass98 18 concentrated in the Southwest ,
the Rocky Mountain area , and the West Coast . The practice appears to be
especially well suited to the feeding of beef cattle . The systems for
di stributing molasses to Texas and California farmers are based on the
use of tank trucks to supply large -scale farm units.
It is estimated that the produotion of grass silage has quadrupled

since 1944. A preservative is necessary for the proper en siling of high
moisture orops , which are high in protein and low in sugar content . Мо »
lasses is used extensively for this purpose ; it provides the additional
sugars necessary to assure a desirable lactic acid fermentation in such
silage . At least 75 percent of the feeding value of the mola 88es is re
tained in the silage . If molasses is available in volume at a reasonable
price, this demand for it may be expected to continue .
Handling Problems
The liquid form of molasses has important disadvantages , It is
sticky . There is a limit to how muoh of it can be mixed into feeds with
present mixing equipment . A heavy proportion of liquid molasses in
creases the difficulty of maintaining balance in some formulas, And as
for direct use , many farmers Just do not like to handle it , 68pooially
in 55-gallon barrels .
If mölasses were dried , most of its objectionable qualities would

di sappe ar . Indeed , dried molasses produots are on the market now . Ono
such produot is being distributed rather widely in the Midwest , even
though it retails for more than double the price of com . Large feed
mixers say dried molasses must sell for a price no higher than oorn , if
they are to be able to use it . Molasses in both forms would be used ,
but much the larger portion would probably be dried . If such a prioo
situation could be reached , they say, the market for dried molasses would
be ntremendous .
***
SWEET POTATO DEHYDRATORS FACE SUPPLY SHORTAGES
Dehydration of oull sweetpotatoes for livestock feeding is on the

decline in Louisiana , according to a recent L.S.U. survey quoted by the
Agricultural Committee of the New Orleans Chamber of Commerce . The sur
vey shows that while 54 dehydrating plants operated in 1946-47 , only 37
plants were in operation during the 1948-49 season -- principally because
many plants failed to get sufficient supplies to keep them in operation .
But while the number decreased , the total output did not deoline . It
was found that a large volume of cull potatoes is necessary to profitably
operate a dehydration plant .
Most dehydration operations are on the basis of using oull potatoes

to produce the dehydrated feed which has become popular for feeding live
stook . Research work continues to seek high yielding varieties which
could be used specifically for dehydrating purposes . With greater yields
and the use of more mechanical equipment in planting and harvesting the
crop , it may soon be possible to profitably produce a large volume of
this type of feed .
Marketing Briefs
Cotton .--Representatives of cotton trade associations in Belgium ,
England , France , Germany , Italy, Japan , Spain , and the Netherlands will
meet with cotton experts of USDA on May 1 at Washington , D. C. , to par
ticipate in the first international conference on cotton standards since
1946 . Copies of the universal standards for the grades of American up
land cotton for use by the Department and by the arbitration and appeal
committees of the principal cotton associations of Europe will be approved
during the conference . Under the Universal Cotton Standards Agreements ,
negotiated in 1923 and revised in 1925 , European associations adopted
American grade standards as the basis of all their contracts for the
purchase and sale of American cotton in which grades are specified .... The
development of cottons with new and better fiber properties by crossing
certain species with others was recommended for early initiation--in
fisoal year 1950 if possible --by the Cotton and Cottonseed Advisory Com
mittee at its Washington meeting March 1 and 2 with USDA officials . The
need for genetic research along this line is imperative , the Committee
believes , if cotton is to compete more successfully with other fibers in
the textile industry .... Through . February 17 , 1950 CCC has sold 131,384
bales of 1948 - crop cotton , USDA has announced . The cotton was sold pur
suant to the announcement of September 30 , 1949 , when CCC offered cotton
from its stocks to supply demands until 1949- crop cotton became available .
A catalog has now been issued covering the 1948--crop pooled stocks, which
will be offered at intervals on a competitive bid basis . A total of
3,793,000 bales was pooled on August 1 , 1949 for producers ' account , Per
sons interested in this cotton should contact the Director , PMA Commodity
Office , Masonic Temple Building , New Orleans 12 , Louisiana .
Dairy .-- Arrangements have beenmade to sell 44 million pounds of
CCC - owned nonfat dry milk solids to the Netherlands for animal feed uses
under an ECA authorization of funds for that purpose , USDA has announced .
Department officials stated that the sale of this quantity will help pro
vide an outlet for surplus supplies which have been acquired under the
price - support program for manufacturing milk , The sales quantity con
sists chiefly of the oldest stooks now held by the Government , purchases
of which began about a year ago . These stocks are being sold for animal
feeding purposes because they are known to be of questionable quality for
human consumption . Government stocks of nonfat dry milk solids now total
approximately 221 million pounds , but will be reduced to about 177 mil
lion pounds as a result of this transaction . Department officials expect
that shipment of the supplies will be made before June 30 , 1950.
Fats and Oils , USDA announced February 23 that all types of olive
oil have been removed from import control of the Agriculture - Import
Order . This action , effective as of February 25 , 1950 , as in line with
the Department's general policy of encouraging export and import trade
21
February 1950
by removing at the earliest possible date the import control of specific
commodities which are normally imported by the United States .
Fruits and Vegetables.--Upon recommendation of the Idaho - Eastern
Oregon Potato Committee , USDA announced February 24 issuance of a regu
lation requiring potatoes shipped from the area to be " generally fairly
clean . " This requirement is in addition to the limitation which has
been in effect all season , and which continues in effect , restrioting
shipments below U , S , No , 2 grade , 2 inch or 4 ounce minimum size . The
regulation , effective as of March 6 , 1950 remains in effeot until June 1,
1950 .
Grains .--Soybean acreage allotments will not be established for

1950 - crop soybean production , USDA announced late in January . The carry
over or reserve supply of old- crop soybeans last October 1 --before the
1949 crop came in -- was only about three million bushels . This repre
sented about one and one - half percent of the annual production in 1948 and
1949 -- a little above 200 million bushels each year . This carryover of
three million bushels is less than half the average carryover of around
six and one - half million bushels for the years 1944-48 , a period of
heavy demand . Based on the indicated domestic and export demand during
the present marketing year ( 1949-50 ) , it is not expected that the carry
over next October I will be materially larger than the three million bu
shels which were carried over last fall .
Livestock , -- Purchases of prime steam lard by USDA under announcement
LS -45 dated February 9 amounted to 1,279,000 pounds . These purchases
under a U. S, Army requisition for relief feeding in Okinawa were made
at an average cost of 13.09 cents per pound f.a.6 . San Francisco . De
livery will be in the period March 1-15 , 1950 , To date since December
20 , approximately 117.7 million pounds of lard have been purchased for
export ....Effective March 1 are slightly revised rates and charges of
commission firms operating in the Sioux City , Iowa , livestock market ,
Thomas J. Flavin , judicial officer of the U.S. Department of Agriculture ,
established the new rates in a January 31 order , USDA has announced .
This action was taken under the provisions of the Packers and Stockyards
Act , The new rates , which are slightly higher than those replaced , will
go into effect March 1 , 1950, were determined on the basis of extensive
hearings held as a result of a petition filed by the Sioux City commis
sion firms seeking an increase in their rates and charges . The order
rejected a proposal by the commission firms that rates be fixed on a
percentage of value basis rather than on the flat per head rate followed
in previous major commission rate determinations under the Act. In re
jecting this proposal the order continues the present method of setting
rates for commission firm charges . A release containing the full announce
ment and rates from
may be obtained fro m the Liv
Livestock
estock Branch , PMA, USDA ,
Washington 25, D. C.
Naval Stores.--USDA stated in late January that the price support
level for 1950 -crop gum naval stores will remain at 60 percent of parity
as announced last November . Naval stores interests had requested re
consideration of the previous action . After full consideration by the

Board of Directors of the Commodity Credit Corporation of all factors
involved , it was decided that it would not be advisable to change the
determined support level .
Poultry .-- Surplus stocks of dried eggs and nonfat dry milk solids
acquired by CCC under price - support programs , are now available for do
nation to private as well as to public welfare organizations for the re
lief of needy persons in this country and to private welfare organiza
tions for the relief of noody persons abroad , USDA announced early in
larch . Under an earlier announcement (February 8 ) donations were lim
ited to School Lunch programs , the Bureau of Indian Affairs , and Federal ,
State , and local public welfare agencies , which make up the first dona
tion priority under Section 416 of the Agricultural Act of 1949. Since
it has been found that stocks are more adequate to meet requests
than
under this first priority, eligibility to receive donations has been ex
tended to all priorities , Surplus stocks of potatoes were made available
to all priorities on January 17. All current stocks of dried eggs and
nonfat dry milk , except those currently being acquired under the 1950
price - support program are available for donation . The available stocks
amount to about 72 million pounds of dried eggs , and 121 million pounds
of nonf at dry milk solids ,
Sugar .-- CCC has a greed with the Puerto Rican Sugar industry to buy
220,000 short tons of sugar at a price of 4.60 cents per pound , basis
960 polarization , f.a.s. Puerto Rican port of shipment , USDA announced
February 6 . This sugar , purchased on behalf of the Economic Cooperation
Administration , will be shipped to Germany and Austria during the months
of March , April and May to meet civilian sugar requirements in those
areas . The agreement was concurred in by members of the Association of
Puerto Rican Sugar Producers, the Puerto Rican Farm Bureau , the Sindi
cato Azucarero de la CGT , the Land Authority of Puerto Rico , Central San
Vincente , Inc. , and Mario Mercado e Hijos .
Wool .-- Price support on 1950 wool production will be at 90 percent
of the parity price of wool on March 15 , 1950 , USDA announced January
30 . The schedule of support prices by grades will be announced about
April 1 . The Agricultural Act of 1949 requires that the price of wool be
supported between 60 and 90 percent of parity . The Act provides further
that the support shall be at a level within the range needed to encourage
an annual production of approximately 360 million pounds of shorn wool.
Shorn wool production in 1948 totaled 234 million pounds and 1949 produc
tion is estimated at 216 million pounds . In order to provide the maxi
mim incentive for increased produotion of shorn wool as required by law,
the maximum level of support has been established . on the basis of cur
rent estimates , production in 1950 is not expected to be much different
from that of 1949 . Prices of shorn and pulled wool will be supported
through purchases , and the program will run from April 1 , 1950 , to March
31 , 1951 (normal marketing
marketing period
period for shorn wool ) . Two significant
changes relating to price differentials between grades and to the method
of purchasing wool from producers have been made in the program for 1950 .
Under the 1950 prog 1-am , purchase prices , while reflecting 90 percent of
perity , will follow the 1949 average market price relationship between
grades. Under previous programs , the purchasing price schedule was more
clos ely related to the prewar price relationship between grades than to
postwar market prices , In the other major change being made in the pro
gram , producers will be given an opportunity to decide after appraisal
whether or not they want to sell their wool to the Department . In pre
February 1950 23
vious years , after wool was tendered producers could not withdraw it
from the program ,
IS SELF - SERVICE FOR ME ?
Self - service has proved itself in almost all stores which have given
it a try . That doesn't mean , however , that it should be rushed into
blindly. The majority of retailers are not using the self - service method ,
and und oubtedly many of them need to check their operations for those
characteristics which will make conversion successful .
A word of caution and someimportant questions which ought to be

answered before a retailer considers self- service have been outlined by
A. T. Edinger , of PMA's Marketing and Facilities Research Branch .
As one of the Department's specialists in meat marketing , Mr. Ed

ing er recognizes the position of a great many retailers who are watching
the rapid expansion of self - service from behind the counter -- and perhaps
getting a little penicky . He suggests , however , that before they make any
changes , they be able to answer most of the following questions affirma
tively . The questions, listed in order of importance , apply to meat re
tailing but are pertinent to self - service generally :
1. Will all or practically all of your customers accept self
service meats and continue to patronize your store?
2. Is your location such as to attract transient customers ?
3. Do you and your employees have confidence and faith in
the self - service method ?
4. Are you and your employees prone to orderliness in your
store operations ?
5. Are you willing to be patient and gradually educate your
customers and not be of a type characterized as one that
says , " Take it or leave it " ?
6. Will you be willing to render special services without
showing any disapproval ?
7. Are you willing to handle greater varieties , to exercise
more effort and to find a " home " for the slower -moving
items before freshness or con dition has been affected ?
8. Are you willing to study your market every day and set up
a plan of operation which must be followed to the line ?
9. Are you of the type to profit from your mistakes and one
eager to adopt practices of the successful operator ?
10 . Last , but not least , is your integrity , honesty , and
word beyond reproach ?
If , then , in the retailer's judgment it is not the proper time to

convert to 100 -percent self - service , Edinger suggests that perhaps a par
tial self -service plan be tried. Here the retailer would handle items
having a long shelf-life such as prepared and smoked meats , frozen prod
ucts , dairy foods and beverages .
ABOUT MARKETING

publications desired , detach and mail to the Production and larketing
Administration , U. S. Department of Agriculture, Washington 25 , D. C.
Food Distribution Programs of the Department of Agriculture ( Sum

mary of remarks of John I. Thompson , Asst . Administrator for Marketing ,
at Annual Convention of Nat'l . American Wholesale Grocers ' Assn. , Atlantic
City , January 28 , 1950. ) 8 pp . ( Processed )
Marketing Hogs , Address by H. E. Reed, Director , Livestock Br . , ber
fore the annual meeting of Central Livestock Assn . , St. Paul, Minnesota ,
Feb. 7 , 1950 . 5 pp . ( Processed )
Hog Price Support Program and the Individual Producer , a statement

issued by PMA . January 1950 . 4 pp . ( Processed )
Publications :
Agricultural Conservation Program , Statistical Summary 1948 . De

cember 1949 . 95 pp . ( PMA ) (Processed )
Containers in Common Use for Fresh Fruits and Vegetables . FB -2013 .
Feb. 1950 , 61 PPO ( PMA ) ( Printed )
The Wholesale Market for Fruits , Vegetables , Poultry , and Eggs at

Savannan , Ga . Feb. 1950 , 65 PPO ( PIA ) ( Processed )
A Comparative Study of Packing , Transportation , and Refrigeration

Costs of Bushel Baskets and Wire- bound Boxes for Transportation of Peaches .
February 1950 . 22 pp . ( PMA ) ( Processed )
Abundant Continued Production through the Agricultural Conservation
Program . PA - 76 . 15 pp . ( PMA) ( Printed )
Market Outlets for Cotton in Some of the Principal Cotton Fabrics .
February 1950 . 113 PP ( PIA ) ( Processed )
Annual Report on Tobacco Statistics 1949 . CS - 39 . December 1949 .
71 pp . ( PIA ) ( Processed )
The Marketing of Feed Molasses . Feb. 1950, 32 pp. (PMA) ( Processed )

Conservation and Use of Agricultural Land Resources . January 1950,
15 PP • ( PLA ) (Processed )
Ilarket News Offices , Location , Commodities , Officials in Charge .
March 1950 . 10 pp . ( PMA ) ( Processed )
25
February 1950
Com Program for 1950. PA -85 (Folder ) (PMA ) ( Processed )
Peanuts Program for 1950, PA - 84 (Folder ) ( PMA ) ( Processed )
Rice Program for 1950-- Arkansas , Mississippi , Missouri , Louisiana ,
South Carolina . PA -87 (Folder ) ( PMA ) ( Printed )
Rice Program for 1950-- California , Texas , Arizona , PA - 89 . (Folder )

( PMA ) ( Printed )
Marketing --Northwestern Apples, Season 1948-49 . Jan. 1950 . 30 pp .
( PICA and Washington State Dept. of Agriculture cooperating ) (Processed)
Apricots - 1949. Weighted Average Prices Received at Eastern Auc
tion Markets by Varieties, by Weeks , by Markets . Dec. 1949 , 9 pp. (PIJA )
and Calif . Dept. of Agriculture cooperating ) (Processed )
Nectarines - 1949. Weighted Average Prices Received at Eastern Auc
tion Markets by Varieties , by Weeks , by Markets , 10 pp . ( PMA and Calif .
Dept. of Agriculture cooperating ) ( Processed )
Peaches- 1949. Weighted Average Prices Received at Eastern Auc
tion Markets by Varieties, by Weeks , by Markets . Dec. 1949 . 12 pp .
( PMA and Calif . Dept. of Agriculture cooperating ) (Processed )
Pears - 1949. Weighted Average Prices Received at Eastern Auction
Markets by Varieties , by Weeks , by Markets . Jan. 1950 . 18 pp . ( PMA and
Calif , Dept. of Agriculture cooperating ) (Processed )
Plums 1949 . Weighted Average Prices Received at Eastern Auction
Markets by Varieties , by Weeks , by Markets . Dec. 1949 . 30 pp . (PMA and
Calif , Dept. of Agriculture cooperating ) ( Processed )
Marketing the Michigan Potato Crop , a brief review of the 1948 Sea
son . Deo , 1949 , 8 pp . ( PMA and Michigan Dept. of Agriculture cooper
ating ) ( Processed )
U. S. Con su mer Standards for Potatoes . Nov. 1947 . 7 pp . ( PMA )
(Processed ) ( Corrected copy, 1950 )
Benton Harbor Cash Market Fruit & Vegetable Summary -- 1949 Season .
Dec. 1949 0 4 pp . ( PMA and Michigan Dept. of Agriculture cooperating )
(Processed )
or dering statements or publications , Check only the individual items
NAME
ADDRESS
CITY ZONE STATE
A 82.17 March 1950
MARKETING
ACTIVITIES
APR 25 1950
q oly
Washington 25, D.C.
IN THIS ISSUE :
GREENVILLE BUILDS A MARKET

By Robert H. Martin .
Page 3
The story of how a successful market has been built can best be told
by a man who has faced the problems first - hand. Robert H. Martin , Ex
tension Marketing Specialist, managed the Greenville Farmers Wholesale
Market through its eventful and successful first year .
THE HOW'S AND WHY'S OF FEDERAL MILK MARKETING ORDERS

By Philip E. Nelson Page 7
Fresh milk moves swiftly from farmers to consumers-- largely at a

time in the day you wouldn't care to worry about it . on the job at all
times for some 21 million consumers are Federal milk orders which assure
farmers dependable markets and consumers wholesome , adequate supplies .
AGGRESSIVE MERCHANDISING KEY TO INCREASED PEANUT CONSUMPTION
By Proctor Campbell Page 15
The problem of lagging consumption of peanuts can be lessened if it

is attacked positively--at all levels of the industry . The Fats and Oils
Branch of PMA calls for more of the encouraging trend toward aggressive
marketing of peanuts and their good products.
FARM COOLER PROTECTS EGGS
By Elizabeth S. West... Page 20
A farm - built cooler may be the answer to that quality- and dollar
losing delay before marketing ,
ABOUT MARKETING . Page 25

The Editor , Marketing Aotivities may be reprinted without special
Greenville Builds a Market
By Robert H. Martin
Situated in the heart of the thriving balanced industrial and agri

cultural Piedmont section of South Carolina , the new Greenville Farmers
Wholesale Market has provided a center for the sale and distribution of
approximately $ 1,750,000 worth of farm products since its opening June
1 , 1949 .
The establishing of such a marketing facility represents many months

of study , observation , planning , and overcoming certain unforeseen ob
stacles . It is a symbol of the determination of a few citizens to fill
a need for a better marketing system to cut the price spread from the
farm to the con su mer and to promote the general welfare of our farm
people .
The site of the Greenville Farmers Wholesale Market provides ample space for further
growth . Ex pansion thus far includes the poultry processing plant in the upper left , the
sweet potato curing house next right , and part of the large wholesale store section in the
center . Upper right is the farmers ' and truckers ' sale shed . Near the main highway in
lower center are a service station and restaurant , and administrative offices .
March 1950 3
From the outset we have felt that Greenville is ideally situated
for a good wholesale produce market .
It has the consumers ; 108,000 of
them mile radius and 700,000 within a fifty
within a two and one - half
mile radius , Farm land is productive . The local market was inadequate-
produce buyers and sellers met each morning in a street down town . Cits
officials didn't like it . Sanitation was a problem .
The Greenville Chamber of Commerce and the marketing division of

the Clemson College Extension Service in 1947 requested the Marketing
and Facilities Research ' Branch of the Production and Marketing Adminis
tration of the U. S. Department of Agriculture , to make a survey under
the Research and Marketing Acto Roger F. Burdette was in charge of the
survey . He and other Branch personnel offered valuable assistance to
those who planned and built the market , A local group made a tour of
Georgia and Florida · markets in November 1947 . A site committee recom
ended the present twenty - seven acre plot to the county legislative del
egation and the county purchased it in February 1948 at a cost of $ 12,600 .
In April 1948 an act of the Greenville County legislative delegation was
passed creating the Greenville County Marketing Commission , appropriating
$ 100,000 and authorizing the borrowing of an additional $ 100,000 to con
struct and operate a farmers ' wholesale market .
The chairman of our commission , James L. Love , is a lawyer who had

shown an interest in farmers ' markets while serving as a city official .
The vice - chairman is C. C. Pearce , Junior , head of a wholesale produce
chain . I am secretary . Other members are olin H. Spann , retail grocery
man , and H. J. Winn , a banker .
Our first problem was what to build and stay within our budget . HOW
should the buildings be arranged on the site ? There was a good highway
and rail connections , The topography of the land was bad. It had two city
water mains through it which had to be dodged. We decided to build fewer
units and make them the best even if the cost was high .
First in South Carolina
We called in everyone we thought was in position to give good advice

--PMA's Marketing and Facilities Research Branch , Clemson extension mar
keting specialists , Georgia and Florida market experts , and local archi
tects and engineers , We knew that now was the time to avoid mistakes .
Room had to be left for expansion and for allied industries that might
develop in the future . This was the first planned market facility in
South Carolina . We wanted it to be right .
A definite plan for the general layout and for the buildings was
adopted . PMA's recommendation to build in the beginning five merchant's
store units , each unit 22 1/2 ' x 60 ' with front and rear platforms , and a
200-foot farm shed was followed . The contract for construction of these
facilities was awarded in September 1948 at a cost of $ 92,000 . A small
service station and restaurant was added later at a cost of $5,000.
Feno ing and an office took the remainder of the direct grant of $ 100,000 .
Paving , the rail siding and other essentials to setting up the operation
of the market was still to be done . The county gave the market cormis
sion an additional $ 15,000 to complete our original plans. In April 1949
the other members of the commission requested me to act as market manag
er and I accepted on a temporary basis . At this time , the opening date
was set for June 1 .
Farmers showed very little enthusiasm . Wholesale produce dealers

were reluctant to locate in the merchant's stores . " It's too far out of
town , " they said , ! We're going to wait to see how it develops . 11 The
market was four miles from the center of town . Truckers showed some in
terest in renting stalls und er the shed ,
A rental of $ 100 a month was
set on a store unit and $ 15 a month for each of the 20 stalls under the
farm shed . Parking would be 12 1/2 cents per wheel per day. " The rent's
too high ," they all explained . "We don't pay anything for our present
parking on Court Street down town . " These were typical comments one month
before the opening date and up to that time not a lease was signed for
any space on the new county wholesale market . I contacted every local
pros pect , but each one had the same story .
Bananas Help Turn the Tide

But soon a change began to take place . An out - of - town banana dealer
leased two of the store units . He began to install extensive refrigera
tion . Within one week 90 percent of the space available was leased . By
the opening date , all space was leased. Two days before the opening ,
City Health Authorities or
dered the truckers and farm
ers to stop using the old
market place downtown .
At this time , we were
faced with an unexpected ob
stacle --a potential compet
itor . Handbills were passed
out announcing the opening
of a new produce market much
closer to the heart of town .
Truckers were contacted , I
spent two days and two sleep
less nights in conference
with the men I figured were
behind the competing market .
I arranged to provide them A marketing specialist shows a farmer how to
suitable temporary places to grade sweet potatoes before storing them in the
operate on our public mar
Greenville market's curing house .
ket . Facilities of our new inarket were offered free to anyone from June
l to June 17 . That got trading started and meant a great deal to the
market's initial success . The second week of trading found the market
filled to capacity . Increased parking space on the grounds had to be
provided . And that was the end of our competitor .
Official opening ceremonies were held on June 17 . D. W. Watkins ,

Director of the Clemson Extension Service , and William C. Crow , Direc
March 1950 5
tor of the Marketing and Facilities Researoh Branch of the United States
Department of Agrioulture were principal speakers . The local news papers
and radio station carried many headline stories about the new farmers
market . We began radio broadcasts daily direct from the farmers ' whole
sale market .
Community Interest Attracted

After our first month's operation , folks began to believe in the
market . Our farmers began to ask more questions about it . Community
groups paid us special visits to study how it worked , how it might play
a part in their farming pro
grams Produce dealers be
gan to ask for space which
we did not have . On July 21 ,
128 local farmers used the
market .
A program to double the

size of the market was an
nounced in August , The өx
pansion program was to include
4 new merchant store units ,
a 10,000 bu shel sweet pota
to curing house , a modern
poultry processing plant with
a capacity of five hundred
birds per hour , additions to
The second week of trading found the market the service station and res
filled to capacity . In a little more than a month
plans were announced to double its size . taurant and more parking lot
area . Funds for the program
would be obtained by borrowing the $ 100,000 as set forth in the Act of
the General Assembly creating the County Marketing Commission . Expan
sion was no problem for we prepared for it in our original plans .
Most Market Facilities

Leased to Private Dealers
At the end of this month (March ) the expansion program will be com
pleted. The 4 new store units were occupied on January 1 and the rail
siding was completed at that time . Five carloads of produce arrived
over the rail siding in January -
the first month it was available , Farm
ers used the sweet potato curing house for last Fall's crop . All indica
tions point to a successful poultry processing plant . All facilities ex
cept the potato curing house are leased to private dealers ,
The market represents a total investment of $ 228,600 . Of this amount
$128,600 is a direct grant by Greenville County . $ 100,000 is to be paid
back over a period of 10 years at an interest rate of 3 percent . Total
income for the first eight months of operation was $ 13,446.65 . Operating
expenses during the same period were $ 12,257.83 leaving a net profit of
$ 1,188.82 .
Federal orders are now operating in 37 fluid milk markets in the
United States , During 1949 they regulated the handling of 16
billion pounds of milk produced by 140 thousand dairy farmers
for more than 21 million consumers . To answer the numerous ro
quests for information on these programs the Dairy Branch of the
Production and Marketing Administration is soon to release a
publication which outlines the establishment and operation of
Federal orders . Philip E. Nelson , Branch Director , has prepared
the following discussion , with questions and answers , as a digest
of that work , --Editor
The How's and Why's of

Federal Milk Marketing Orders
By Philip E. Nelson
Fresh milk flows from dairy farmer to consumer through a vast chan
nel work of modern production , processing , and distribution . The mar
ke ting system on which this flow of milk depends is fast and highly or
ganized , On a daily schedule , fresh milk moves from farms through local
and regional dairies and creameries, through handlers and distributors ,
along city and rural delivery routes to reach a multitude of consumers
who se appetities also operate on a daily schedule .
Because this supply of milk cannot easily be adjusted to meet the
demand, the marketing system of ten runs into trouble with milk prices .
At times , mark et conditions can result in wildly fluctuating prices which
work unnecessary hardship both on those who depend on milk for a living
and those who depend on it for foodo
Orders Stabalize Market
Federal orders are used to stabilize market conditions for fluid

milk -- to make the buying and selling of fluid milk an orderly process on
which dairy farmers , milk alike can depen do Το
dealers and consumers
understand how Federal orders contribute to market stabilization , it is
helpful to take a look at the conditions which brought them into beingo
The need for Federal orders -- and their development-- is the result
of a serious problem of pricing fluid milk which grow out of modern mar
keting methods .
Before modern methods were introduced , farmers delivered milk to

homes in the nearby town . The matter of a "reasonable prico " was settled
through simple agreements between farmers and their customer s . But as
marketing methods became more modem , farmers became separated from con
sumers by distributors and wholesalers who set prices for both farmers
and consumers .
March 1950 7
The effect of this change was not only to put farmers in a more dif
ficult bargaining position but also to make the pricing of milk to farmers
subject to serious new elements of in stability.
Farmers observed that prioes became unstable chiefly because of sur
plus su pplies . Yet they also observed that some sur plus milk is quite
necessary to any well - supplied market , A market with adequate supplies
requires a daily surplus or reserve during the low production season of
10 to 15 percent above average daily wales in order to take care of daily
fluctuations in demand . This is because milk for fluid purposes is highly
perishable and cannot be held over from day to day . Because production
varies widely from season to season , this reserve necessarily will be
greator during the season of high production .
Farmers find that the presence of sur plus milk in a highly organized ,
highly competitive market tends to result in lower prices and eventually
in lower produo tion .. Yet , when reserve supplies dwindle ,
produotion temporary
shortages result with upward pressures on prices ,
Under this situation or price instability , farmers in many markets

during past years found themselves virtually powerless to prevent un
reasonable and harmful price manipulation . Dealers , driven by sharply
competitive conditions , often engaged in " price wars, " the losses being
passed back to farmers in the form of lower prices . Final losses , of
course , were passed back to consumers in the form of higher prices when
farm milk supplies decline do
Co-op Bargaining Arrangements Inadequate

As early as 1900 , erratio and wildly fluctuating prices had become
a serious and characteristio problem of fluid milk markets . Following
World War I , many farmers formed cooperatives in an effort to stabilize
prices through collective bargaining with handlers . But these bargain
ing arrangements frequently were disrupted by a minority of dairy farmers
and dealers who continued to trade in milk without regard to the bargain
ing agreements entered into by the majority .
When the depression of the early 1930's broke down most bargaining
arrangements and caused farm milk prices to collapse , farmers tumed to
Govemment for help . Local and State regulatory agencies were estab
lished in all parts of the Nation and were effective in stabilizing
prices . But only Federal au thority was broad enough in soope to regulate
markets where part of the milk entered into interstate commerce ,
Federal authority to regulate the handling of milk was first pro

vided in the Agricultural Adjustment Act of 1933 . The Federal orders of
today , however , are based on the Agrioultural Marketing Agreement Act of
1937 , which sets out in detail the au thority granted earlier.
Under this eu thority the Secretary of Agriculture is empowered to
help stabilize market conditions by issuing Federal orders ( regulations
enforced by law ) which apply to handlers of milk and its pro duots , нө
also is empowered to enter into marketing agreements with processors ,
produ cers , associations of producers and others engaged in the handling
of milk as a further instrument of market stabilization . Marketing
agreements , however , are rarely is sued . The explanations in the follow
ing questions and answers relate generally to Federal orders rather than
to marketing agreements .
le What is a Federal milk marketing order ?
It is a regulation issued by the Secretary of Agriculture which
places certain requirements on the handling of milk in the area for which
it is issued :
&
It requires that dairy farmers regularly supplying the market
be pa id not less than certain minimum prices established in accordance
with the form in which the milk is sold . These prices are set by the
Secretary after a public hearing and may be made effective if approved
by dairy farmers .
It requires that payments for milk be pooled and paid
b. out to
in dividual farmers on the basis of a uniform or average price ,
2. What are the objectives of a Federal order ?
To stabilizo and do away with those particular

market conditions
cha racteristics of unregulated markets which are both harmful and unnec
essary.
Thus Federal orders opera to to ( a ) assure farmers of steady, depend

able markets and prices for their milk which are reasonable in relation
to economic conditions and (b ) assure consumers at all times of adequa te
su pplies of pure and wholesome milk ,
They operate to correct conditions of price instability and need

less fluctuations in price which ( a ) give unwarranted " stop" and "go"
signals to production , (b ) result in unnecessarily depressed prices to
farmers that do not properly reflect supply and demand conditions , and
( c ) jeopardize the quality of the milk and the dependability of its sur
ply.
3. How does a Federal order atta in its objectives ?
By bolstering unstable market conditions with a legal framework of
rules and procedures on which orderly marketing activities can be based
to the benefit of all parties concemed . These rules and procedures
serve to :
a. Give farmers , milk dealers and the public an active voice in

determining minimum farm milk prices through a procedure of public hear
ing .
b. Establish minimum farm milk prices that ( 1 ) assure farmers as

much for their milk as general supply and demand conditions in the mar
ket warrant , and ( 2 ) assure the market of adequate supplies of milk .
March 1950 9
0. judge in resolving issues discussed in
Give the role of final
public milk hearings to the Secretary of Agriculture who , with the help
of economists and marketing specialists , can evalua to the evidence and
render decisions in the public interest .
d. Provide for the orderly marketing of surplus milk through ( 1 ) a
pricing me thod based on the uses in which milk is sold , and ( 2) a pay
ment method which pools dealers ' payments for milk and then distributes
the funds to individual farmers on the basis of a unif orm or average
price .
e. Reduce the danger of unwarranted and harmful manipulation of

prices paid to farmers .
f. As sure farmers of accurate weighing , testing , classification ,

and accounting for milk ,
Make available information on the handling of milk in the mar

keting area so as to enable in terested parties to evaluate the market
situation .
4. Who administers the order ?
A market administrator appointed by the Secretary of Agriculture ,

He is helped by a staff of accountants , clerical personnel and statisti
cians .
5. What kind of milk is covered by Federal orders ?
Federal orders are primarily instruments for stabilizing marketing

conditions for fluid milk in city markets and for this reason they apply
to milk which is produced under local sanitary inspection for sale in
whole fluid form in such markets . Such milk is often known as "approved"
milk .
Local health regulations largely determine for each market the uses
of milk which require " approved " supplies . In some markets this category
consists only of milk for bottling purposes . In other markets additional
uses are included , such as flavored milk drinks , fluid cream , and ice
creamo
6. Who is regulated by an order ?
Milk handlers only . They usually are defined as anyone who pur
chases " approved" milk from dairy farmers for the purpose of selling it
in the marketing area ,
The order requires only that when a milk handler operating under
the order purchases milk from a dairy farmer he pay at least the minimum
price , make accurate weights and tests , and account properly for the way
the milk is used . The order does not control from whom he shall buy , to
whom he shall sell , how much he should buy or sell , or at what prices he
may sell .
7. Are dairy farmers controlled in any way ?
No.They may produce and sell any amount of milk under a Federal
order . order is concerned, any dairy farmer who can find
So far as the
a handler in the market to purchase his milk is entitled to the benefits
of the order .
8. How is milk priced under an order ?
It is priced under a classified price plan . This plan ( 1 ) divides

milk produced for fluid use into classes according to the use in which
dealers actually sell the milk and ( 2 ) provides an appropriate minimum
price to be charged to dealers for milk in each class .
Thus a dealer pays one price for the milk which he sells for con
sumption in whole fluid form and a lower price for the surplus fluid
milk which he must sell in other uses . By pricing surplus milk sepa
rately, the classified price plan prevents reasonable surpluses from de
pressing the price of local farm milk to the point where the marketis
supply of milk may become en dangered .
The classified price plan recognizes that it is more costly to pro
duce and market milk for sale in a city market for fluid uses than it is
to produce milk primarily for manufacture in to such products as butter ,
cheese, and evaporated milk . This is true because ( 1 ) additional ex
penditures must be made on milk for city markets in order to comply with
the rigid sanitary standards which apply to such milk and ( 2 ) milk for
city markets must be transported in whole fluid form over relatively
long distances on a very rapid daily schedule .
" Necessary Surpluses" Converted Into Manufactured Products
The plan also recognizes that despite such additional expenditures,

all the milk produced for a city market will not be sold for consumption
in fluid form . As pointed out on Page 8 , a well - supplied market re
quires a daily reserve supply of fluid milk to take care of daily fluo
tuations in demand . When this reserve
supply is not sold for Uso as
whole fluid milk , it is converted into manufactured dairy products . This
situation places milk produced for city markets into direct competition
with manufacturing milk on which additional expenditures have not been
ma de . Such surplus fluid milk from city markets can command a price which
is competitive only with manufacturing milk prices . This price, of course ,
will be lower than the price received for the same kind of fluid milk
used in city markets , It is this market situa tion which gives rise to
the classified price plan .
9. How are specific price levels determined?
The Agricultural Marketing Agreement Act requires that minimum farm

prices for milk be established at levels which will ( 1 ) reasonably re
flect economic conditions affecting the supply and demand for milk ( such
as the price and availability of feeds ) , (2 ) assure an adequate supply
of pure and who le some milk for the market, and ( 3 ) be in the public in
March 1950 11
terest . short , the act requires the fixing of prices which will
In
equate the supply of milk with the demand for milk in each regulated
marketing area after making provisions for necessary reserve supplies .
The price levels generally are set by means of price formulas which
allow the minimum prices to change automatically along with certain
changes in the market conditions for fluid milk . This is done because
conditions which affect milk prices change frequently and rapidly . Every
season of the year brings substantial changes which would soon render a
fixed , flat price out of date .
These formulas are of two general types . In the New England , New
York , and New Orleans markets formulas for Class I prices are based on
general economic factors , As an example , in the New England markets
these factors relate the milk price to certain costs of production , to
changes in department store sales , and to changes in the general level
of wholesale prices of nearly 900 commodities . In all these markets
milk prices are further modified by a so -called supply - demand adjustment
which comes into play as supplies get out of proper relationship to
sales .
In Midwest markets the " basic price " type of formula is used . For
mulas of this type base the price for Class I milk on the value of milk
for manufacturing purposes . Specified differentials designed to account
for the additional cost of producing inspected milk and the other special
economic conditions which influence prices for milk in city markets are
added to the manufacturing milk price . These added differentials aro
designed to equate the supply of inspected milk in the regulated market
with the demand for it in that market .
Prices for milk used in classes other than Class I also are fixed
on a formula basis which relates the price for each use of milk to mar
ket prices for manufactured dairy products or to prices paid at dairy
manufacturing plants for milk used in manufacturing
10 . Ilow is the uniform price to farmers computed ?
To compute the uniform price, the market administrator gets infor

mation from handlers at the end of each delivery period (usually 1 month
in length ) telling how much milk they handled during the period and how
much was employed in each use of milk , From this the administrator can
determine how much of the total milk brought in to the market belongs in
each class .
The administrator multiplies the minimum price for each class by

the amount of milk in that class , to get the total value of milk in each
class . The total classes is added to get
value of milk for individual
the total value for all milk marketed during the period . The total value
for all milk is divided by the total pounds of milk received from dairy
farmers to obtain the average or pool price of milk for the market . Milk
handlers then are required to pay not less than this uniform pool price
for all the milk they have received from each farmer .
The uniform price may be computed separately for each handler or it
may be computed for all of the handlers in the market depending on whether
the market has individual handler pools or a ma rke t -wide pool .
11 . How are farmers paid under an order ?

Farmers receive their checks once or twice monthly . Under Federal
orders payment may not be less than the uniform price or average price
as announced each month by the milk market administrator .
12 . How are Federal orders enforced ?
Legal action may be instituted through the Justice Department in

the Federal courts to compel milk dealers to comply with a Federal order .
If a market administrator discovers that a milk dealer is not complying
with the terms of the order , he informs the dealer of this fact and re
quests him to make the necessary corrections . If the milk dealer com
plies with the request promptly and makes restitution of any amounts un
paid to dairy farmers , the matter is terminated at that pointo
If , however , the violation is not rectified proniptly , the market
a dministrator may inform the Department of Agriculture . This step leads
to legal action . Most noncompliance with Federal orders is the result
of inadvertent errors on the part of milk handlers . Few legal actions
to enforce compliance with orders have been carried out .
13 . How are the operating costs defrayed ?
Assessments levied upon milk handlers in accordance with the quantity
of milk they receive or handle are used to defray the cost of the order
program . The amount of the assessment varies under different orders and
at different times , Generally it ranges from 2 to 4 cents per hundred
weight of the milk received by the handler from producers .
14 . Is a Federal order a substitute for producer cooperatives ?
No. A producer cooperative continues to perform all of its functions
under a Federal order . At public hearings the cooperative presents the
reasons and factual information which it believes will justify any change
in prices or other terms of sale which it proposes .
When ever the cooperative performs any of the physical functions con
nected with marketing , it will continue to perform these functions in the
game manner as before the regulation . Ina smuch as orders are price- making
mechanisms only , they cannot perform many of the functions of cooperatives .
An order cannot assure that a market will be found for every producer's
milk at all times . It cannot secure the most economical utilization of
milk . Nor can it perform other marketing functions within the province
of milk producers ' associations .
15. Does a marketing order guarantee an adequate income to all farmers ?
NO . It is not possible under a market order to guarantee an adequate

in come to all farmers , nor would it be possible under some circumstances
March 1950 13
even to guarantee an adequate income to any of the farmers selling in a
regulated market . (A marketing order provides prices which will result
in an adequate supply of pure and wholesome milk for the marketing area ,
and it prevents prices from fluctuating wildly without regard to general
Acor.onio conditions . )
The prices provided under an order usually are the same or approxi
my.tely so , for all produ cers under regulation . If some dairy farmers ,
due to misfortune or otherwise , are unable to supply normal quantities
of milk to the marketing area , their income obviously will be reduced .
In times of depressed prices for milk and dairy products, or for ag

ricultural products generally , the prices established under a marketing
order ( that would result in an adequate supply of milk for the market )
may not be high enough to afford adequate incomes to any of the farmers
delivering milk to the regulated market . If farmers are to have adequate
incomes under condi tions of generally depressed farm prices , some other
type of program may be necessary. A price support program now is in
operation for manufacturing milk and butterfat . Prices of these commod
iti es have dropped to the levels at which price support is required under
the Agricultural Act of 1949. Under this support program, the government
is pur cha sing butter , nonfat dry milk solids and cheese so that processors
of manufactured dairy products will receive such prices as will enablo
them to pay , on the average , the support price to farmers for manufac
turing milk and butterfat .
In contrast to such a program, Federal orders are not designed to

hold prices at any pre - determined level . They serve only to stabilize
market and price conditions for milk sold principally for con sumption in
fluid form in city markets .
* * *
FRUITS AND VEGETABLE CONTAINERS DESCRIBED
" Containers in Common Use for Fresh Fruits and Vegetables, " recently
issued by USDA'S Production and Marketing Administration , is a compre
hensive survey of the baskets , crates and boxes , barrels , sacks and drums
used in marketing the Nation's produce . Containers for more than 40
fruits and vegetables are covered in the discussion and illustrations .
The bulletin , however , is not limited to specifications and dimensional
data but outlines the welcome trend toward standardization , the extent
Federal standards are applicable , and such important developments as the
swing toward handy consumer packages .
Regarding the great number of containers in use , the bulletin sum
marizes that many shapes and sizes are essential to fit the varying re
quirements of different products "but some reduction in the number of
types and sizes of containers would seem to be possible ... The almost
universal use of the lug box for green -wrapped tomatoes and a similar
wi de -spread use of the L. A. crate for numerous products indicate the
possibilities . "
Classified as Farmers ' Bulletin No. 2013 , the study is available

from the Information Branch , PMA , USDA , Washington 25 , D. Co
Aggressive Merchandising Key
To Increased Peanut Consumption
By Proctor Campbell
How can peanut consumption be increased ? That is the question the

peanut industry and Government are trying to solve today. The importance
of the question is highlighted by the fact that in recent years consump
tion has lagged far behind production of one of the Nation's important
food crops .
The peanut industry has made efforts to increase con sunption of ed

ible stocks . Some significant advances have been made in quality of the
products offered , particularly in peanut butter , where a great degree of
stability has been gained in the standard pro duot . Peanut butter has
been combined with honey and yeast in appetizing spreads , Individual
firms have conducted research in new product development. High quality
roasted stock has been marketed in handy packages and pleasing mixes .
Advertising Key to Edible Market
Equally important, has been the strong advertising campaign carried

on by many in the industry . A few firms have been particularly active in
keeping their good product before the consumer -- the man who must be sold
if the central problem is to be pared down without long delay . Every
firm that handles peanuts, whether a sheller , peanut butter manufacturer ,
salter and roaster, or confectioner , should be interested in increasing
the volume of peanuts that go into edible uses . However , there is still
evidence that some firms are taking the path of least resistance and are
not exploiting the edible peanut market to the maximum .
Development of methods for increasing the use of peanuts at the ed
ible price level are being investigated by the Fats and Oils Branoh of
the Department of Agriculture under a Research and Marketing Act project .
While quick results cannot be expected from this work, possibilities for
developing new and expanded market outlets for peanuts and their products
will be passed on to the industry as soon as they are developedo
Peanut producers are vitally concemed with the marketing problems.

Inherent in the peanut industry's difficulties are some singular features
which make adjustment difficult for producers . Peanut production has
not been transformed by technology ; there have been no hybrids , no phe
nomenal increases through the use of insecticides , This means that to
pro ducers the effects of controls are not cushioned to any great extent
by greater output per acre .
Maroh 1950 15
The producer now faces the uncomfortable reality of overproduotion
of peanuts for edible purposes . A comparison of the domestic food use
of peanuts to picked and threshed production for the years 1929-48 (Ta
ble 1. ) emphasizes the fact that producers are willing to produce more
peanuts than the edible trade will take . For the crop - years 1929 through
1933 , before the day of adjustment programs , from 81 to 90 percent of
picked and threshed production went for domestic food use . During the
Table 1 .-- Supply and distribution of peanuts , 1929-48

(farmers stock basis . ) 17
: Production : .
: picked : Domestic : Percent of domestio food use

Year : and : food use : of production picked and
: threshed : : threshed
Mil . lbs . Mil . lbs. Percent
1929 898 779 87

1930 697 626 90
1931 1056 855 81
1932 941 804 85
1933 820 708 86
1934 1014 663 65
1935 1153 798 69
1936 1260 912 72
1937 1233 876 71
1938 1289 877 76
1939 1213 889 73
1940 1767 1011 57
1941 1479 1041 70
1942 2193 1290 63
1943 2176 1371 63
1944 2081 1458 70
1945 2/ 2042 1299 64
1946 2 / 3 / 2038 1035 51
1947 273 / 2183 1026 47
1010 43
1948 2/3 2338
I/United States Bureau of Agricultural Economics, Consumption
of Food in the U. S. , U.S. Dept. of Agriculture Misc . Pub , 691 .
Compiled from data in Table 64. 2 / Revised 3 / Preliminary
years 1934 to 1941 , when acreage allotment programs were in effect the
demand for edible peanuts did not increase in proportion to picked and
threshed production . In these years , 57 to 76 percent of picked and
threshed production went for domestic food use . The proportion was about
the same for the war years 1942-45 at from 63 to 70 percent , but in the
postw ar years 1946 , 1947 and 1948 there was a deoline -- 51 percent in 1946 ,
47 percent in 1947 and 43 percent in 1948 . For the crop years 1943
through 1948 , acreage allotments and marketing quotes were not used,
Acreage controls were reestablished for the 1949 orop year and picked
and threshed production is estimated at 1,853 million pounds, 21 peroent
less than the record produotion of 2,338 million pounds in 1948. If
dome stic food consumption is the same in 1949-50 as that in 1948-49 ,
then 55 percent of the estimated production will go for domestic food
uses .
Per Capita Consumption Highest During War
There was a steady increase in the use of peanuts for food both in
total consumption and per capita consumption from 1929 through 1945
(Table 2 ) . During this period total civilian consumption increased from
a low of 417 million pounds ( shelled basis ) in 1930 to a high of 822
million pounds in 1945 . Since 1945 consumption has declined, Total ed
ible consumption for 1948 , the low post - war year , was still above the
prewar average at 647 million pounds . There was a corresponding decrease
in per capita consumption from the all time high in 1942 and 1945 of 6.1
pounds to 4.4 pounds in 1948 .
Table 2 .--Domestic use of peanuts for food 1929-48 ( shelled basis ) 1 /

Year : Total : Military Civilian Civilian
: per capita
Mil , lbs . Mil . lbs . Mil . lbs . Lbs .
1929 519 519 4.2
1930 417 417 3.4
1931 570 570 4.6
1932 536 536 4.3
1933 472 472 3,7
1934 442 442 3.5
1935 532 532 4,1
1936 608 608 4.7
1937 584 584 4.5
1938 566 566 4.3
1939 573 573 4,3
1940 652 --
652 4.9
1941 671 50 621 4.7
1942 897 100 797 6.1
1943 884 150 734 5.7
1944 940 200 740 5.7
1945 2 832 10 822 6.1
1946 2 3 668 668 4.7
1947 2 662 2 660 4.6
1948 2/3 651 4 647 4.4
1/ Consumption of Food in the U. s. 1909-48

1909-48 .. U. S. Bureau of Agricul
tural Economics , U. S. Dept. of Agriculture , Misc . Pub . No. 691 , Table
64 , p. 185. 2 / Revised. 3. Preliminary
But even if postwar readjustments are now leveling off and the long
time trend in edible consumption of peanuts is resumed at the same rate
of increase that prevailed before the war it will be several years be
fore edible demand will approach the high level of picked and threshed
production attained during the War .
Food consumption surveys conducted in 1948 by the Bureau of Human

Nutrition and Home Economics show that in general the consumption of
March 1950 17
peanuts and peanut butter increases as family income increases up to a
certain level . These surveys were made in fair cities : Birmingham , Ala
bama ; Minneapolis -St . Paul , Minnesota ; Buffalo , New York and San Fran
cisco , California . A summary of the consumption of peanuts and peanut
butter ( shelled weight ) at home in a week per person is shown in Table 3 .
Consumption was highest in Birmingham with the other three cities lower
at from 60 to 67 percent of that in Birmingham , These surveys also show
a seasonal difference in consumption with highest rate ocourring during
the winter for all cities except San Francisco , In addition to the in
formation given in Table 3 these surveys also show that as income in
creases the percent of households using peanuts and peanut butter in
creases .
Table 3. --Average quantity of peanuts, peanut butter ( shelled weight) 1/

used at home in a week per person in households of selected composition
by annual income class. 2 /
Income class ( 1947 income : Minneapolis.- : San
after Federal income tax-- , St. Paul : Francisco : Birmingham : Buffalo
dollars ) and season 1948 : :
Lbs . Lbs . Lbs . Lbs .
All Classes .. ..Winter 0,097 0,059 0.132 0,072

Spring .027 .076 .095 .058
Fall .068 .077 .085 , 059
Under 2,000 .......Winter .039 .100 . 092 .055

Spring .024 .071 . 083 088
Fall .018 .013 .064 051
2,000 - 2,999 .....Winter .075 .045 .188 .051

Spring .083 . 051 .104 .070
Fall .100 .067 .099 .064
3,000 - 3,999.....Winter .116 .049 . 106 .088

Spring .082 O 070 .112 .051
Fall . 059 .067 .090 . 049
4,000 and Over ....Winter .117 .066 .086 .lll

Spring .067 .092 .109 .045
Fall .060 .105 , 071 .074
1 / Includes the weight of shelled peanuts and peanut butter added to 70

percent of the weight of peanuts in shell .
2 / USDA, Agricultural Research Admin . , Bureau of Human Nutrition and
Home Economics 1948 Food Consumption Surveys , Preliminary Reports Nos, 8 ,
9 , 10 , and ll .
There are some recent indications that the improved merchandising

techniques of the industry are beginning to pay off . Figures available
on current consumption show encouraging increases for the period Septem
ber 1949 through January 1950 . It is too early to tell whether this
higher rate of consumption will be maintained or increased for 1950 , but
the trend is in that direction .
The role of advertisingand intelligent , aggressive merchandising

cannot be the industry's campaign to recapture the
over emphasized in
high rate of wartime consumption . The favored position of peanuts and
peanut products has long since vanished with the return of plentiful
supplies of peanut's competitors . Even during the period of highest con
su mption ( 1945 ) , representatives of the industry and others cautioned
against a sharp decline in demand for edible uses .
Selling Campaigns Must Be Adapted
To Problems of Individual Firms
The following are suggestions for improving the marketing of peanuts

and peanut products . Most apply to the industry generally; adaptation
to problems of individual firms would be governed by immediate situations .
Market only quality products . Quality either commands a higher
price or sells more readily . Increased sales will probably be more the
result of repeat sales than the addition of new customers ,
Follow the product through the market . It is important that the
ow the
manufacturer or processor know how his products are handled , particularly
in the retail store . He should try to see to it that ( a ) products that
have deteriorated due to rancidity , appearance or other causes are with
drawn from the market , and (b ) his products are kept before the customer
and not placed in an out of the way location ,
Use package and label that will increase con su mer appeal . In the
last few years many improvements have been made in packaging materials ,
Products must be attractively labeled and packaged and easy to handle .
Recipes , suggestions for varying uses , and other effective sales devices
must not be overlooked . The processor or manufacturer should be on the
alert for improved merchandising methods . He should not be reluctant to
make changes , or take chances with new methods .
The development of the self - service food markets has made it more
necessary for the processor and manufacturer to advertise actively those
products sold through such markets . Advertising experts believe there
are many industries that do not use a dvertising most effectively . The
peanut industry cannot afford to be in this class , Yet there is a ten d
ency on the part of some firms to curtail expenditures for advertising
during periods of declining markets and increase them during periods of
expanding markets . According to some marketing experts , the reverse will
probably pay higher dividends ,
* * *
TYPES OF FARMING CLASSIFIED IN BAE PUBLICATION
Ten major types of farming have been classified and regionalized in

"Generalized Types of Farming in the United States ," ( Agri . Info . Bul .
No. 3 ) , recently issued by and available from the Bureau of Agrioultural
Economics .
March 1950 19
Farm Cooler Protects Eggs
By Elizabeth S. West
The critical period in the life of an egg , say USDA marketing re

searchers may well be that devastating delay at the farm -- after eggs have
been laid and before they are carried off to market , Recent surveys made
in the Midwest under the Research and Mar
keting Act show that quality hits the skids
in one out of three eggs while they wait
unattended at the farm . Much of this loss
could be prevented if eggs were properly
cooled in a simple , farm - constructed de
vice developed and proved by research ,
Eggs Face Double Hazard
In many parts of the country where

farm flocks are not consid
ered a major venture , eggs
are subjected to one or both
of two particularly bad in
fluences : high temperature
and low humidity . Eliminate
these , sayege marketing
specialists , and farm stor
age prevents few hazards .
Luckily for both the

farmers and the eggs , the
researchers are prepared to
back up their studies with
sound and inexpensive ways
to maintain quality during
the most destructive summer
months ahead .
Perhaps the most preo

tical advice has been to
The farm - built cooler is nothing more than a
build a simple , electrically- wind tunnel for eggs , in which air is humidified
powered farm egg cooler . as it is driven through dampened burlap .
Exact specifications and operating instructions for this device have been
prepared by and are available from the Rural Electrification Administra
tion of the U. S. Department of Agriculture , The farm - built cooler is
devised as a modification of plans developed earlier by the University
of Missouri and recently published in RURAL ELECTRIFICATION NEWS ,
The egg cooler is designed simply and inexpensively to combat simul
taneously both heat and low humidity . Most simply, the cooler could be
described as a wind tunnel for eggs through which moist air is blown
rapidly by an electric fan . Eggs are placed in the tunnel in wire bas
kets or any container which permits air to pass readily around
container which the
eggs ; the moving air is dampened by forcing it through a moist burlap or
wick baffle placed between the fan and the eggs .
Construction costs can be cut by using old or used lumber for the
tunnel or box , while the baffle or dampening device may be improvised
simply from burlap bags and a small wooden water trough . ven the wire
mesh baskets may be bypassed by substituting generously - perforated old
milk pails . There is no hint in the specifications that the fan may be
farm - cobbled , but the plans wisely make provision for its removal for
other purposes when the cooler is not in use .
Operating costs Low
Cooling time required will range from one to four hours , depending
on humidity , temperature , and other local factors . Operational costs
are minute , since a fan of household size may be operated at a cost of a
few cents for 24 hours service . After the eggs are thoroughly cooled they
should be stored in the coolest place available , preferably a refrigera
tor , until they are marketed .
Properly cooled in moist air , eggs consistently grade higher and

command better prices than eges which are faultily handled. Higher qual
ity is assured because embryo growth , interior deterioration and loss of
weight are prevented ,
In addition to these valuable " assists " to maintaining egg quality ,

however , researchers point out that frequent gathering -- three times a
day in summer and twice in winter -- plus good care and early marketing
after cooling are equally essential to maintaining highest egg quality .
QUALITY LOS SES OF COLD - STORAGE AND NONSTORAGE EGGS COMPARED
When their interior quality is approximately the same , eggs removed

from cold storage and eggs that have not been in cold storage lose qual
ity at about the same rate . This was in di cated in recent studies made
by the U. S. Department of Agriculture under the Research and Marketing
Act to test the widely held opinion that cold - storage eggs lose quality
more quickly than non storage eggs . In summary , the same decrease in egg
quality at various holding temperatures for both storage and nonstorage
eggs was found .
The work was done jointly by the Poultry Branch , Production and Mar
keting Administration , and the Bureau of Animal Industry , Agricultural
Research Administration . Details of theinvestigation are available
from the Information Branch , PMA , USDA , Washington 25 , D. C.
March 1950 21
Marketing Briefs
Cotton . --USDA announced in mid - March that there will be no price
support program for long staple cotton produced in 1950 . Long staple
cotton ( principally American - Egyptian , and normally with a staple length
of one and one - half inches or more ) has been supported at 90 percent of
parity in recent years . Price support was mandatory ( as a non - basic
commodity) through 1948 under the Steagall Amen dment, and through 1949
under the provisions of the Agricultural Act of 1948 .... Barter of cotton
for a strategic material has been arranged in cooperation with the Fed
eral Supply Service . The transaction , announced March 21 by Ralph S.
Trige , president of CCC , was the first to be made under a provision of
Section 4 ( h ) of the ccc Charter Act which authorized the CCC to accept
strategic and critical materials produced abroad in exchange for agri
cultural commodities acquired by the Corporation .
Dairy .--March 20 , USDA announced final approval of proposals for

changing minimum farm milk prices in the Philadelphia milk marketing area
--to go into effect if approved by two - chirds of the dairy farmers regu
larly supplying in the market, As finally approved by the Department ,
the proposals would establish the minimum farm price for class I milk at
$ 5.02 per hundredweight April through June 1950 and would reduce by 10
cents per hundre dweight the minimum class II price March through July .
Class I milk in the Philadelphia market is used chiefly in fluid milk
(bottled milk ) and fluid milk drinks , while Class II is used in fluid
cream and manufactured dairy products ,
USDA also announced on March 20 its final decision to issue a Fed

eral order to regulate the handling of milk in the Tulsa , Okla . , milk
marketing area . Scheduled to go into effect May 1 , the Federal order
must first be approved by at least two - thirds of the dairy farmers in
the area voting in a referendum . ... March 16 , USDA announced its final de
cision to make four proposed changes in the Toledo Federal milk marketing
order . Before the changes can go into effect they must be approved by
two - thirds of the dairy farmers regularly supplying the market . Tho
principal change would require milk handlers to make payments to a co
operative , if requested , for milk received from dairy farmers who have
authorized the cooperative to receive such payments . This change also
would require the milk market administrator to furnish such cooperatives
the necessary information for making payments to dairy farmers . ( The
milk market administrator supervises the operation of the Federal order
which regulates the handling of milk in the area . )
Fats and Oils.-- Sale of 3,000 long tons of ccc stocks of crude cot
tonseed oil to the Army for shipment from Houston to Japan was announced
April 5 by USDA . Cumulative CCC sales of 1949 - crop crude for export now
total 16,000 tons , a sale of 13,000 tons having been made a few weeks ago
for shipment to Germany under ECA . USDA also reported that 10,000,000
pounds of crude cottonseed oil was sold from CCC stocks during March for
domestic use in the United States .... USDA announced March 21 that pur
chase agreements covering 1,748 tons of tung nuts and 11,462,509 pounds
of tung oil have been made by producers and CCC in accordance with pro
visions of the 1949- crop tung support program announced by the USDA Feb
The agreements represent a little more than half the
ruary 6 , 1950 .
total production of oil (estimated at approximately 21,000,000 pounds )
from the 1949 crop of tung nuts .
Fruits and Vegetables . --The effective period of the fresh apple ex
port program has been extended until May 1 , 1950 , USDA announced March 20 .
Under provisions of the program , which became effective October 13 , 1949,
export payments of up to 50 percent of the f.2.8 . price--but not more
than $ 1,25 per package of one bushel -- are made to United States exporters
of apples to encourage exports of this fruit to countries , territories ,
or dependent areas approved by the Departmento A total of 1,806,097 bu
shels of apples had been exported or declared for export by March 11 ,
1950 , under this program ,
Grain .--The International Wheat Council, by action taken March 15 ,
has accepted Germany's application for membership and has postponed fur
ther consideration of Japan's application until June or July . The Council
accepted the application of Germany for accession to the Agreement with
an annual quota of about 67 million bushels . German participation in
the Agreement will become effective upon deposit by that country's Govern
ment of a forma l instrument of acceptance with the U. S. Department of
Stato . However , upon such acceptance , supplies of wheat already shipped
by the U. S. to Germany this year -- about 28 million bushels --which have
not been di stributed for consumption will be recorded against this year's
quota . The total increased quota ( approximately 67 million bushels ) re
sulting from the accession of Germany will be assigned to the United
States for the 1949-50 year . For the remaining three years , the U. S.
quota will be increased by 55 , 47 , and 45 million bushels , respectively ,
over its present quota .... March 8 , CCC announced that it is making
awards for the purchase of 81,380,000 bushels capacity of bin -type and
comparable grain storage structures . The awards are being made in accord
ance with the previous announcement that CCC was preparing to buy addi
tional emergency storage facilities to help handle grain which will he
turned over to CCC this spring under price support programs . All of the
structures which are being bought are of a semi - permanent type which can
be dismantled and moved to other locations and converted to other uses
when they are no longer required by CCC .... April 4, CCC announced that
it is receiving , through April 17 , offers on approximately 2,000 per
forated floors and approximately 2,000 ventilating duct systems for use
in gra in storage structures of the type recently purchased by CCC. Of
fers are to be made by manufacturers who will fabricate the component
parts in such a manner as to require a minimum of fastenings for actual
installation , CCC reserves the right to reject in whole or in part any
or all offers . Any purchases by CCC will be made fooob . rail or truck ,
manufacturer's plant ,
Livestock --Government purchase of 4-1/

4-1 / 2 million pounds of prime
steam lard for the Department of the Army for shipment to Japan is being
March 1950 23
negotiated during April USDA has announced . Since December , approxi
mately 117.7 million pounds of lard have been purchased for export to
Germany and Austria under ECA requisitions and to Okinawa under a De
partment of the Army requisition .
Poultry .--Sales to the United Kingdom of 31,818,000 pounds of dried

whole eggs at an average price of 22 cents per pound were announced March
21 by USDA . Made from CCC stocks of dried eggs acquired under price
support programs , the sales were financed by the use of Economic Coopera
tion Administration funds , Section 32 funds , and British dollars . The
transaction , together with other recent export sales and donations to
public and private welfare organizations, reduce CCC's inventory of dried
eggs to 52 million pounds.... Purchase of dried eggs will be continued
during May and June at levels reflecting to producers a price of at least
25 cents a dozen ( 27 cents a dozen when delivered by the producer to the
plant of the drier ) , USDA announced April 6. This will be a continuation
of the support program that has been in effect since January , and at the
same levels .... USDA has announced proposed requirements to be met by
processors in connection with the preparation of poultry and rabbit car
casses under the recently revised USDA grading program for ready - to - cook
poultry and domestic rabbits . The requirements call for the examination
of poultry and rabbits during the eviscerating process by qualified per
sons for any condition which might render the carcasses unfit for food ,
and that all such carcasses be condemned . These requirements have been
proposed as additional assurance that ready-to -cook poultry or rabbits ,
bearing official USDA grade labels , are whole some products ,
Sugar .--Minimum wage requirements for work on the 1950 crop of sugar
beets in regions other than California , southwestern Arizona , and south
ern Oregon were announced March 17 by USDA . Producers meet suoh require
ments as one of the conditions for payments under the Sugar Act of 1948 ,
The 1950 crop wage determination continues wage rates at the general
level of those in effect for the 1949 crop , although some changes have
been made in specific rates for particular operations . The supplemental
wage payment for the completion of an agreed -upon acreage in harvesting
has been eliminated and the amount of the harvesting supplement dis
tributed among the " summer work" rates .
Tobacco .-- A program to support the price of 1949-crop Connecticut
Broadleaf (type 51 ) tobacco was announced by USDA on March 20. Support
for this tobacco is required by applicable legislation , but this is the
first time that support has been requested by growers , as market prices
in the past , have exceeded the support level . USDA announced a loan
schedule for un sorted Broadleaf tobacco ranging from 17 to 54 cents per
pound , with an average loan level of 40.6 cents per pound . The loan
level is based upon a crop of average quality with a normal distribution
of grades . A loan schedule for sorted Broadleaf will be announced in the
near future , Prices received by growers for the 1948 crop on an unsorted
basis averaged 60.2 cents per pound .... April 7 , USDA announced a program
to support the price of 1949 - crop Puerto Rican ( Type 46 ) tobacco . Support
for this tobacco is required by applicable legislation . The Department
announced a schedule of loan rates by grades ranging from 7 to 45 cents
per pound based on the average loan level of 31.5 cents per pound . This
is 90 percent of parity as of October 1 , 1949 .
ABOUT LARKSTING
The following addresses , statements , and publications, issued re

publications desired , detach and mail to the Produotion and Marketing
Address and Statements :
The Ranchers ' Our Farm Economy , an address by Ralph S.

Stake in
Trige , Administrator , Production and Marketing Administration and Presi
dent , Commodity Credit Corporation , before the New Mexico Cattle Growers '
Assn . , Albuquerque , New Mexico , March 27 , 1950 . 9 pp . ( Processed )
Commodity Holdings and Surplus Disposal , a statement by Ralph S.
Trige before the House Committee on Agriculture, March 30 , 1950 . 14 pp .
Cottonseed Support in the Farm Program , a talk by Ralph S. Trige ,

at the Meeting of the Texas Cotton Ginners ' Assn . , Dallas , Texas , April
3 , 1950. 13 pp . ( Processed )
The Economics of Cotton Ginning by Francis L. Gerdes , In Charge ,
Ston eville Laboratory , Research and Testing Dim . ( Paper presented be
fore the Annual Meeting of Carolinas Ginners ' Assn . , Inc. , Shelby , N.C. ,
January 9 , 1950 ) 15 pp . ( Processed )
Publications :
Terms Used in Livestock Market News . Folder . (PMA ) ( Processed )

Cotton Quality Statistics United States 1948-49 , Statistical Bulle
tin No. 86 . January 1950. 63 pp . ( PMA ) ( Printed )
Poultry Grading and Inspection Program High Lights for Con sumers .
PA - 96 , March 1950 . 4 ppo (PMA) ( Printed )
Facts About the "Grading Service" for Large - Scale Users of Meat .
January 1950 . 2 pp . (PIA ) (Processed )
Marketing Practices and Egg Quality , 1948-49 . Bulletin 858 (North
east Regional Publication No. 3 ) February 1950 . 23 pp . ( Cornell Uni
versity ) ( Printed )
Periodic Market Reports of the Production and Marketing Administra
tion . March 1 950 . 30 pp . ( PMA ) ( Processed )
Publications and Reports Relating to Poultry and Eccs . March 1950 .
12 pp . (USDA ) ( Processed )
Commodity Credit Corporation Loans and Purchase Agreements ( Gra in
Sorghums , Wheat , Flaxseed , Barley , Oats , Rye , Réce , Dry Beans, Dry Peas ,
Soybeans, and corn 1949 Crops ) PA- 98 March 1950 . 2 pp . ( PMA) (Printed )
March 1950 25
ABOUT MARKETING (Costida
Summary of State and Regional Cold Storage Holdings for 1949 , March
1950 , 46 ppo ( PMA ) (Processed )
The Wholesale Markets for Fruits, Vegetables , Poultry , and Eggs at
Tulsa , Okla . March 1950. 78 pp . ( PMA in cooperation with Marketing
Divn , of Oklahoma State Board of Agriculture ) (Processed )
Variations in State Standards and Grades for Eggs . April 1950 , 15
pp . ( PMA ) ( Processed )
List of Manufacturers of Fruit and vegetable Hampers and Baskets
(Revised to March 1950 ) 20 pp . ( PMA ) (Processed )
Tentative Standard Gradés for Sorted and Unsorted Broadleaf Tobacco
of Type 51 (Revised March 24 , 1950 ) 14 pp . ( PMA ) (Processed )
Receipts and Disposition of Livestock at 64 Public Markets Calendar
Year 1949 . January 20 , 1950 , 9 pp . ( PMA ) (Processed )
Marketing Imperial Valley Carrots Summary of 1949 Season . February

1950 , 15 pp . ( PMA and Calif . Dept. of Agriculture cooperating ) (Proc
essed )
Marketing Summary Colorado Cauliflower , Green Peas , Mixed Vegts .
1949. Released Mar. 23 , 1950. 11 pp . ( PMA and Colorado Dept. of Agri
culture cooperating ) (Processed )
Marketing Long Island Cauliflower Fall Season -1949 . 4 pp . (( PMA
and N. Y. State Dept. of Agriculture cooperating ) (Processed )
Marketing Northwestern Pears-- Season 1948-49 . Released March 1950 ,
18 pp . (PMA and Washington State Dept. of Agriculture cooperating )
( Processed )
United States Standards for Grades of Canned Field Peas and Canned
Black - Eye Peas ( Effective April 17 , 1950 ) 7 pp . ( PMA) (Processed)
Marketing Long Island Potatoes , Summary Report, 1949-50 Season .
14 ppo (PMA and N. Y. State Dept. of Agriculture cooperating ) ( Processed )
Marketing Northwestern Cherries and Apricots --Season 1949 , March
1950 , 19 pp . ( PMA and Washington State Dept. of Agriculture cooper
ating ) (Processed )
you desire .--Editor )
NAME
ADDRESS
CITY ZONE STATE
H8217
April 1950
". A
ST
MAY
29
12:
DOCUM 56 Di
ENT
MARKETING
ACTIVITIES
N
PA
DE
Washington 25, D.C.
Agriculture . Washington
IN THIS ISSUE :
HAY FOR PROFIT

By W. H. Hos terman . Page 3
Hay has not lost status as a first - ranking crop just because horses
are on the way out . It is proving itself to be a money maker in the
dairy barn and the feed lot .
PUTTING PRODUCE ON WHEELS
By Joseph F. Herriok , Jr , ... .. .. Page 9
" Produce hits the skids" -- Semi- live skids , that is --might have been
a better title for this story , which shows how fruit and vegetable handl
ing methods are being improved .
NAMO FACES MARKETING PROBLEMS ... Page 14
When representatives of the National Association of Marketing Offi

cials met in Washington recently they did some plain talking about mar
keting problems and practical solutions ,
MARKETING BRIEFS ... Page 24
Address all inquiries to The printing of this publioation

The Editor , Marketing Activities has been approved by the Director
Production and Marketing Admin . of the Bureau of the Budget-
U. S. Department of Agriculture March 28 , 1950.
Washington 25 , D. C. Material in Marketing Activities
may be reprinted without speoial
Issued monthly . Vol . 13 , No. 4 permission .
Hay for Profit
By W. H. Hosterman
The old expression " That ain't hay " has lost its significance . Some
changes have taken place in farm planning and hay itself that have knocked
the bottom out of the phrase . More and more farmers are pointing to im
proved fields , rich pastures , and mows full of high - protein feed and say
ing " That is hay and I'm proud of it ."
Actually , any feeling that hay was a second -rater among major farm
crops has never been warranted . Ranking right behind corn , wheat , and
cotton in farm value , hay has not lost ground simply because its one
time top con sumer , the horse , is passing out of the picture . The fading
demand for hay as a feed for horses and mules has been more than offset
by ino reasing use as a forage for cattle --in the feed lot and the dairy
barn . More important recently, has been the increased utilization of
top - quality hay as a relatively cheap source of protein for cattle and
she ep . Moreover , in figuring the overall importance of hay and grasses
no one can afford to overlook their incalculable value as soil builders
and controllers of erosion and drought .
Hay must sell itself on its value as a money - maker in year

to - year farm operations , rather than in its role as a soil builder
and erosion controller .
3
April 1950
Both conservationists and marketing economists in the U. S. Depart
ment of Agriculture know , however , that hay must sell itself on its value
as a money -maker in year - to - year farm operations , rather than in its role
as a soil rebuilder and erosion controller .
Feeding experiments whioh have been conducted from time to time in

different sections of the country show hay to be a relatively inexpensive
sairce of nutrients. In New Jersey 100 pounds of total digestible nutri
ents cost $4,23 when supplied in concentrates , $ 3.35 when supplied in
hay , $2.07 when supplied in silage , and $1.14 when supplied in pasture .
At Huntley, Montana , 100 lbs . of total digestible nutrients cost $1,20
when supplied in barley , $ 1.03 when supplied in oorn silage , $0.64 when
supplied in alfalfa hay, and $ 0.37 when supplied in pasture . An analysis
of costs of 100 lbs . of total digestible nutrients from published ro
ports of farm management surveys made by the Bureau of Dairy Industry ,
U. S. Department of Agriculture , give the following figures : barley $ 1,70 ,
com ( silage ) $ 1.54 , timothy hay $ 1.21 , olover hay $ 0.97 , alfalfa hay
$0.83 , and pasture $0.64.
Important in Crop Diversion Programs
With overall agricultural planning shifting toward greater livestock

numbers , hay crops and pasture improvement programs are ideally suited
to fill the gaps left by acres diverted from cash grain orops . Most of
the hay produced in the United States is fed on the farm where grown . Of
the 1948 orop about 13 percent was sold from the farm on whioh it WEB
produced ; but no information is available on the quantity moving in oom
mercial channels or for use on nearby farms . Probably half of the hay
that was sold was handled by the organized hay trade and was shipped by
car or truok .
This movement of the 1948 - orop hay from the farm on whioh it was
produced varied , among different areas , from 4 percent in North Dakota

to 60 peroen t in Arizona . In the Middle Atlantio and East North Central
States about 10 pe roent of the crop was sold . In the dairy State of Wis
consin , less than 5 pero ent Was sold . In Idaho , Nevada , Colorado , and
New Mexico , where much livestock is summered in the mountains and brought
down into the valleys for the winter , about 25 percent of the hey normally
leaves the farm . A similar proportion moves from the farm in Washington
and Oregon , where much alfalfa hay is grown east of the Cascade Mountains,
while most of the dairies are looated west of the range ., In California
where dairying is concentrated near the large cities and where alfalfa
is grown chiefly in the irrigated valleys , about 37 pero ent of the hay
is sold,
The faot that dairy cattle con sume about 53 per centof the total hay
crop is the basis for this movement toward dairying regions . Beef cattle
con su me about 19 percent of this amount , sheep about 6 percent , horses
and miles about 20 percent , and other livestock about 2 percent. In the
break down of all feed consumed by separate groups of livestock hay makes
up 26 percent of the total for dairy oattle , 14 percent for beef cattle ,
12 percent for sheep and goats , and 33 percent for horses . Of the total
feed supply for animals the hay crop furnishes about 15 percent .
Wherever hay has played a major role in successful farm feeding
operations one common rule holds good : The quality of the hay must be
high . Because feeding value in hay is tied so closely to quality there
is good evidence that for many farmers the more economical way to in
crease the farm feed supply would be to improve hay quality through better
cultural and curing practices , rather than through increased acreages .
While weather conditions
strongly affect hay quality ,
it has been observed that
certain farmers in a given
region consistently put up
good hay.
At present very little

definite data on the average
hay crop is available . It
is clear , however , that if
farmers gave the same thought
to improving the quality of
hay that they have given to
improvement of other farm
crops -- especially those they
sell for cash -- the feed value
of the crop would be materi
ally increased , Those farm
ers who plan to change their
farm operations to include
more grassland will find it Year in and out , Some
profitable to produce quality farmers consistently put up
hay for winter feed.
good hay .
Alfalfa Is No. 1 Hay Crop
A reflection of the trend toward production of hay of higher feed

value may be found in the recent increases in the more highly nutritive
kinds such as alfalfa and lespedeza . Selection of variety , of course ,
may first be regulated by climatic and soil conditions, through the latter
factor is subject to some control through soil conditioning . Of the
total of 99,305,000 tons of hay harvested from 72,835,000 acres in 1949
about 39 percent was alfalfa hay, 25 percent timothy and clover mixture ,
12 percent prairie hay, and about 9 percent was lespedeza . The remainder
consisted of miscellaneous kinds such as Johnson hay and soybean hay .
every State .
Alfalfa is grown in almost In 1949 , thirteen States
each produced 1 million tons or more of alfalfa hay . Most of these
States were located either in the north central region or the western
region where soils and climate are most favorable for alfalfa pro duction ,
In recent years alfalfa hay production has also increased in the North
eastern States and in Maryland and Virginia although the increase has
not been as great as in the North Central States ,
Production of timothy and clover hay has declined in recent years
though it is the second crop from a production standpoint. Since timothy
April 1950 5
and olover are usually grown together the production or proportion of each
of these kinds of hay cannot be ascertaine de Clover , red, alsike , and
white , probably makes up more than half of the total because these kinds
of hay are prevalent in the States where dairying is the important farm
enterprise and hays containing a maximum percentage of legumes are pre
ferred . Timothy and clover hay will continue to be the principal kind
of hay in those areas where good stands of alfalfa are diffioult to ob
tain . It is relatively easy to obtain good stands of timothy in most of
the area north of the Potomac and Ohio rivers and east of the Missouri
River -- a situation which assures a hay crop if the clover portion of the
mixture is lost because of adverse weather conditions during the winter ,
Lespedeza hay is produced to the greatest extent in a belt extend -

ing from Virginia and North Carolina on the east , to eastern Kansas and
Oklahoma on the west . It is a legume that will grow on soils of a lower
fertility level than the clovers and alfalfa although it will respond to
lime and fertilizer . Lespedeza , with the exception of the Sericea variety ,
Because of its hardy nature , timothy , or timothy and clover

mixtures , will continue to be the principal kind of hay in those
a reas where good stands of alfalfa are difficult to maintain .
is an annual , the seeds of which germinate and start to grow rather late
in the spring . Under these conditions weeds often are a problem from a
quality stand point. The crop is often seeded with oats or in winter
wheat which tends to reduce the weed content , but when harvested follow
ing the grain crop the hay may contain a high percentage of straw or
grain stubble ,
Prairie hay production is confined largely to prairie and Great
Plains States . It is made up of the native grasses harvested from the
areas where the native sod has not been destroyed by plowing .
The remainder of the hay crop is made up of various kinds of plants

suitable for hay , none of which are important except in rather restrioted
looalities .
Hay Standards Stabilize Marketing
In an effort to bring about a more direot relationship between hay

quality and price , and thus stabilize marketing , studies in hay stand
ardization were begun in 1919 under the annual appropriation act for the
United States Department of Agrioulture. Prior to this time a county
wi de survey of hay marketing practices was made and several bulletins on
marketing hay were issued . Grades for timothy and olover hay were issued
in 1922 and the standardization studies were extended to other kinds of
hay in 1923 . The research has been continued through the years and
at the present time there are standards for eleven groups of hay as fol
lows : Alfalfa and Alfalfa Mixed Hay, Timo thy and Clover Hay , Prairie Hay ,
Johnson and John Mixed Hay , Grain , Wild Oat , Vetoh , and Grain Mixed Hay,
Lespedeza and Lespedeza Mixed Hay , Soybean and Soybean Mixed Hay , Cowpea
and Cowpea Mixed Hay , Peanut and Peanut Mixed Hay , Grass Hay , and Mixed
Hay .
These groups are based on the combinations of various kinds of hay

commonly found together in the chief areas of produotion and in the prin
cipal markets . Timothy and Clover hays , for example , belong in one group
because these hays are grown in quantity in the same geographic region
and often appear in mixtures with each other .
Dealers Like Grading Schools

The National Hay Association and the New York Hay and Grain Dealers
Asso oia thonboth have a dopted the Federal hay standards and are using
the standards as the basis of trading in those cases where specifio
grades and ola 888s are quoted . However , many dealers continue to use
desoriptive terms when desoribing hay because they feel that dealers in
certain areas are not thoroughly conversant with the standards . A number
of schools have been held for the members of the hay trade during the
last few years and in an effort to familiarize the han dl ers of hay 80
they can use the standards as a basis of trading . Interest at those
schools has been high , and more important , dealers who have traded in
hay for 20-30 years have been eager to test their " grading eye " and work
with new testing techniques ,
The standards are also used to determine both the quality of hay pro
duoed under ontrolled produotion experiments , and the quality of hay
used in various feeding experiments .
In New Jersey samples were taken from the hay the farmers had pro
duoed on the farm and were feeding to dairy cattle . Samples were taken
at monthly intervals (November to March 1948 , and again in 1949) from
7
April 1960
the barns of 10 farmers in each of 8 counties . These samples were graded
each month shortly after they had been collected . A total of 1,100 sam
ples , were graded , of which 17 percent graded U. S. No. 1 , 46 percent
graded U. S. No. 2 , 18 percent graded U. S. No. 3 , 17 percent graded U.
S. Sample grade , and 2 percent did not classify as hay under the stan
dards . The breakdown by classes indicates that the New Jersey farmer is
growing considerable legume hay for dairy feeding . Thirty - seven percent
of the samples was classed as alfalfa or alfalfa mixtures , 8 percent as
tim
clover or a mixture in which clover predomina tod, and 35 percent as con
othy or a mixture in which timothy predominated . The remainder
sisted of odds and ends , such as grass hay and soybean hay .
Feeding Values Studied
The standards are also used to determine the quality of hay used in
feeding tests by the Bureau of Dairy Industry and a number of the State
agricultural experiment stations . Currently a cooperative project between
the Bureau of Dairy Industry and the Production and Marketing Administra
tion is examining the correlation between grade of hay and feed value .
This study is authorized and financed under the Research and Marketing
Act of 1946 . So far comparisons between U. S. No. 2 and U.S. No. 3 ,
Alfalfa feed for milk production and calf growth have not shown much
difference in favor of the U. S. No. 2 Alfalfa . Preliminary results with
U. S. No , I and U. S. No. 3 Alfalfa being fed to dairy heifers in other
trials this year at Beltsville indicate that U. S. No. 1 is superior to
U. S. No. 3 in promoting growth as measured by gains in body weight,
Grading Service Provided
In order to insure that adequate trained personnel will be available
to provide grading service in the hay trade throughout the country a Fed
eral hay- inspection service is conducted by the Grain Branch of the Pro
duction and Marketing Administration . The general plan for this service
provides for the employment of Federal or Federal - State hay inspectors at
important central markets , and at shipping points under cooperative agree
ments between PMA and organizations , such as State departments of agri
culture , comme roial exchanges , and dealers ' or growers' associations .
The work of the local inspeotors is guided by supervising inspec

tors located at central points in the ler ge hay pro duo ing and consuming
areas , These supervising inspectors , or other employees of the Grain
Branch , are available at certain points to make examinations if no in
spector employed by a cooperating agency is available , Producers , deal
ers , and consumers also benefit from the educational work readily pro
vided by inspectors for both the hay and straw standards and the inspec
tion service ,
* * *
POISON LABELS MEAN BUSINESS
Proper use of the growing list of economic poisons requires care

ful reading of the label , stresses the U. S. Department of Agriculture
in Picture Story No. 76 , now available from USDA'S Office of Information .
Putting Produce on Wheels
By Joseph F. Herrick , Jr.
The physical handling of fresh fruits and vegetables in the market

ing channel accounts for nearly half of the total marketing cost. How
mich this expense can be reduced through more efficient use of labor and
equipment is being studied in a Research Marketing Administration project
carried on by the Production and Marketing Administration , in coopera
tion with distributors
The project is designed to show the best applications of labor and

materials handling equipment, such as hand trucks , conveyor systems ,
skids , pallets and fork lift trucks , and combinations of these . In their
'work the researchers are not only introducing new equipment in stor es and
warehouses but also developing methods of improving the efficiency of
that on hand . More efficiency in produce handling means outs in the cost
of marketing and thus benefits to produo ers , the trade , and consumers .
Some Man -Hours Are Expendable
Although work is still in progress , preliminary findings indicate

that con si derable savings or reduction in man - hour requirements are pos
sible even in the better managed warehouses and wholesale stores . This
was determined by careful time study and analysis of the handling in
volved in unloading , storing and loading out . By revising some of the
methods of using handling equipment , it is possible to reduce total man
hour requirements as much as 25 percent in some warehouses . Even with
out modifying plant facilities , and with the same handling equipment , the
time studies indicate that as much as 40 percent of labor costs may be
saved in the less - efficient warehouses and wholesale stores .
High on the list of handling aids which should enjoy broad accept
anoe is the semi - live skid and jack for use in team track unloading .
Normally , in such an operation the truck is backed up to the open car ,
loaded as tightly as possible , driven to the store or warehouse and un
loaded, again involving a good bit of muscle and time . By contrast , with
the skid and jack system , the produce is loaded on to the skids which are
arranged with their wheels or " live" ends forward in the bed of the
truck , With four loaded skids to remove-- instead of dozens of single
crates-- delivery is accomplished swiftly . At the destination the skids
are mobilized simply by the jaok , and wheeled from the truck bod when
platforms are of proper height . A further refinement in the application
of the skid and jack system is achieved where skids are loaded in the
cars and then wheeled into the empty truok .
April 1950 9
LOADS WITHIN A LOAD
The semi - live skids on
the left are really strong
trailers or half - dollies
sized to fit the bed of the
truck . Their cargoes thus
M
become loads within the
load . Stability in transit
is afforded by the " dead"
ends which are made mobile
by the wheeled jacks . Un
loading is accomplished
swiftly -- in four operations
rather than through hand
ling scores of individual
containers .
It is possible to
stack loads weighing
up to a ton on the
skids -- 15 LA crates of
lettuce , 24 standard
boxes of oranges or 20
bags of potatoes .
Locking" or " tying"
the load is a good
practice , particu
larly if hauls are
lengthy or over
rough roadways .
One essential to the

use of semi - live skids is
that platforms be at truck
bed level , though moderate
lifts , drops or gaps may
be overcome by means of a
bridge plate used singly
or in combination with the
tail gate .
GOING A STEP FURTHER
Right -- More handling

has been avoided in that
the skids have been loaded
in the car and then wheeled into the waiting truck .
Further refinements in the application of the skids are being

developed by U. S. Department of Agriculture researchers .
10
Markoting Activities
LET SKIDS DO THE WORK
Less handling not only means

lower handling costs but less
wear and tear on both produce and
men . Such operations as the
watermelon brigade " pictured on
the left are common sights in
produce markets .
PIE
Right-- The " box " or arack "

skids serving as dollies cut out
much handling because they can
readily be moved into storage or
on to retail stores .
Racks may be adapted to

meet the needs of different
items -- just as there is a great
deal of flexibility in the ap
plication of the skids them -
selves . TWO KINDS OF LOADS
The packed - to - the roof load on

the left looks good , but it means in
dividual handling of each box in both
loading and unloading . Even with the
help of a hand truck , little time can
be saved because each box must be
manually loaded .
]]
Right-- In contrast , researchers
have shown that stacking containers
so that each hand truck load is a
unit -- allows quick pickup and move
ment , and pays off in time and labor
saved .
April 1960 11
Ordinarily the skids are stacked with a predetermined number of
packages , varying of course , with container size and commodity . It is
possible to stack 15 LA crates of lettuce , 20 bags of potatoes , 24 stand
ard boxes of oranges or comparable loads of other commodities on skids
of a general size . Generally it may not be too efficient to exceed
load of 2,000 pounds on each semi - live skid . " Locking " or " tying " the
load are good practices , particularly if trips to the store are lengthy
or over rough roadways ,
One essential to the use of semi - live skids is that platforms be
at truck bed level , though moderate lifts , drops or gaps may be overcome
by means of a bridge plate used singly or in combination with the tail
gate .
With this type of operation real savings occur at the store where
one or two men can remove 200 lugs of tomatoes , 60 LA crates of lettuce ,
80 bags of potatoes , or 96 standard boxes of oranges in a matter of five
minutes or less . This means that an equivalent car load can be removed
from the truck to the store platform in less than one man -hour . The
low man - hour requirement is due to the need of rolling out only 15-25
skid loads instead of handling as many as 750 individual packages .
In addition to the saving in man -hours , less handling means les 6
bruising and spoilage . Finally , other operations and traffio are rela
tively less hampered because dooks and platforms are tied up for shorter
periods of time ,
Hand Truck Loads Ready -Made
An example of an improved technique with equipment in use is found

in the researchers ' suggestion for better utilization of the hand truok ,
Although this devioe normally expedites and eases motor truok unloading
because two or three containers may be moved at once , containers must
still be handled separately in loading onto the hand truck The re
searchers have shown that proper stacking of the containers on the motor
truck -bed --so that each hand truck load is arranged as a unit -- will allow
quick pickup and movement with the hand vehicle , When compared with the
normal jammed - to - the - roof truck cargo , this loading arrangement shows
that substantial savings in labor are possible ,
A third phase of the research --adapting in - use equipment for greater

service -- is illustrated by the suggestions that these same hand trucks
be modified with racks to unload odd- sized objects such as watermelons .
A stake rack on a hand cart may take the football antios out of a water
melon brigade but it cuts man -hours and certainly is easier on the fruit
as well as on the men .
In some broader phases of the study the investigators are finding

out just what men and equipment do while unloading a refrigerator car or
truck , placing the produce in storage , moving the produce from point to
point inside the store or warehouse , or moving the produce out of the
warehouse to the receiving truck , Each of these operations are timed
with a stop watch and are carefully analyzed to detect unnecessary steps
or actions . Initial and operating costs for equipment are also under
scrutiny .
Industry Cooperation Eases Research
While the overall scope of these studies was originally somewhat
minimized through having to observe only " on the job " operations, some
1,300 time study observations were made of 6 types of handling equip
ment used alone or in combination . To plan ways of increasing the com
parisons of various handling me thods and to hasten results , representa
tives of the Production and Marketing Administration met with members of
the trade who agreed to make their warehouses available for time studies
of regular handling operations , and observation of revised operations
under laboratory conditions . So far " laboratory observations have been
made in warehouses in Pittsburg , Kansas ; Springfield , Missouri ; and
Shreveport , Louisiana .
In many cases rather startling results have been obtained . Often

the revisions greatly reduce the labor force required to do a particular
job . Changes ocoasionally alter labor schedules . Workers on occasion
must be trained for new tasks . In each case confidential reports on re
sults of comparing the old and revised handling operations are given to
the warehouse manager When enough warehouses are studied to make a
.
representative sample a report will
will be
be prepared to present handling
technique findings to the entire trade .
desirable for many dealers

Undoubtedly, changes in equipment are
but the study , so far, indicates that many methods can be adapted which
will make the use of existing equipment more efficient . The Marketing
and Facilities Research Branch , which is conducting this work , is pre
paring a more complete report showing warehous emen how to make better
use of the equipment they already own . This report will also present
the findings on most efficient techniques. It will include more detailed
evidence that most handling of produce in markets and warehouses can be
done more efficiently --making possible the lower marketing costs sought
by growers , the produce industry and consumers .
BUYING HABITS ANALYZED IN QUARTERLY REPORT

The USDA monthly surveys on buying practices of household consumers
in the purchase of citrus fruits , dried fruits , and fruit juices--both
cenned juices and frozen concentrates --are being analyzed and compared for
release on a quarterly basis . The three -month survey , which will soon be
available from the Fruit and Vegetable Branch of PMA , will furnish pro
duoers , shippers , and processors of these fruits and fruit products with
information on purchases at retail by a national sample of several thou
sand household consumers . Established under the Researoh and Marketing
Act , the project represents a new type of cooperation between the indus
try groups involved and USDA . The Fruit and vegetable Branch of PMA and
tho Bureau of Agrioultural Economics are jointly responsible for the
Department's work under this project ,
April 1950 13
NAMO Faces Marketing Problems
Discussions at the Atlantio States Division Meeting of the National
Association of Marketing Offioials recently held in Washington clearly
highlighted two major problems : ( 1 ) The increasing complexity of market
ing , with surplus es apparent in some areas and lessened demand in other 8 ;
and ( 2 ) the real drop in farm income and the declining produoer's share
of the consumer's dollar . on the brighter side is good evidence that
cooperative Federal-State Marketing Service programs are paying off in
better quality products for consumers and generally more effeotive mar
keting --that the service itself is improved through more highly trained
personnél whose operations are guided by experience and research -- and ,
finally, that the responsibility for sharing these difficult marketing
problems is being shouldered by more and more individuals and agencies
both in and out of agriculture .
Hutchinson Praises NAMO
One of the foremost groups attempting to solve agrioulture's most
pressing problem of marketing is the National Association of Marketing
Of ficials , said Asst . Secretary of Agriculture Knox T. Hutchinson , as he
welcomed its officials in behalf of the U. S. Department of Agrioulture ,
ac
Looking over a market model is a group of National Association of Marketing Officials at

the 1950 Atlantic States Divisional Meet ing in Washington . Seated , L to R, are : Howard L. Stier ,
Md. , Chairman , Atlantic Division ; J. A. Meek , Va.; Matt Jennings, Tenn., President, NAMO, and
George H. Chick , Me . , Secretary and Chairman -Elect , Atlantic Division . Standing , L to R , are :
K. R. Slamp, Penna .; Warren W. Oley, N. J.; Ed Wilson , Jr. , Okla.; C. M. White, Me .; Miles A.
Nelson , Mich .; H. A. Dwinnel, Vt.; B. P. Storrs, Conn .; J. Dan Baldwin, Ky . , Secretary -Elect ,
Eastern Division ; Webster J. Birdsall, N. Y.; and John A. Winfield , N. c.
Mr. Hutchinson made it clear that he considered the work of such groups
as the NAMO to be of " indispensable value to agriculture " because of its
"front line " participation and its experience with the day- to-day prob
lems of marketing . Assistant Secretary Hutohinson furthermore assured
the marketing officials of the Department of Agriculture's iull recogni
tion of these serious problems and of its earnest efforts to solve them .
Dr. Bushrod Allin , Chairman of the Outlook and Situation Board , of

the Bureau of Agricultural Economics , outlined briefly part of the role
government is playing in its efforts to maintain a vigorous and pros
perous agrioulture . Dr. Allin called attention to three previous post
war agricultural depressions , and pointed to the present decline in farm
prices. He saw little parallel , however , in the current drop and previ
ous collapses . Two principal reasons for this , in Allin's opinion , are :
( 1 ) The position of the United States in the world economy is vastly
different than ever before , and ( 2 ) the relation of the Federal Govern
ment to the domestio economy has changed . Long range , this means a some
what more favorable outlook for agrioulture.
For 1950 , Dr. Allin said that consideration of the four major meas
ures or indices of agricultural prosperity --wholesale prices , farm in
come and expenses , values of farm land , and cash farm wege rates -- whilo
reflecting a downward trend , indicate that realized net income of farm
operators below the post war peak of 1947 , but
will be almost one - third
still more than double the prewar level .
Demand Is Bargaining Power
In a further examination of the economio status of agriculture , Dr.

Allin called for a recognition of the distinction between rate of output
or produ oing power in relation to total output to demand , which is bar
gaining power . Due to technology , farmers ' produoing power is high and
still growing , while their bargaining power has been declining recently.
This situation gives rise to a farm price problem . Bargaining power has
been strengthened somewhat by such programs as acreage allotments and
marketing quotes carried out with the aid of the Federal Government .
These safeguards , now incorporated in the Agricultural Adjustment Act of
1938 , were secured for farmers many years after the manufacturing in
dustry got its first comprehensive and effective tariff act in 1842. Now ,
the key issue is the resolution of this grave problem -- a problem in which
agriculture's strong and increasing produotive power serves to weaken its
relative position in the overall economy . Recognition that supplies are
out of line with demand is being followed up with adjustments in the
acreage of several important crops . But the major problems are not
solved , warned Dr. Allin , and he assured the marketing officials that
their suggestions are welcome d,
RMA Programs in Twenty -nine States
Of special interest to all marketing officials and to the Depart

ment representatives were the discussions devoted to the marketing ser
vice work progressing in the States under authority of the Research and
Marketing Act of 1946 . Presiding over the panel was Mr. Leighton Go
15
April 1950
Foster , Chief , Stato Marketing Service Staff , Production and Marketing
Administration . Mr. Foster reported that 29 States and 2 territories
are participating in RMA programs for 1950 . These State projects range
broadly among such practical work as quality improvement , labeling , in
spection and standardization . Progress in the field of marketing , Mr.
Foster pointed out , often means that we must lay the groundwork early ,
often cutting across the lines of production . The answer to " when should
a peach be picked? " he said , " had certainly better be answered before the
picking . "
The two steps in attaining a sound base for action , he said , were ,
first , improving and expanding the sources of market information and
basic data , and second , analyzing and adapting these figures to suit
the specific problem .
In actual situations, such an approach has paid off . For example ,
Mr. Foster reported that in Wisconsin the oranberry growers su ddenly
discovered that their fresh market was dwindling -- that more and more was
going to the canning trade . A preliminary survey indicated that few
growers know what their neighbors were producing ; and when the survey
was completed , the indu stry found that far too much emphasis had been
placed on early varieties . The change in planting should result in a
better relation between the quantity sold fresh and the quantity sold to
processors
Fruits and vegetables to Fill Cotton Cutbacks
Leading off with his State's progress report on RMA activity was
Matt Jennings , Chief , Tennessee Division of Markets , Mr. Jennings ob
served at the outset that expansion in fruit and vegetable produotion
would likely be Tennessee's answer to outbacks in cotton . Swoe toorn is
certa in to come in for greater emphasis , reported Mr. Jennings , but, at
least for the present, the acreage would serve anly to fill the demands
of the more heavily populated areas in the State and would not figure
nationally . Sweetpotatoes were offered as an example of a vegetable dis
tinotly in need of additional service work . Mr , Jennings pointed out
that thus far some progress had been made in the treatment of soft rot
in storage but there was still much work to be done . He also emphasized
that sweetpotatoes were often mishandled in both display and storage at
the retail level . Strawberry production , too , is certain to need some
objeotive State -wide planning . Relatively low electrical rates have ex
panded quick - freezing operations until there are 29 strawberry packing
plants in the State . Production is inadequate to meet this demand with
out greatly diminishing the volume going to the fresh market . Mr.
Jennings warned that if the fresh market gave out completely producers
would find themselves in an extremely disadvantageous position.
Mr. Jennings reported that livestock projects in the State include a

study of the correlation between grade and carcass outout in hogs , and a
survey of the hog suotion markets which are springing up throughout the
State . Mr. Jennings observed that this development might well be part
of the needed trend toward marketing closer to the source of produotion .
Mr. Ed Wilson , reporting for Oklahoma's Division of Markets , stated
that marketing service work in watermelons has been a major RMA project
in the State . In Oklahoma's highly organized melon program , partioular
emphasis has been placed on quality . In last year's 18,000-acre crop of
melons , 40 percent was State inspected and most of this percentage rated
NO . 1. Experience has shown that it has not been profitable to market
culls , pointed out Mr. Wilson . In 1948 , for example , many cars failed
to meet grading requirements , This stricter grading service , plus a
highly organized system of market news collection has resulted in a far
more stable market for Oklahoma melons . Often in previous years prices
within the same weight and grade have ranged as much as 30 to 40 cents
per melon , whereas in 1949 this variation averaged no more than 10 cents ,
Mr. Wilson reported that the producers ' associations were carefully
guarding the State grade label -- even to the point of barring it from the
first and last pick of the season which might be slightly off mid- season
flavor .
Best Markets Sought Daily
The market news service provided for Oklahoma watermelon producers

includes a day - to -day report on weather conditions in specifio markets --
a service whioh allows shippers to move or transfer their marketings
quiokly to destinations where weather and price conditions are most favor
able to a strong melon market . This information is collected at the
State office in Oklahoma City . Dealers and produoers , have high regard
for this service and make many colleot calls to seoure It promptly . More
over , as a part of the dem onstration program, the industry has prepared a
film which has been in great demand ,
Another Oklahoma RMA pro jeot , reported an by Mr. Wilson as an ex
ample of on - the - spot marketing work , served to prevent severe losses to
bla okberry producers and at the same time moved produoe to consumers at
moderate prices . As berry producers in aa heavily pro duoing area began
to move the orop , the fruit at first sold for around $ 5.00 a orate-- a
price which soon baoked away the buyers . On the fourth or fifth day
bidding had practically ceased and the price dropped to $ 1,80 per orate .
At this price most produsers refused to sell . Called in to resolve the
staleme te , State marketing officials were able to work out marketing
arrangements for sales to canners and for fresh use which resulted in a
return to growers which averaged $ 3.80 a orate . At this reasonable figure
the entire crop moved swiftly and without further incident,
It is not possible to solve all marketing problems in such a mann er ,
pointed out Mr. Wilson . This year Oklahoma onions have presented a
problem ,, for
serious marketing problem for chief obstacle to a better market
the chief
the
appears to be timing . Oklahoma onions move to market at a period when
shipments of Texas Bermudas are greatest .
Reporting on Virginia's market expansion work under the Research
and Marketing Act , Mr. A. G. Moffett , introduced by J. H. Meek, Chief ,
Virginia Division of Markets , stated that 10 proje ots have been approved
for 1950. Virginia's program , outlined in a prepared release submitted
April 1950 17
to the marketing officials includes a pro jeot in which special market
information on supply, market conditions , and price are colleoted for
Virginia's agricultural produots . Thus far , en interchange of data has
been worked out with the Federal - State market news service . Additional
plans are in the making to collect consumer information . The complete
data will be tabulated , analyzed and distributed on a timely basis .
Ano ther project , desoribed by Mr. Moffet , is designed to improve

marketing facilities , dissemination of price information to produoers,
and to promote grading and quality identification of dressed and pre
packaged meats for consumers . This program will be financed on a fee
basis , assessed under the regular inspection service . In addition , a
comprehensive study of all types of market information is now being made ,
to determine the extent it is actually being used, At the same time
overall coverage by radio stations and newspapers , and the markets they
serve , is being surveyed .
Virginia is also conduoting a service program to improve the market

ing facilities and the grading and identification for consumers of poultry
and eggs , A similar program is being formulated for fruits and vegetables
in which display techniques and blending of color will be studied in both
independent and chain retail stores . Longer range planning also being
undertaken by the State includes an apple and peach treo survey of tree
numbers by varieties , age groups , and location .
In the summary disoussion of Research and Marketing Aot activity in

the States , Mr. J. H. Meek observed that there was a great need for re
tail market news , He insisted that it was essential that producers have
more specific information as to both quality and price for products reach
ing the retail outlets .
Truck Movements Difficult to Tally
The collection of a courate and useful information on truck movements

of fruits and vegetables is proving to be a problem of growing concern
to all marketing officials as well as to producers and handlers inmedi
ately affected . Throughout the NAMO disoussions pertaining to these
problems were echoed the opinions that truck mo vements are by nature
difficult to record and in most instances unsoheduled and unreported
Strong evidence of truck movement's growth , however , was presented by
Mr. C. D. Schoolcraft , Chief , Market News Division , of PMA'S Fruit and
Vegetable Branch , Mr. Schoolcraft pointed out that while the total of
marketed produce has grown steadily, rail movement has progressively do
olined sino e its peak year of 1946 , when 1,020,000 carloads were reported .
In 1947 this figure had dropped to 950,000 ; in 1948 , 889,000 ; and last
year's total had declined to 785,000 cars .
This trend toward inoreased truok hauling varies with different
areas and commodities , said Mr. Schoolcraft . Available data show that
from the Lower Rio Grande of Texas 68 percent of produce is hauled by
truck ; Florida citrus moves at about a 50:50 ratio ; and in the Long
Island potato area the truck haul is around 85 percent of the total .
Cross Country Hauls Increasing
Mr. Schoolcraft also commented on the change in the nature of truck
transportation . In the definito trend toward longer hauls the 600 to
1000 -mile limit which existed in prewar years no longer applies . The
industry reports a marked increase in cross - country transport. Involved
in this development, observed Mr. Schoolcraft, is an increased movement of
Pacifio Coast fruits and vegetables eastward . This provides a return
load to truckers primarily concerned with movement of dairy and poultry
products from the Middle West to the West Coast States .
Illustrative of the reporting problem , explained Mr. Schoolcraft and
Mr. John Buntin , Transportation Specialist in the Market News Division,
was the situation faced by market reporters in the 1949 South Carolina
peach deal . Here potential production of some 10 to 12,000 carloads of
peaches is concentrated in an area 75 miles square . At the outset of the
1949 harvest , movement was largely by rail , and tabulation of truok vol
ume and movement was fairly complete , Suddenly the situation reversed
itself . Almost overnight the market changed and the bulk of the crop
began to move in trucks , Dump trucks, cattle trucks , coal trucks from
mid -western mining regions , and itinerant truckers bought much of the
pick " orohard run " and sold it where they could . Under such conditions
colleotion of truck volume data became impossible ,
Value of Reports Examined
Both Mr. Schoolcraft and Mr. Buntin su mmarized their rema rks on
reporting truck movements by stating that there is not only a problem
of procedure involved but also , in areas close to the market , a question
of actual value to the industry of reports of truck shipments . In
cities close to producing areas the produce has often been sold and
perhaps consumed by the time shipment data can be collected and reported
to producers and handlers . It was pointed out that truck volume re
porting is an expensive line of work and that expansion must wait addi
tional funds and personnel . Both USDA spokesmen emphasized the neces
sity for the produce industry to make its position clear with respect
to obstacles involved and real value of the data obtained .
State Problems Outlined
Problems faced by the various States in reporting truck movement

were highlighted by the situations existing in Ohio and upstato New
York , Wesley Windisch , Chief , Ohio Bureau of Markets , explained that
Ohio has no single con centrated area of fruit and vegetable produotion
and its largest centers of population are well distributed , Mr. Webster
Birdsall , Chief , Bureau of Markets , New York , reported a similar problem
in upstate New York , There he said , many trucks are "rolling open" --
that is , selling wherever and however they may , and thus there is no
ahano e to obtain a courato information . In the concentrated produoing
areas of Long Island , however , a cooperative reporting system has fur
nish ed marketing men with fairly accurate figures on distribution , George
Chiok , Chief , Bureau of Markets of Maine , related that potato truckers
were frequently not in a position to give definite destinations due to
April 1950 19
market changes en route .Trucks originally headed for Boston might find
the market changed so that it was necessary for them to move on to Prov
idence or even further south .
Warren Oley , Director , New Jersey Division of Markets , described a

cooperative market news service functioning in his State whereby reports
on truck movement of potatoes which last season were about 95 percent
complete were obtained from 24 dealers . The data , showing destinations ,
was reported around 3:30 PM by the dealers , mimeographed at the Division
of Markets and mailed out first c la ss 80 that it was available to the
dealers the next morning --before their daily operations began . State
ments from the dealers indicate that the service aids them in figuring
out where, as well as what volume to ship .
Crop Reports Round Out Nows Service
In his new position as chief of the Crop Reporting Service of the

Bureau of Agricultural Economios , Mr. S. R. Newell , well known to NAMO
officials for his many years work in coordina ting the marketing service
activities of PMA and State Market Divisions , commented that the Crop
Reporting Service desires an even greater degree of cooperation with the
State marketing agenoies . Mr. Nowell emphasized that the 41 State offices
of the crop reporting service stand ready to aid the State Bureaus and
Divisions of Markets . Mr. Nowell observed that the crop reporting ser
vice , working closely with the Federal - State Market News Service, should
be of inestimable value in working out overall marketing problems .
In his discussion of the various seasonal reports Mr. Nowell stated
that the March Intentions Report should be accepted for what it is --an
indicator If overall figures show too much or too great an increase in
a particular crop , producers will normally change their plans . This does
not reflect error on the part of the service , but is rather a practioal
indication of the function of crop reporting . Looking ahead, Mr. Newell
observed that it might in the future be possible to issue crop reports
on a more local basis , and perhaps more promptly . Mr. Newell summed up
his remarks by stating emphatically that the service does not want to
collect statistios only as collectors items --but only when and beoause
they are useful .
In the ensuing discussion , some of the real benefits of the Crop Re

porting Service were suggested by Mr. Ben Storrs , Chief , Connecticut Di
vision of Markets . Mr. Storrs pointed out that at one time speculative
operators were able to play producers of one part of the country against
those of another with false rumors on volume of produo tion . He explained
that this is no longer possible because of the respected and valuable
data of the reporting service . Mr. Storrs considered the service to be
of special value to small operators in that it gives them a better basis
for bargaining , partioularly with perishables.
One example of a well organized regional reporting service described
by Mr. Storrs is the weekly chick placement release which originates in
Boston . This report aids the broiler industry because it enables feeders
to prediot with reasonable accuracy what the market will be 12 weeks
henc o-- simply by comparing volume and demand information with past ex
perieno .
John Winfield , Director , North Carolina Division of Markets , Sees

the Crop Reporting Service as a direct aid in his State for the most ad
vantageous locating of large fryer and broiler enterprises . The infor
mation enables the State marketing men to get a broader picture of their
production and consumption relationships , Indicative of North Carolina's
attitude toward crop reporting has been the recent reinstatement of a
county census of agriculture, a survey which had been dropped for some
time .
Another regional reporting service was outlined by Mr. H. A. Dwinnel ,

Director of Vermont Division of Markets , In Vermont a seasonal maple
sugar reporting service is based on information turned in each Monday to
a county office . At this level the reports are summarized cooperatively
by the Sugar Makers ' Association . The information includes da ta an alti
tude (which determines the date the sap is ready to run ) and the price
and pro duo tion for the previousweek . An indication of the reliability
of this report is found in the fact that wholesalers are reluctant to
quote their price until these reports are prepared . Producers profit
from the service because they are able to bargain on a favorable basis
with large sugar packers . Vermont is considering extension of this ser
vice to other commodities such as windfall apples , whioh in some years
have been the basis for heavy losses to orohard owners .
Crow Cites Need for Facilities Improvement
Speaking on the general expansion of marketing facilities , William
C. Crow , Director of the Marketing and Facilities Research Branch , cau
tioned that adoption of forms of mechanized mar ke ting has lagged behind
the field in the overall effort to out handling oosts He said that by
and large we have learned how to plan marketing plants for fruits , vog
etables , poultry , eggs , meats and frozen foods , but as yet application
of these ideas has been too meager . On the brighter side is the evidence
showing that in those places where these plans have been put into use,
a consider able degree of efficiency has been attained ,
Mr. Crow explained that problems vary not only with individual com
modities but also with the manner in whioh the commodities are handled .
With froz en foods , for example , wholesalers must make provision to store
extra supplies because retail stores do not have the facilities to main
tain a dequa te supplies on hand . Fortuna tely there is & move toward
outting down the size of wholesale cartons of frozen items 80 that ro
tailers can handle whole cartons , and thus eliminate a great deal of ex
tra handling .
These systems are equally as important as tho

internal handling
general design of these marketing plants , pointed out Mr. Crow , and he
citied instances where the loading and unloading time per carload had been
reduo ed by 1/3 with utilization of the right kind of equipment,
One particularly encouraging development in establishing more effi
cient produce handling has been the interest shown by commercial firms
21
April 1950
cooperating with USDA in allowing time studies on the job . In those
cases where handling operations have been revised according to USDA sug
gestions , savings in man - hours up to 75 percent have been reported . Ro
ductions in man -hours by 40 percent are not uncommon and in one case the
cons truction of a new warehouse with revised methods of handling cut down
the man - hours required for a certain operation from 30 to 1 1/2 .
According to Mr. Crow, USDA also is testing mechanical improvements

in many marketing fields . An example of one of the more recent develop
ment is a type of refrigerated car which automatically maintains désired
temperatures, above or below freezing . The car contains two units , both
gasoline operated, which have provided proper temperatures under extremely
adverse testing conditions , Costs for the mechanically refrigerated
cars average about $13,000 as compared with $ 8,000 for the common ice
cooled car .
example of a technique developed through research by USDA

Another
and now being adopted by industry is a streamlined system of checking out
housewife's purchases in super -markets . Under this system the purchases
are bagged and change is made in a fraction of the usual check -out time .
Still another development which holds promise for the marketing of fresh
citrus juices is a mechanical dispenser of fresh orange juice which has
greatly increased sales wherever it has been installed,
Market Finano ing Discussed
Of particular interest to more and more marketing officials , Mr.

Crow comments, are methods of financing new markets , In this disoussion
Mr. Stanley Lee of the Benton Harbor, Michigan pro duce market , desoribed
his market's expansion program of last year which involved a $ 53,000 out
lay . At the time the Benton Hárbor market was established , its indebted
ness ranged slightly over $250,000 , Now, as of 1949 , all retai l markets,
paving , sewage and standard facilities are paid for . It had taken 15
years to pay off the original indebtedness of a quarter million dollars ,
On this point of market finance , David F. Smith , Manager of Salt Lake
City's municipal market , pointed out that the Utah establishment had
been financed and built by those who used it , Mr. Smith believes ' this to
be one of the fundamental bases for establishing a strong market,
* * *
MARKETING AGENCIES , COLLEGES , PRODUCERS AND PUBLICATIONS

SHOW GREAT INTEREST IN FEBRUARY ARTICLE : " THREE HOGS"
The February MARKETING ACTIVITIES article " Three Hogs Went to Mar
ket ," by Mr. H. E. Reed , has aroused such unusual reader interest that
reprint copies have been made available from the Information Branch , PMA ,
U. S. Department of Agriculture . desiring to carry " Three
Publications
Hogs may obtain glossy prints of the illustrations from the Editor ,
MARKET ING ACTIVITIES , at the same address .
In the article , Mr. Reed , Director of the Livestock Branch, has out
lined the development of the tentative Federal hog grades recently an
nouncedo
FIRM PACKING OF WOOL BAGS
ASSURES TRUE SAMPLES FOR TEST
Core sampling of wool to determine shrinkage is best accomplished

when wool is firmly packed in the bag , advise officials of the Production
and Marketing Administration of the U.S. Department of Agriculture . Firm
packing works to the advantage of producers in that the sample moro acou
rately refleots the lot of wool to be tested for shrinkage and assures
a more accurate appraisal of the wool clip .
Livestock Branch officials of PMA , in charge of oore sampling work
for the Department's price support program for wool , point out that from
a well packed bag , the coring tube draws a more complete oore , and a more
representative Sample is obtainedo With about 25 peroent of the 1949
olip sampled by the core method and more widespread use in prospect this
year , well packed bags have become a muoh more important factor in wool
marketing operations than in past years ,
Bagging Costs Cut
Livestook Branch officials a lso point out other advantages to pro

duoers in packing wool bags firmly . For example , if a grower with a
relatively small clip of 4800 pounds packs it into bags averaging 150
pounds in weight , he will need 32 bags . If instead he puts the wool up
in well packed bags of 240 pounds average weight , he will need only 20
bags . With bags costing $ 1,25 , the smaller number of bags would repre
Bent a saving of $ 15 .
Determination of shrinkage on the basis of core samples is made at

the Branch's two laboratories in Washington , D. C. , and Denver , Colo . A
certifioa te showing the shrinkage of the samples analyzed is made avail
able to the person requesting the service . Other information on the ser
vice may be obtained from the Livestock Branch , PMA , United States De
partment of Agrioul ture , Washington 25 , D. C.
FREIGHT RATE AND FARM PRICE LEVELS COMPARED
Prices of farm prod vots for the past two years have been declining
while rail freight rates have been rising . This and other information
is found in a recent report issued by the Bureau of Agricultural Econom
icos , U , S , Department of Agriculture , Under prevailing rates, the price
rate situation is likely to get worse for most agrioultural produots moving
by rail, the report points out . The report indicates that many shippers
are likely to seek less costly forms of transportation or to ship shorter
distances than when rail rates were more favorable .
The report "Railroad Freight Rates and Prices of Agrioultural Pro de
uots , 1913-50 , " appears in the April is sue of BAE's Marketing and Trans
portation Situation , The article is based on research con dicted under
provisions of the Research and Marketing Act of 1946 ,
April 1950 23
Marketing Briefs
Dairy.-- The Produo tion and Marketing Administration announced April
14 that 15 million pounds of butter and 5 million pounds of cheese , ac
quired by the Comino dity Credit Corporation under mandatory price - support
programs , have been made available for distribution to various Federal
agencies and for donation to School Lunch programs , the Bureau of Indian
Affairs , and to both public and private welfare agencies for the assist
ance of needy persons in this country . The action , taken under the pro
visions of Section 416 of the Agricultural Act of 1949 , makes these
quantities of butter and cheese available to eligible public and private
agencies for distribution within the United States . Donations to pri
vato welfare organi zations for the relief of needy persons abroad, au
thorized under the last priority named in the Act , are not covered by
to day's announcement.... A decision to decrease by about 13 cents per
hundredweight , on an annual average basis , the minimum farm prices of
Class I , Class II , and Class IV milk in the South Bend - La Porte , Ind . ,
milk marketing area was announced March 13 by PMA of the U.S , Department
of Agriculture , PMA officials stated that the proposed change , consid
ered at a public hearing February 20 in South Bend, would bring minimum
farm prices in the area more nearly in line with those in the Chicago
market ( the milkshed of which overlaps that of South Bend and La Porte )
and assist the marketing of surplus milk supplies locally during the
spring and summer months of heavy milk pro duo tion . Before the change can
go into effect , it must be approved by two - thirds of the dairy farmers
regularly supplying the market ,
Fruits and Vegetables .--The Production and Marketing Administration
announced April 13 that itit has recommended adoption of several amend
ments to the marketing agreement and order regulating the handling of
fresh peaches grown in Georgia , The amen dments were proposed by the In
dustry Committee, the administrative agency established under the mar
keting program , and the Department's recommendation is based on evi
dence presented at a public hearing held at Macon , Georgia , on Feb
ruary 23 and 24 , 1950 . The principal amendments recommended would ( 1 )
authorize the issuance of separate regulations applicable to shipments
of peaches to destinations in the adjacent States of Florida, Alabama ,
Tennessee , North Carolina , and South Carolina ; ( 2 ) au thorize the estab
lishment of minimum standards of quality and maturity ; ( 3 ) effe ot oertain
changes in respect to the is guanoe of exemption certifioates ; and (4 )
authorize the payment of compensation and reimbursement of expenses to
members and alternate members of the Distributors ' Advisory Committee .
Grains . --The Commodity Credit Corporation of the U. S. Department

of Agriculture announced March 28 that it has completed awards in accord
ance with the announcement of March 3 that the Corporation was preparing
to buy additional emergency storage facilities to help handle grain which
will be turned over to CCC this spring under price support programs o
Awards have been made for a total of 84,731,800 bushels of capacity of

bin type and comparable grain storage structures . All of the structures
bought are of a semi- permanent type which can be dismantled and moved to
other locations and converted to other uses when they are no longer re
quired by ccc . Range of awards on a per bu shel
shel basis was 17,7 cents to
24,16 oents , all calculated on an erected basis.... In mid - April the Pro
duction and Marketing Administration announced the following national bas
ic support prices for eligible seed meeting the basic price requirements
of the 1950 program for winter cover crops and Kobe lespedeza , in accord
ance with the Department's announcement of March 31 : Hairy vetch , 14.70
cents per pound ; Common vetch , 6.57 ; Willamette vetch , 6.57 ; Aus trian
winter peas , 4.52 ; Crimson clover , 16.30 ; Blue lupine , 4.52 ; Common rye
grass , 7.34 ; Roughpeas , 6.00 ; and Kobe le spedeza , 12.00.
Livestock .-- The schedule of shorn wool purchase prices under the
1950 wool price support program is based on the national average support
level of 45.2 cents per pound , grease basis , the Production and Marketing
Administration announced April 14 . In the 1950 schedule price differen
tials between grades of wool are more closely in line with current market
relationships than in the schedule under last year's program . In deter
mining the 1950 relationships between grades , 1949 purchase prices , which
are representative of wool prices between 1941 and 1948 , were averaged
with 1949 open market prices . By equal weighting of these two, consid
eration is given to the historical price relationship between grades as
well as to the current market relationship . In general, 1950 prices for
" fino " wools are a little higher than they were in last year's program ,
while prices of "medium " and " coarser " wools are somewhat lower . Another
change in purchase prioes this year affects fleece type wools of the fine
and half - blood grades , Last year the bright and semi -bright fleece woals
were combined and had the same prices . This year separate prices are in
oluded in the purchase schedule for the bright and semi -bright classifi
cations of these two grades . A schedule of 1950 pulled wool purchase
prices will be announced soon .
Potatoes . -- April 17 , the Production and Marketing Administration

recommended adoption , subject to grower approval , of a proposed market
ing agreement and order program for the handling of Irish potatoes pro
duced in California ( with the exception of Modoo and Siskiyou counties . )
California growers will vote in a referendum to determine whether or not
th ey favor the proposed marketing agreement and order program . During
the referendum period meetings will be held throughout the production
area to a cquaint growers with the provisions of the proposed program .
Two - thirds of the growers , by number or by volume of production , voting
in the referendum , must favor issuance of the order before it can be
made effective . If the order is not approved and not issued , than Cali
fomia potato growers , (with the exception of Modoc and Siskiyou coun
ties ) , will not be eligible for price support . The proposed program
would be administered by committees composed of local potato growers, and
would authorize regulation by grade , size , and quality of shipments of
potatoes grown in the area .... PMA announced April 21 that 1949- crop
Irish potatoes acquired under the price support program are available on
a donation basis to eligible recipients , with transportation and handling
April 1950 25
charges paid for by the Government. Authority for this action has been
provided under Section 3 of Public Law 471 , recently approved by the
President .
Poultry .-- The Production and Marketing Administration announced

April 13 that there will be no price support program on 1950 production
of chickens ( including commeroial broilers ) and turkeys. The announce
me nt was made at that ohioken and turkey produoers to
date to enable
take this factor into consideration in their plans for 1950 production .
Price support for chiokens and turkeys is not mandatory under the provi
sions of the Agricultural Act of 1949 . In determining whether a prico
support operation shall be undertaken , the Seoretary is direoted to con
sider a number of factors , among them the perishability of the commodity ,
the importance of the commodity to agriculture and the national economy ,
and the ability of the Department to dispose of stocks acquired through
a prioe - support operation . A consideration of all factors involved led
to the decision ....PMA announced April 6 that the purchase of dried eggs
will be continued during May and June at levels refl ooting to produoers
a price of at least 25 cents a dozen (27 cents a dozem when delivered by
the producer to the plant of the drier ) . This will be a oontimation of
the support program that has been in effect since January .
Sugar .-- The Produotion and Marketing Administration announced Com
modity Credit Corporation has arranged for the shipment of 218,814 short
tons of Puerto Rican raw sugar . The purchase of this sugar on behalf of
the Economic Cooperation Administration for shipment to Austria and Ger
many was announo ed on February 6 .
Tobacco . --Averageloan rate , and schedule of rates by grades , of
Commodity Credit Corporation loans on 1949 -orop Maryland ( type 32 and
32B tobacco in loose leaf form were announoed April 14 by the Produotion
and Marketing Administration . The loans , which will be made on a grade
basis in connection with the regular auotion sales , average 41.8 conta
per pound , which is 90 percent of the pari ty price for Maryland tobacco
as of September 16, 1949 , ( As this is 1949 orop tobacco , the computa
tion of parity is in accordance with provisions of the Agrioultural Aot
of 1938 , as amended , The 1950 crop loan level will be computed as pro
vided in the Agricultural Act of 1949. ) The 1948 loan rates averaged
43,9 cents per pound , The sched of grade
ules rates range from 9 to 66
oents per pound . The loans , which will be available only to the original
growers , will be made through the Maryland Tobacco Cooperative , Upper
Marlboro , Md.
* * *
ESTI MATING AND REPORTING SERVICES DESCRIBED
" The Agricultural Estima ting and Reporting Services of the U. 8. De

partment of Agrioulturo" (Miso . Pub . No. 703 ) outlines the history , organ
ization and methods of agrioultural surveys other
estimates , and also
pertinent reports and servio es . Prepared by the Bureau of Agrioultural
Economics and the Production and Marketing Administration , the publioation
is available upon request to the Information Branch , PMA , U. S. Depart
ment of Agrioulture , Washington 25 , D. C.
ABOUT MARKETING
The following publications , issued recently , may be obtained upon

request. To order , check on this page the publications desired , detach
and mail to the Production and Marketing Administration , U. S. Department
of Agriculture , Washington 25 , D. C.
Publications :
The Market News Services (Reprinted from MP No. 703 ) 28 pp . ( PMA )

( Printed )
Grain Production and Marketing . MP -692 . October 1949 . 78 PPO
( PMA ) ( Printed )
Retailing Prepackaged Meats . December 1949 . 27 ppo (PMA ) (Proc

essed )
The Wholesale Produce Market at Milwaukee , Wis . January 1950 ,.
101 pp . ( PMA in cooperation with Dept. of Agricultural Economics , Uni
versity of Wisconsin ) ( Processed )
Marketing Idaho Potatoes , Season 1949-50 , 15 pp . ( PMA and Idaho
Dept. of Agriculture cooperating ) ( Processed )
Marketing Texas Spinach 1949-50 Season . March 1950 . 3 pp . (PIA )
( Processed )
Summary 1950 Florida Strawberry Season , April 3 , 1950 . 2 ppo ( PMA

and Florida State Marketing Bureau cooperating ) ( Processed )
U. S. Standards for Green Tomatoes for Processing (Effective April
15 , 1950 ) March 23 , 1950 . 2 pp . ( PMA ) (Processed )
ordering publications , Check only the individual items you desire-
Editor . )
NAME
ADDRESS
CITY ZONE STATE
April 1950 27
H82.17
May - June 1950
MARKETING
ACTIVITIES
BO
T
DIV
C U M
41
EN
E
.
AV
DETAALLLENT
FERICULTE
O
F
URE

Washington 25, D.C.
IN THIS ISSUE :
MERCHANDISING OVERDRIVE
By J. Pervis Milnor Page 3
Here's a PMA action program on the marketing side -- designed to match

seasonal abundance with increased consumption . Mr. Milnor is Chief of
the Foods Trades Division which conducts the plentiful Foods Program .
WE LIKE TO SELL PEACHES 1
By Wesley Windisch Page 11
Planning to start a roadside market ? Take a few tips from a man who
has operated one successfully for 20 years--and who is , in addition ,
Chief of the Ohio State Bureau of Markets .
SOME TRICKS IN COTTON HANDLING

By Jo Brice Wilmeth Page 14
Cotton bales aren't changing much but ways to handle them are-- thanks
to some cooperative study by warehousemen and USDA .
WOOL CLIP TALLIED BY GRADE Page 20
The breakdown of a year's wool clip is available now for the first
time--having been prepared by PMA as a by-product of its wool price support
program operations .
MARKETING BRIEFS . . Page 22
ABOUT MARKETING .
Page 25
( Beginning with this issue , MARKETING ACTIVITIES will be proc

essed by the Government Printing Office instead of by the Depart
ment of Agriculture. The change in printing schedules has made it
necessary to combine the May - June issues.-- Editor )
Address all inquiries to The printing of this publication

The Editor , Marketing Activities has been approved by the Director 5
Production and Marketing Admin . of the Bureau of the Budget-
U. S. Department of Agriculture March 28 , 1950 .
Washington 25 , D. C. Material in Marketing Activities
may be reprinted without special
Issued monthly . Vol . 13 , Nos. 5-6 permission .
Merchandising Overdrive
YOUNGSTOWN
Apple pie without cheese is
Plentillfoods
GRAPES tember crop production outlool
like a kiss without a squeeze
spoke fashion
Cheese and apple ple are as
closely linked in most people's
minds as ice cream and cake ,
and butter . There's a
2/3 cup sugar
1/2
2
teaspoon cinnamon
! Wedges of cheese
on the ple and put back in the
ov.in to soften siightly. Serves
Have you noticed the vart -hued work, indicated size of the
hread POTATO
SWEET
CUSeason for
STAWag
RD in
1
Eggs,FeCbhrickensSBheospt Buys uary pers
and well iled grape counter
your local methane pe
wealu ? The PEACHES NFloawvorIssoTmheeSTwiemeet PTootaCtoooeks For
more
The swee potato season is here,

an fr crt marketings
seasdonalesh - heop fr will be
Plentiful Foods A- PLENTY ly avy om now until
rtment
epawe ll Into ofOcAgri ure
r, the U.S.D
tobecult The United states Departchi
housew ment of AgricuFeb lture advising
PEACHES are popular ives to buy eggs ana chens Serv
thiices ruary. They're
for July Listed month . There w are
pl lots
annTh is good new in rood mpply, especially city markets , and that means
ApriAlnnPoluentiful Foods
them , and they are eatr , for
in PMA Program luscious in color and texture . pota
y
CEDAR RAPIDS comparatively end during the month .
will want to serve them of
Plentiful Food List Helps Homemakers

Presh and frozen fish supplies
are at aboutthe highest
before their paam
Ar e nce USD d by A
Or place on greaped baking plenti vege inc p vari
USDA's plentiful ooda Vat of sheet and bake in moderately A Br La othfuerls alstoables,ludeoultry pertoy
ten homemakers suopping guide hot oven (375 degrees 7.) for
to top quality meals at cheaper minutes. Turn croquettes until
U.S.-Prepared Food Bulletin ho pril f3. -y Taxrage dof
sheldapls entirofom food
Ferdi l s
s uCcotms,pemteat and fifrshes. onion fo
ir - h s r
ng is tha 1. . the tor
are brown on all sides
Teature Items are three foods for Brollers have hit season Helps Farmers Sell Products
y mali diabes - dried beans in production and
tastes
pric
The A
dried peas and con All are retailed at burt WASHINGTON, April 28. lima beans, ratsme, prunes , canned
Uncle Sam is using the tools shes, habang manufactured hunda
dvertising to hry e r
tractively priced, particulary helendur
and
which generally are got ind
all pri
By J. Pervis Milnor
If any doctors felt a drop in business during the past fall and ,
winter months , it might be chalked up to the fact that people in the
United States consumed 40,000,000 bushels more of apples during that
time than during the same period in 1948–49 .
Proof for all this apple eating is found in storage and disappearance
figures of the U. S. Department of Agriculture. Perhaps. more impressive
are the following reports on increased consumption turned in by trade
and related sources :
Retail sales of the fruit during the past fall and winter jumped
from 30 to 300 percent in various parts of the country when compared with
the same season the previous year . Restaurants , hotels , cafeterias and
similar services reported that they sold from 25 to 65 percent more ap
ples . The dining car service of one railroad alone showed a 50 percent
increase in servings of apple dishes . National chains of five - and - ten
cent stores boosted sales of apple pie , apple dumplings, and candied ap
ples by 50 percent. Cookie manufacturers used 10 to 25 percent more
while one New England baking company reported that it used almost 400
bushels daily in making apple pies .
The Plentiful Foods
This boost in consumption fortunately Program is a Production and
came in the face of a bumper apple crop
Marketing Administration
133,181,000 bushels in 1949 as compared with
88,407,000 bushels in 1948. For some vari " action program " -- designed
to spur the movement of
eties , the 1949 crop was 100 percent great abundant foods through nor
er than in the previous year . Thanks to mal channels of trade .
increased consumption , however , cold stor
May 1950 3
age holdings of May 1 , 1950 , were only about 400,000 bushels
anoles
above those for in 1949-- indicating a disappearance of
the same month
nearly 40,000,000 bushels more over the period beginning in September
1949 than for the same months a year earlier . Moreover , another million
bushels went into export during the same period in 1949-50 .
DO YOUR CANNING NOW Low Prices and Bumper Supply

SECTION
Peach Harvest Early This Year Spur ' Eat More Chicken Drive
ArFood
and two tablespoons Vinegar to one gallon w Ports the No. 1 buy in the
to prevent darkening. Drain marth week as the Ders
The peach harvest in minola ad Michigan is Simmer in thin or medium syrup for ricultur
earthg its peak and sweet corn is also plentiful
e Onions, 2 Chicks Came to Dinner - and Were They Good !

minutes
derding to the United States department of
ulture
April Buys
Dry Beans Patriotic to Eat

fYum -Yum ! Yams Plentiful,Nutritious;
ASS2high? , it'sweathe r shifts into
time for a run
Them , Too
Two sweet young chicken
One of Most Versatile , Prized Foods
lednesday
ning survey of the market
story . For the month
he Vitamin-Filled Pricas Law ,It's timeto Put Eggs in All BaskSI et s
LOUIS
ware Root Classified
GoCod
hoCe e sPlPlenantinifungl Foods in June
osnt th
As Dixie Dish SellinIndug stri
S. usPlaandns Egg
|U.Citr Drive: Krautfurter Plank Dinner Califo
dependab les
N IO EN
es rnia. Carrols aree of the
THREE - WAY WOMBINAT - Vong three the 000
plentiful foods which are good boys in June, this caseroele of powe Tot The discovery of America by Promote OrangeggDrink around 10 ceata a pound. Caull
and fish ( shrimp ) is quick and easy to prepar for tasty lumbus inspired many other me Roger and celery are in the
set forth on adventurous voya
Plan Be -price bracket
Make bet toskat room for
Opebuvo man set allt 1 week andthe
summertime mealsh of NEW YORK Le
June is the mont when some
of our best and most nutritious Eggs Are Now Plentiful
foods come on the market in larg
s
Fryers, Beans, and Peas Are Plentiful Foods
er N , according to
quantitie
N'I le co so exten
sion nutritionist . That's good news
to the keeper of the family food
Use Them In Many Ways Available to Housewives of South NextMonth
EGGS ARE NOW with the exception of black eyed, frozen fish, manufacturtd datry
cake. Aster baking. Invert the cake The U.S. Danartmen : A peas, which are scarce, there prod and turkeys, USDA r
en The upsurging Ex production has and remove from the pan wher!
etomin on the list of rood nt nutritionists scurring for egs almost
budgPr
riculura har kurveyed February
tood prospects for southern are ample stocks of dried peas po
buys this mont h are ogn , freAPhenue
Teh , and
ak and recipes. These cake reci Yor cake. Teplace markets and found them good Ords
for all consumer demand rec
pea ly
pes are from the files of the Buone Ciour with ERFs, dried beans and pets, and
reau of Human Nutrition and Home or and sit s and tryers , In particular egs the Department
um Economics of the ment in the nestle at lower price
month umers
re
During a two-week period a cursory check of metropolitan newspapers showed that 48

large “ dailies ” in 22 States and the District of Columbia had devoted over 1,000 column
inches to the plentiful Foods Program. Since copy for national magazines is prepared
months ahead of publication , PMA also prepares an advance plentiful foods list based on
marketing history , growers ' intentions and crop reports .
The reason why people ate more apples was not just luck , however .
It was the result of probably one of the greatest merchandising programs
for a single fruit that has ever been carried out . It was a campaign
pushed by everyone interested in apples from the man with an orchard to
the man with the appetite . It was actively supported by retailers and
other handlers , Federal and State officials , civic groups , consumer in
terests , advertising agencies , newspapers , magazines , radio and televi
sion . Nation - wide support for this campaign was encouraged by the Depart
ment of Agriculture as a part of its continuous program to encourage for
ali other abundant foods just such merchandising assistance as that
needed for the bumper apple crop .
A PMA Action Program
This is the so- called " Plentiful Foods Program" of the Department
administered by the Food Distribution Programs Branch of the Production
and Marketing Administration ,
Briefly , the program seeks to stimulate consumption of " plentiful

foods" moving through normal trade channels . These foods include many
in seasonal abundance as was
last year's apple crop , but the program
also is designed to aid in increasing marketings of all other plentiful
foods , both fresh and processed .
The program is based on the sensible premise that maximum utiliza

tion of "plentiful foods " is of direct benefit to consumers , producers,
the food industry and the national economy .
Consumers benefit because the program assures them of more for their
food dollar . Producers benefit because it provides better markets , at a
fair price for their crops . The food trades benefit because it creates
sales opportunities by stimulating consumer demand . The Nation benefits
because the program promotes efficient use of abundant production .
Apples Given the One - Two - Three - Four
The "Plentiful Foods Program " consists of four major phases of em
phasis which the Food Distribution Programs' Branch refers to as " one , two,
three and four star" operations . Last fall's all - out apple campaign was
a "four star " operation .
The first and basic phase of the program is the preparation of a
monthly list, consisting of as many as 20 foods expected to be in plenti
ful supply during the next month . The list is compiled the first of each
month on the basis of recommendations made by the various commodity
branches of the Production and Marketing Administration , as well as from
the Bureau of Agricultural Economics , Extension Service, Bureau of Home
Nutrition and Home Economics , and producer and food industry organiza
tions .
To be placed on the list , the

DAILY TIMES WEDNESDAY, OCTOBER 6 , 1949
foods must meet the following re
quirements : ( 1 ) must be generally BETTER Than Ever !
consumed by a large proportion of
the population and not APPLE
be a luxury
item; ( 2) must be generally avail- FESTIVAL
able throughout the country in larger U. S. No. 1
Crisp, Juley , Sell , Red
quantities than the market will
readily absorb in the period covered Jonathans
RING PACKED
by the list ; and ( 3 ) appreciable

FULL BUSHEL
BASKET $ 2.39
quantities of the food would be U. S. No. 1
Golden Yellow, Mellow Flavor GOLDEN
wasted or the market unduly de RING PACKED
Delicious FULL BUSHEL

BASKET
$2.39
pressed unless consumption is stim 0. 8. No. 1 Orchard Re Good Son Fruit
ulated . Cole Jules , Bright Red in Coler
APPLES
Bed Delicious • JONATHAN
• RED DELICIOUS
• GOLD DELICIOUS
The placing of a food on the RING PACKED
list is known as a " one star " oper

PULE SUSKEL
BASKET $ 2.59 RING PACKED
PUU BURMEL
BASKET $ 1.19
ation .
Last fall's " four - star” apple campaign was
One to four foods are selected actively supported by retailers .
monthly , on the basis of peak of
marketing or extreme abundance of supply , and are designated on the list
as " Feature Items , " or foods that need particularly intensive promotion .
May 1950 5
When a food makes this " feature item " listing, it is the subject of
a two star " program .
Now , before the list of plentiful foods is given general distribu

tion , it is localized to reflect supply conditions in the five geographic
areas covered by the PMA offices in New York , Atlanta , Chicago , Dallas ,
and San Francisco and PMA's Office for Marketing in the Metropolitan area
of New York . In the field offices , commodities are deleted or added to
the list on the basis of area supply conditions as reported by area com
modity branch representative , State agricultural officials, grower organ
izations and food distributor groups .
After the necessary adjustments have been made , the " Plentiful Foods
List , " with its " Feature Items , " is made available to food trade groups
and associations , wholesalers , retailers , including chain stores and super
markets, restaurants , hotels , institutions such as hospitals and other
feeding services , home economists , growers and their organizations and
related interests .
Consumer Aid Is a " Follow - through "
Distribution of the list to the consuming public through newspapers ,

radio stations , and other information media is made a bit later , timed,
more or less , to coincide with the appearance of the " plentiful foods" on
the Through
markets ,
these channels , as well
as in interested
and advertising trades,
food
the list is supplemented

Chinese Times
YUkon 2-0136 SAN FRANCISCO MONDAY , AUG: 22 * 1949
with recipes and menu
MONTNLY
suggestions . Thus as a final , pay- off twist

UST
foods
consumers are directly helped with meal plan

ning and food purchasing by being informed of 每月廉價食物
current " better buys" .
本報絕與有關方面合作 :
This list receives a tremendous coverage , 於每月底在本欄表列下月份的
It goes to 75 percent of all newspapers in 岸區豐富而美之食物, 例如
the United States , including those printed in 家及家庭主婦得及時購買c
foreign languages , and to as many as three 為便利計, 中英文物名並列以
fourths of the more than 2,500 commercial radio 服務讀者 o : 編共識
stations in the country. It is estimated that
over half of the 500,000 retail food outlets ( R )
in the United States are influenced by its ( 1 ) DEX on Pearson Onions
distribution through their trade organizations # Hens
and wholesaler groups . ( 11) *** Apples Pears
Even with this coverage , Fresh Prunes
a particular Fresh Grapes
food may be in such an abundant supply that it *** Fresh Peaches
is felt that additional stimulation is neces
sary to bring about a market-stabilizing in- (111) * Cabbage - Onions
Meta Tomatoes - Sweet
crease in consumption . Enter " Operation Three
Star ," or what is known as a "Special Program ." " designated as plentiful . "
This operation is particularly effective in moving a locally over
abundant food in a particular marketing area or on a Nation -wide basis .
In addition to the use of " one " and " two star" operations , PMA repre
sentatives , by letter , telephone , and telegraph , enlist the support of
selected groups representing wholesalers and retailers and their organi
zations , advertising groups , newspapers , radio , State officials , chambers
of commerce and others in a vigorous campaign for this particular food .
In addition , these efforts are paralleled by activities of producer or
ganizations . As a backdrop for this , the Department furnishes covering
information , fact sheets , menus and recipes , and enlists the efforts of
all groups in an intensive Thursday - to -Wednesday " Merchandising Week "
campaign . This period is selected because it includes heavy week-end
shopping , though the time period can be extended .
A good example of an area " three star " program was the one conducted
for Virginia and Maryland Eastern Shore sweetpotatoes last fall . In
1948 , the market situation for " sweets" from that area was so critical
PMA had to purchase 236 carlots in order to support prices . Last year's
crop , however , was covered by a "three star" Plentiful Foods Program di
rected at Southeastern markets . Despite a national crop higher than
that of 1948 , it was necessary for PMA to purchase only 6 cars of sweet
potatoes from the Eastern Shore area .
Personal Contact Caps "Four-Star" Program
The " four Star " or " all - out " program is called into action when it
is felt that all of the activities previously mentioned will not be enough
to meet a particularly bad market situation for a certain commodity .
Here the previous programs are intensified and expanded by an extra de
gree of information support in that the letter , telephone , and telegraph
requests for cooperation are followed up by personal meetings with key
representatives of all groups using the " Plentiful Foods List " . In addi
tion , when it is felt that it will be particularly effective , representa
tives of the Food Distribution Programs Branch may help initiate a spe
cial community program in a major wholesale area .
The 1940 census shows that there are 33 of these major wholesale
areas throughout the United States--each with a population of 1,000,000
or more . In all , these areas include probably 75,000,000 people or about
half the total population . When a national four star !! program is
plann , representatives of the Branch go into many of these and other
ed
areas to contact representative groups to support the campaign .
An idea of the extent of this direct approach work by branch repre
sentatives is gained from the records which show that more than 1,500
such contacts were made in the 12 month period July 1948 to June 1949 .
Nearly half were made with individuals or groups representing the dis
tributive trades and other contacts were made with allied interests in
food merchandising .
As a part of this direct contact work , for example , a working group

of 50 or more members from industry was called together in Chicago for
a coordination of efforts . Among those represented were the food trades,
May 1950 7
press , radio , advertising , department stores , citizens groups , and labor .
Similar groups may be initiated , when such interest is manifest, in many
of the other 32 major wholesaling areas . This will enable the food in
dustries and allied groups to step in and take over "plentiful food "
programs they feel will be of benefit .
A supplementary part of the "Plentiful Foods Program " is a " Foods

to Feature " list . Since copy for most national magazines and releases
from other sources is planned from three to six months in advance , it
is obvious that the monthly " Plentiful Foods List " is of little value
to such publications . Therefore , PMA compiles another monthly list ,
based on farm and marketing history, growers ' intentions , crop reports
and other available information , which anticipates foods likely to be
in abundant supply three to six months in the future . This list is de
signed to inform national magazines , advertising agencies , producer
groups , and the food trades what foods to expect in plentiful supply
later on so that articles , advertising copy , merchandising programs,
etc. , may be planned for the marketing peak of the crops listed . Apples ,
for example, were on the list for October 1949 that was sent out by the
Department in early July of that , year .
Press Coverage Excellent
Support of the " Plentiful Foods Program " by producer , merchandising,

advertising, public service and other groups has been consistently ex
cellent . During a two-week period , for example , a cursory check of
metropolitan newspapers revealed that 48 large " dailies " in 22 States
and the District of Columbia had devoted over 1,000 column inches of
space to the " Plentiful Foods Program ."
In a recent intra -organization letter discussing the " Plentiful Food
Program , " one of the large, food industry groups stressed that " the gen
eral consumer advertising backing is something the grocer could never
afford to buy in 20 years of business . "
The program also has the solid backing of the Advertising Council ,
the public service organization of the advertising industry . The Council
furnishes special radio treatment weekly for one or more " plentiful foods "
suggested by the Department as especially in need of promotion ,
The " Foods to Feature" phase of the program has drawn enthusiastic
response from food page editors of national magazines who describe it as
a " great help " in planning advance editorial copy.
With all this support , it is no wonder that other recent " four star"
programs , such as those for peaches , and broilers and fryers , have been
eminently successful .
Help For a " Flash " Peach Harvest
The peach program , which was undertaken on an " all -out " basis in 26
northeast and mid-west States last fall , was made necessary by the fact
that the peach harvest in those areas , which generally extends over a
8
period of weeks , came on all at once . The following results were re
ported for this " Special " Plentiful Foods Program :
Two large chain store organizations reported a 100 percent increase

in sales , or more than 53,000 bushels , in one week in one area alone .
Another chain boosted tonnage of peaches handled by 300 percent--60 cars
in 1949 as compared with 20 cars in 1948 . A Chicago restaurant chain
sold 30 percent more peaches and another restaurant group sold all the
peaches purchased for the first week of the drive in one day . A large
Illinois manufacturing concern , serving 25,000 meals daily to its workers ,
used 100 percent more peaches in 1949 than during the comparable period
of 1948. Beneficial , too , was the help which this program provided in
making it unnecessary for the Department to purchase fresh peaches to
maintain prices despite the unusual harvest conditions .
Faltering Poultry Market Steadied
The broiler and fryer campaign , carried out during January and Feb
ruary this year , and conducted primarily in the eastern area and west to
Texas -- the center of both commercial production and consumption -- showed
equally good results . · According to information received by the Depart
ment , prior to the campaign , poultry prices were actually below cost of
production , with losses as much as 5 cents per pound to producers re
ported . As a result of the program , the PMA Poultry Branch reported that
prices climbed 1 to 3 cents per pound in the Delmarva area and 5 cents a
pound in the southeast . " Reports
Reports such as the following were received :
One large grocery chain reported a 300 percent increase in broiler

and fryer sales in its New York district . Another grocery organization
reported sales in the Nashville district jumped to 34,784 pounds during
the " program week " from 22,000 pounds the previous week . Another national
group reported New York sales up 396 percent . In Washington , D. C. one
grocery organization found the first week of sales promotion so success
ful that they decided to continue it for another week , an almost unprec
edented move for that organization . A large packing house reported it
moved 50 percent more broilers during the " program week " than in any
other week in any previous year .
Restaurants , hotels and dining car services in the program areas
also reported substantial increases in servings of broilers and fryers .
A metal foil manufacturing company put on an advertising program during
the period featuring the cooking of chicken in its product . Excellent
cooperation was received from newspapers , radio and television stations ,
which featured menus and recipes calling for boilers and fryers .
Although full reports of results are not yet available , the Food
Distribution Programs Branch is confident that other "four star " programs
that have been carried out since January this year on eggs , onions , and
dry beans were helpful to both producers and consumers . In addition ,
during the same period , area campaigns were carried out for cabbage in
the Southeast , turkey in the East , Midwest and West , and sweetpotatoes
in the Southwest .
May 1950 9
In connection with this latter campaign , a letter has been received
from a county Chamber of Commerce in Texas stating that the sweetpotato
program was so successful there that a survey revealed that less than 15
carloads of the 1949 crop were left to be moved and future delivery orders
would clear them up within the next few days . " The results were astound
ing and appreciated by this organization and the sweetpotato growers of
County ," the letter concluded .
Currently , a "four star" program has been underway for dried beans .
The national campaign covered the merchandising week April 27 to May 3 ,
while a particularly intensive area program in the Midwest was carried
on in the period April 27 to May 10 .
Cooperative Efforts Bring Results
The results accomplished by the "Plentiful Foods Program ," cited in

this article , may seem to be a bit spectacular . However , they are taken
from reports made directly to the Food Distribution Programs Branch . Re
sults of other campaigns may or may not be so encouraging . The important
thing, is that with the growing support of the food trade and other pub
lic -minded groups , this program has demonstrated that " plentiful foods "
can be moved through normal trade channels in much larger volume to the
mutual benefit of producers , handlers and consumers.
REVISED BULLETIN EXPLAINS PRICE PROGRAMS
" Price Programs of the United States Department of Agriculture , "

Agriculture Information Bulletin No. 13 , brings up to date the simpli
fied explanation of price - support operations outlined first in " Price
Programs of the United States Department of Agriculture-- 1949 . " In addi
tion to surveying price programs under new farm legislation enacted in
1949 , the revision outlines , in question and answer form , the Interna
tional Wheat Agreement, Section 32 , the National School Lunch , Marketing
agreement and order , sugar , and supply programs . A discussion of parity
and how it is computed is also included in the publication . Copies may
be obtained from the Information Branch , Production and Marketing Ad
ministration , U. S. Department of Agriculture , Washington 25 , D. C.
UNIVERSAL STANDARDS COTTON CONFERENCE HELD
The Production and Marketing Administration has announced that a

total of 1,055 key boxes of the 1946 universal cotton standards were ex
amined and approved by delegates attending the 9th Universal Standards
Cotton Conference for 1950., held in Washington in May . Key boxes are
samples of cotton used as guides to standards serving as a basis for in
ternational trade in cotton . The conference , first since 1946 , was
attended by delegates from 10 European and Asiatic trade organizations
and over 30 American organizations . The next meeting is scheduled for
an unspecified date in 1953 .
We Like To Sell Peaches
By Wesley Windisch
My wife and I have produced and marketed peaches for 20 years . Fi
nancially , some of those years have been good , some bad , and some indif
ferent . But we intend to stay in the peach business . We like it . We
look forward to each new season , knowing that it will at least be inter
esting , and --to judge from the past -- it will occasionally be exciting .
Our orchard is located about a half mile off the main highway , be
tween Toledo and Sandusky , Ohio . Over the years , the size of our pro
duction unit has varied from 10 to 25 acres . As the peach industry goes ,
that is a relatively small operation , But we sell direct to consumers ,
through our own roadside market , and we have tailored our production
volume to fit our marketing outlet . Looking back , we still believe that
our decision to " stay small " was a wise one-- at least for us .
Consumer Reaction Felt First-hand
The roadside market brings out sharply the close relationship be

tween production and marketing . You meet your customers and find out
what they want . Then you try to gear your production operations to your
market . The same relationship exists in more complex types of marketing .
But when marketing becomes complex , producers and consumers cannot talk
over , in neighborly fashion , such factors as quality , variety , and price .
With peaches , as with any other agricultural commodity , one fact

stands out : You can't sell a poor- quality product and make any money at
it . You must aim at a product that will , in effect , sell itself .
When it comes to peaches , proper size and just the right degree of
ripeness are extremely important considerations , At our farm , the har
vesting is done as much as possible by skilled workers who have been
with us for many years . These people know how to handle peaches . They
know when peaches are ripe and how to harvest them in such a way as to
preserve their on-the-tree quality.
Last year we had a heavy crop in prospect . Then a drought set in

and it looked for a while as though we were in for some real trouble .
On top of everything .. else , I had to be away from the farm during this
most critical period. Had it not been for my conscientious helpers in
the orchard , together with my hard-working sales force , 1949 would have
been a disastrous season . As it turned out , we were able to show a small
profit after all the odds that were against us . So I say that tried and
tested workers pay dividends .
May 1950 il
Variety is important , too . In the past 20 years , many new varieties ,
including the South Haven and Hale Haven have proved to be good additions
to such old timers as Early Elberta, Elberta , J. H. Hale ,, and Rochester .
But along with the new varieties came the need for safer pruning to keep
the trees from breaking and to get more large fruit with less hand thin
ning -- although we have found that hand thinning is money well spent .
The fact that the Elberta is somewhat tender in bud caused us to
change to some of the earlier and more hardy varieties . Freezing tem
peratures are a peach grower's greatest fear . A peach grower doesn't
have time to be a clock watcher--but he is quite a thermometer watcher .
Lake Erie is a big help in keeping spring frosts away from our orchard.
Several times the difference between a good crop and a complete failure
has depended wholly upon the protection from the lake and the wooded
areas around the orchard . The water warms the air slightly and the woods
funnel air currents over and around the orchard .
Our orchard is clean cultivated . We plant rye in the spring , which

is plowed under as green manure . And we use commercial fertilizer . That
treatment seems to keep the trees in good shape .
You Can't Slight Any Step
A roadside marketer must , sooner or later , see to it that as much

time as necessary is devoted to both production and marketing . Both are
equally important . I decided early in the game that my place was in the
orchard . That automatically made Mrs. Windisch sales manager -- and a
good sales manager at that . She likes to sell . She knows the varieties
and the best uses to which each variety can be put . Her practical sug
gestions along the use line are a big factor in keeping many customers
coming back to the market . Then , too , she contributes the invaluable
"woman's touch " to the displays and to the over - all appearance of the
market .
Market layout is something that should be given quite a bit of

thought . The buildings ought to be attractive--that entices motorists
to stop -- and they ought to be sized according to your volume . Customers
rattle around in a building that's too big . A big place , furthermore ,
has a vaguely depressing effect . Buildings that are too small , on the
other hand , are a nuisance all the way ' round . Customers and sales
people are forever in each others ' way and that's bound to be irritating .
Put plenty of emphasis on a big parking lot . And make the parking
lot easy of access from the highway . With a big lot you can take care
of a great many customers , which is one of your aims . Easy access to
the lot reduces the danger of traffic accidents .
Locate the market on a busy road, of course . We had fair success

when we operated on a cross road , about a half mile from the main high
way . But we decided to move to the main highway , which carries thousands
of cars a day , 7 days a week . Very few old customers failed to locate
us at our new place of business and sales picked up sharply as new buyers
" discovered " us .
You must advertise . We have a modern electric sign at the market .
And signs along the highway , in both directions , tell motorists that tree
ripened fruit is just ahead . The fruit itself can be a good advertise
ment if displayed properly . A sign will call attention to the market ,
but an attractive display will really pull the customers in .
Prices Geared Both to Quality and Wholesale Base
How about prices ? The general level of peach prices , as with other
commodities , is fixed by the laws of supply and demand . In appraising
supply and demand -- and quality and size-we base qur price at the farm
on the -wholesale markets at Cleveland and Toledo . That way our prices
are a little lower than prevail in local retail markets . Actually , the
customer is entitled to a little lower price when he buys at a roadside
market , because he is assuming one of the marketing charges that are
normally assessed against a farm commodity e--transportation . In the grad
s
ing and sizing of peache , we do accumulat some off - grade fruit . This
at
fruit is priced somewh below our high - quality peaches and sells readily .
The two -price system has enabled us to move all our production , both
high and low quality , at what we consider fair prices ,
Nothing New in the Rules
In summary , anybody who plans to operate a roadside market and make

it pay, should follow these rules :
1. Produce a high quality product and price it fairly.

2. Follow common - sense merchandising techniques -- and if you aren't
sure what they are , observe operations of successful markets .
3. Treat your customers as you like to be treated .
These rules , incidentally , aren't new . They are as old as agricul

ture itself .
* * *
COMMERCIAL HOLDINGS OF FARMERS ' STOCK PEANUTS DOWN
The total supply of peanuts ( farmers ' stock equivalent basis ) held
in commercial positions declined 115 million pounds during April and at
the end of the month totaled 438 million pounds , the Bureau of Agricul
tural Economics reported in mid -May . This compares with holdings of 648
million pounds in sight a year ago and is the smallest end -of - April sup
ply since the 1939-40 season . These supply figures exclude stocks re
maining on farms and holdings of shelled oil stock peanuts . Stocks of
both cleaned goods and shelled edible peanuts were above holdings a year
ago , with a sharply decreased supply of farmers ' stock contributing en
tirely to the short supply situation , A total of 67 million pounds of
farmers ' stock peanuts were cleaned and shelled during April , compared
with 146 million pounds cleaned and shelled a year earlier and 120 million
pounds during March 1950. This excludes shelling operations which could
be identified as for seed purposes . Only 4 million pounds of farmers '
stock were reported crushed during April .
May 1950 13
Some Tricks In Cotton Handling
By Jo Brice Wilmeth
Many of the improved methods of cotton handling being adopted today

are results of unique and promising cooperation between farsighted cot
ton warehousemen and researchers of the U. S. Department of Agriculture,
Several years ago spokesmen for the cotton warehousemen first out
lined to the Department a forthright program which is now well on the
way toward making labor more productive in cotton warehouse handling op
erations and thus reducing handling costs ,
This research has been under way during the past year in the Mar
keting and Facilities Research Branch of the Production and Marketing
Administration . The project was authorized and is being financed under
authority of the Research and Marketing Act of 1946 . The cotton ware
house industry has been represented by the National Cotton Compress and
Cotton Warehouse Association and the National Cotton Council of America .
Two Reports Issued
From the first there has been but one major deviation from the orig
inal plan for the research program . Instead of waiting for an overall
" package suummary " on all phases of cotton handling to be studied, the
industry has requested that USDA recommendations be submitted job - by - job
as old handling techniques are improved or new or better methods de
veloped. So far, two reports have been issued , each covering informa
tion on a single type of handling operation . Charles D. Bolt and Alan
W. Steinberg, USDA industrial engineers who made the field studies and
prepared the reports , presented their findings to the National Cotton
Compress and Cotton Warehouse Association during its annual meeting
held in New Orleans in May .
The first improvement developed involves the basic problem of bale

stacking for most efficient handling. If space were available all cotton
bales, particularly uncompressed bales , would be " stood on end" for ease
in storing and breaking out of storage . However , much cotton , particu
larly standard density bales , must be stacked , in " cordwood " or some
other fashion in order to conserve space . Any method which increases
the efficiency of the stacking operation is therefore a direct contri
bution toward cutting down handling costs . The new method of stacking
bales " cordwood " fashion requires only three men instead of the four or
more customarily employed , and the job is done as fast or faster with no
more work required of the streamlined crew ,
In warehouses using the " cordwood " system of stacking, compressed
bales are commonly stacked in rows up to 200 feet long and 4 , 5 and 6
bales high . Usually , the first bales are placed one on top of the other ,
to the full height of the stack , the same with the next bales , and so on
until the row is completed . This method of performing the stacking op
eration usually requires a crew of 4 men or more, including an operator
-MAN "C"
*m
R MAN B "
MANA
Crew arrangement for positioning first three layers using the old method of stacking.
for the " boom stacker " ( a mechanical hoist ) , and two men on the floor to
place lift hooks on the bales and to guide the first 3 bales into place .
One man stays on top of the stack throughout the stacking operation in
order to guide the bales into the 4th , 5th and 6th. layers.
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The old order of stacking (left) is contrasted with the improved order (right) .
The stacking method devised by the Department uses only a 3 -man

crew with the boom stacker . One man operates the stacker , and the other
May 1950 15
2 men handle bales from the floor , stacking at first only 3 bales high .
Then the 4th and 5th layers of bales are placed on the first three lay
ers with one of the men from the floor now stationed on top of the stack
to handle the bales as they are lifted by the stacker . If a relatively
long stack ( say, 100 to 200 feet ) is to be built , it usually is better
first to construct a complete segment about a third or half of the event
ual length of the row . The row is completed by constructing one or two
more segments , each time laying first a row 3 bales high and then adding
the 4th and 5th bales .
New Method Learned quickly
Time -study comparison of the old and the new stacking methods show
that where worker efforts are equal; a slightly higher stacking rate can
be obtained by the improved method . Based on actual production results
the new method has proved capable of maintaining or exceeding any pro
duction rate obtained by the old method -- and assuming uniform wage rates ,
at a saving of at least 25 percent in labor costs . Moreover , experience
has shown that a crew is able to learn the new routine quickly, attain
ing in the first day of use , a rate equal to that previously attained
by the old method .
MAN B
Aㅗ
MAN'B
"
MANA
MAN'A "
Crew arrangements for the first and second step of the improved method of stacking.
Test studies have shown that if a handling operation is to be per

formed most efficiently, the movements of the various crew members must
be synchronized --much as the assignments of football players must be
1
worked out precisely in the execution of a perfect play . For example , it

has been found that if each hand trucker enroute to the stacking machine
with a bale waits near the end of the three - high stack for the preceding
" no - cargo " trucker to pass him on the way back before proceeding down the
feeder aisle to the stacker , congestion and delay in the feeder aisle will
be avoided . Nor does this slow the work of the stacker , since the stack
ing machine is not ready at this point to receive ,the next bale , being
occupied with hoisting and positioning its previous load . Moreover ,
during this time , the workman with the empty truck has the freeway to
load again at the supply source .
Other refinements in this stacking method include suggestions that

at times simple scissors - type hooks be substituted for the more unwieldly
chain and claw hooks originally designed for placement by two men ,
Second Study Compares Handling Aids
The second study for which conclusions have been reported to the
industry compares the use of two - wheel hand trucks and clamp -type indus
trial trucks in transporting bales to the dinky press during a compress
ing operation , The dinky press is a small low - pressure press used di
rectly before the compression operation for relieving pressure on the
bale ties and making possible their removal . Important recommendations
in this study call for a reshuffling of personnel performing the opera
tions as well as some strategic handling of the bales themselves.
The work outlined in this particular study applies to compressing

operations in which cotton warehouses concentrate, or group bales , prior
to actual compression , in a section of the press compartment usually re
ferred to as a blocked area . The group of bales so concentrated make up
what is called a " block . ' From here bales are fed directly to the dinky
press at a rate keyed to the capacity of the main press .
" Temporary Block " Absorbs Surges

Whether hand trucks or industrial trucks are used in hauling bales
from the original block , a principal factor making possible the saving
of labor costs under the improved me thods has been the introduction of a
" temporary block "between the original block and the dinky press . The
temporary block is located from 10 to 15 feet from the dinky press or at
some point close enough to allow all transporting of bales from the tem
porary block to the dinky press to be performed by one hand - trucker .
The purpose of the temporary · block is to absorb surges in the rate at
which bales are received from the original block , and simultaneously to
provide an immediately available supply of bales for the dinky press , as
surges take place in the pressing rate of the main press .
DINKY PRESS
ORIG
INAL BLOCK
MAN
K A
Typical 8 -man crew arrangement under the present method of feeding the dinky press .
May 1950 17
Normally, where two-wheel hand trucks are used , and assuming a trans
port distance of around 200 feet and a pressing rate of approximately
100 bales per hour , about 8 men are required to feed the dinky press di
rectly from the original block of bales . Of this 8 -man crew , 7 are hand
truckers while one " pull - down " man helps load the hand trucks in a par
ticular manner so that the bale may be moved directly into the press . In
such operations 3 or more of the 7 truckers may frequently be waiting in
line at the press .
In contrast , under the improved method involving the temporary

block , but using hand trucks as before , the crew required for feeding the
dinky press consists of 6 men : 2 hand truckers and 2 men stationed at
the temporary block , or 2 men less than for the usual procedure,
VOINKY PRESS
TEMPORARY BLOCK
MANN
MAN B
Wawa ORIGINA BLOC

L K
Where a temporary block has been introduced, 6 men handily feed the dinky press .
The improved system provides that each hand trucker picks up a bale
from the original block and wheels it to the temporary block , No " pull
down" man is needed in this movement since the bale need not be posi
tioned precisely on the hand truck inasmuch as it is not fed directly to
the press .
On arriving at the temporary block , the hand trucker unloads his

bale without delay , turns , leaves the press , and returns to the original
block to repeat the cycle .
At the temporary block the " pull - down " man positions the bale prop
erly on a hand truck used only for moving bales to the press , and also
helps the " short - haul " hand trucker in his feeding operation .
Where a clamp - type industrial truck is employed , operations between
the temporary block and the dinky press are not altered , although total
crew requirements are cut down because one man operating the clamp truck
can successfully maintain the temporary block , thus replacing the 4 hand
truckers used in the operation described above . No manual assistance
is needed with the clamp truck in either picking up the bales or deposit
ing them at the temporary block ,
DINKY PRESS
TEMPORARY BLOCK
MANA MAND
ORIGIN
AL BLOCK
With a two-bale capacity clamp-type industrial truck, a 3-man crew is adequate to feed
the dinky press .
Time studies of present operations indicate that from 35 to 50 per
cent of the total man -hours involved in feeding the dinky press are non
productive . Most of these hours are spent by hand truckers waiting at
the dinky press . With application of either the improved hand - truck
system or the industrial truck this non - productivity is eliminated . Where
industrial trucks are employed the very impressive savings in labor costs
must of course be somewhat reduced by increased charges for operation and
maintenance of the equipment . Studies on similar cotton handling prob
lems are underway, and will be issued when further improvements are de
veloped .
Reports describing in more detail the handling operations outlined

above are available upon request to the Production and Marketing Adminis
tration , U. S. Department of Agriculture , Washington 25 , D. C.
SUNLIGHT AFFECTS VITAMIN C CONTENT IN TOMATOES
Sunlight is more important in determining the vitamin C content of

tomatoes than the variety
variety ,, growing
growing conditions , color of the fruit , or
any other factor , according to food chemists at the New York Experiment
Stations at Geneva and Ithaca . Vitamin C is most closely related to cli
matic conditions , especially sunlight , point out the researchers , who
have found that the vitamin C content of tomatoes during a sunny season
may be double that found in the same variety during a cloudy season .
May 1950 19
Wool Clip Tallied By Grade
For the first time , producers , textile manufacturers , and others
can learn the breakdown of a year's wool clip by grade . This information
on both pulled and shorn wool comes as a by - product of the wool price
support program carried out by the Production and Marketing Administra
tion .
In 1946 , the year for which these distribution figures are avail
able , virtually all of the domestic wool offered for sale was acquired
under the wartime price support program . The resulting percentages of
wool produced by grades , therefore , represent an accurate breakdown of
the year's clip . Little , if any , of this wool , or wool acquired in other
years , now remains on hand .
146 Grade Breakdown Believed Representative
Of Current Wool Production
Grade plays an important part in selecting wool for the innumerable

cloth and textile uses . Most of the domestic consumption is used in the
manufacture of clothing and blankets , and the 1946 breakdown places most
wool in grades that are used for these purposes . Most of the Common and
Braid wool used in the manufacture of rugs and carpets is imported . Since
the changes in sheep 'numbers after 1946 have been at about the same rate
in the various areas where different grades of wool are produced , the
figures for 1946 production are believed to be representative of current
production by grades .
Pulled wool purchases under the 1946 program were also analyzed by
grades . Pulled wool is obtained from sheep and lambs slaughtered .
The following table shows , in percent , the amount of each grade of
this production of wool :
Shorn : Pulled : Shorn & Pulled
Grease : Clean : Clean : Clean
Percent : Percent :Percent : Percent
Fine , 64s and finer 53.0 45.6 9.7 36.8

1/2 blood , 58/60s to 60/645 16.3 16.6 38.3 21.9
3/8 blood , 58s to 58/58s 16.5 20.6 45.7 26.8
1/4 blood , 48 /50s to 50/56s 9.9 12.9 5.3 ‫גב‬.‫ג‬
Low 1/4 blood , 465 to 48s 1.5 1.4 0.7 1.2

Common and braid , 365 to 445 0.5 0.7 0.3 0.6
Orfsorts ( ungraded ) 2.3 2.2 1.6
Total 100.0 100.0 100.0 100.0
These 1946 grade distribution figures were compiled by the Live
stock Branch of USDA'S Production and Marketing Administration in de
veloping the wool price support program for 1950. The figures were based
on shorn wool purchases of 288.6 million pounds , grease basis , or 122.4
million pounds, clean basis , and pulled wool purchases of 39.6 million
pounds , clean basis .
Grades and shrinkages of the wool purchased in the 1946 program
were determined by Government appraisers . These appraisals formed the
basis for determining returns to growers , because purchase prices were
based on grade and clean yield ,
ADDITIONAL POULTRY PROCESSING REQUIREMENTS ANNOUNCED
Examination of poultry and rabbits during the eviscerating process ,

by qualified persons , has been announced as a supplemental requirement
to the revised USDA grading program for ready -to - cook poultry and domes
tic rabbits .
The requirements , announced May 10 by PMA , call for condemnation of

carcasses in which is detected any condition rendering them unfit for
food . These requirements , which become effective as of June 12 , provide
additional assurance that ready - to - cook poultry or rabbits , bearing offi
cial USDA grade labels are wholesome products .
PORK PRODUCTION UP ; BEEF DOWN FOR FIRST QUARTER 1950

Pork and mutton and lamb production increased 6 and 2 percent re
spectively , during the period January -April 1950 , as compared to the
comparable period a year ago . However , 1950 beef and veal production
were down 2 and 3 percent for the same period , Total meat production
for this quarter , 1950 , was up 1 percent over that of 1949. These figures
were announced May 31 by the Bureau of Agricultural Economics .
Commercial meat production in the United States during April 1950

totaled 1,512 million pounds , a decrease of 12 percent from the 1,712
million pounds produced during March , but 2 percent more than the 1,482
million pounds produced during April 1949.
1949 . These figures are based on
slaughter in federally inspected plants and in other wholesale and re
tail plants , but excludes farm slaughter .
April slaughter of 5,221,000 hogs showed a decrease of 14 percent
compared with March , but an increase of 10 percent compared with April
1949 . Slaughter of calves in April 1950 , was 833,600 , a decrease of 10
percent from April a year ago . The number of cattle slaughtered during
April totaled 1,322,600 head, l1 percent less than in the preceding month
and 3 percent less than in April a year earlier .
May 1950 21
Marketing Briefs
Cotton .-- The Production and Marketing Administration of the U. S.
Department of Agriculture announced June 1 that Commodity Credit Corpora
tion sold 41,962 bales of 1948- crop pooled cotton pursuant to its offer
to sell , dated May 12 , 1950. Bids were opened on May 22 , 1950. The 1948–
crop cotton was pooled for the account of producers on August 1 , 1949 .
To date , 256,148 bales of 1948-crop pooled cotton have been sold .
Dairy .-- Three changes in the form of an amendment to the Federal
order regulating the handling of milk in the Fort Wayne , Ind . , milk mar
keting area were announced May 25 by the Production and Marketing Admin
istration of the U. S. Department of Agriculture . The changes ( 1 ) reduce
the size of the Fort Wayne milk marketing area to the city limits , ( 2 )
reclassify aerated products from Class II milk to Class III milk , and ( 3 )
revise the definition of " producer " to include only those dairy farmers
who produce milk inspected and approved by the Ft . Wayne Board of Health ,
The announced changes were based on evidence received at a public hear
ing January 31 and February 1 and upon exceptions of producers and han
dlers in the market regarding the Department's recommendations announced
March 21 . The amendment was issued following approval by more than two
thirds of the dairy farmers who participated in a referendum .
Fruits and Vegetables .--Adoption of several amendments to the mar
keting agreement and order regulating the handling of peaches grown in
Mesa County, Colorado has been recommended by the Production and Marketing
Administration . The amendments were proposed by the Administrative Com
mittee , the agency established under the marketing program , and the De
partment's recommendation is based on evidence presented at a public
hearing held at Palisade , Colorado , on March 8 and 9 , 1950 . The princi
pal amendments recommended would ( 1 ) permit the regulation of peach ship
ments by minimum standards of quality and maturity , and ( 2 ) make several
changes designed to define more clearly the scope of operation of the
program ... On May 31 announcement was made by PMA that , in accordance
with recommendations of the Southeastern Potato Committee, potato ship
ments for the 1950 season from Virginia- North Carolina will be limited to
85 percent v . s . l or better grades . The regulation became effective as
of June 5 , and will continue in effect until August 15 , 1950. During
period of regulation all shipments of Virginia- North Carolina potatoes
covered by the Southeastern States marketing agreement and order must be
inspected by the Federal- State Inspection Service prior to shipment ....
Extensions of the periods for making sales , exporting , and filing of
claim under the Dried Fruit Export program to June 30 , September 30 , and
October 31 , 1950 , respectively , were announced May 24 by PMA . Program
termination dates , as originally established , were May 31 , June 30 , and
July 31 , 1950 , respectively .
Grains.-- The Production and Marketing Administration on May 26 re
ported that farmers had put 333,541,278 bushels of 1949 -crop corn under
Commodity Credit Corporation price support through April 1950. This com
pares with approximately 346,581,191 bushels of 1948- crop corn put under
support through April 1949 . The price support total for 1949- crop corn
consists of 303,642,137 bushels under farm storage loans , 3,293,053 under
warehouse storage loans , and 26,606,088 under purchase agreements. While
the loan total through April is larger this year than last ( when it
amounted to 285,222,535 bushels ) the purchase agreement amount is less
than half of last year's figure of 61,358,656 bushels . The Production
and Marketing Administration on May 25 announced that farmers may reseal
their 1948- crop oats , barley, and corn in farm - storage loans for another
year . Farmers whoresealed their 1948- crop oats and barley to mature
April 30 , 1950 , may now extend their loans to mature on April 30 , 1951 in
areas where PMA State Cornmittees deternine the grain can be safely stored
on the farms for another year . Applications for such extension must be
made to PMA county committees prior to the final date for delivery speci
fied in the delivery instructions issued by these committees to producers.
Corn loans may be similarly extended to mature on July 31 , 1951 .... An
nouncement was also made by PMA ( also on May 25 ) of an extension of time
in which farmers may apply for resealing loans on farm - stored 1949-crop
wheat , corn , oats , barley, grain sorghums , rye , and flaxseed . Farmers
may extend their 1949-crop loans on these commodities , or convert 1949
crop purchase agreements into loans for the extended period . This announce
ment provides that resealing applications " be made to county PMA com
mittees before the final date for delivery specified in delivery instruc
tions issued by these committees . " Final delivery dates vary throughout
the country , but in most cases will fall within the 60-day period from
wheat , rye , flaxseed , grain sorghums,
1949- crop wheat,
May 1 to June 30 , for 1949-
oats , and barley ; most of the corn deliveries will take place between
August 1 and September 30 .
Grain Storage.--The Commodity Credit Corporation of the U.S. Depart
ment of Agriculture announced May 4 that it has completed contract awards
made under the announcement of April 4 that it would consider offers on
perforated floors and ventilating duct systems for use in grain storage
structures recently purchased by the Corporation . Only one award was
made under the offer . Lakes Steel Corporation ,
This was to the Great
Detroit , Michigan , for 299 metal ventilating duct systems for 40 ' by 100 '
flat metal storage structures . No awards were made for perforated floors ,
A survey by States , completed after the announcement of the April 4 offer,
has revealed that sufficient additional floors are available in some
States to meet current requirements in other States ,
Livestock .--The Production and Marketing Administration announced
May 31 that a hearing on the recent proposal announced by PMA on May 12
to revise Federal beef grades will be held at 10 a.m. , C.D.S.T. , on June
28 , 1950 in room 582 , United States Court House ,, Clark and Dearborn
Streets , Chicago , Illinois . At this hearing any interested person who
wishes to do so may present views either written or spoken which are
relevant to the specific proposal . Views may also be filed with the Di
rector , Livestock Branch , Production and Marketing Administration , U. S.
Department of Agriculture , Washington 25 , D. C. , on or before July ll ,
1950 .
May 1950 23
Principal changes proposed in the announcement by PMA on May 12 re
late to steer , heifer , and cow beef only and ( 1 ) combine existing Prime
and Choice grades into one grade to be designated as Prime ; ( 2 ) redesig
nate the present Good grade as Choice ; and ( 3 ) divide the present Commer
cial grade into two grades , one of which will be called Good and will
cover beef which comes from high quality cattle that have not reached
full maturity while the remaining part of the present Commercial grade
will continue to be called Commercial .
Poultry.-- PMA announced in mid -May that the purchase of dried eggs
will be continued during July and August at levels reflecting to pro
ducers price of at least 25 cents a dozen ( 27 cents a dozen when de
a
livered by the producer to the plant of the drier ) . This will be a con
tinuation of the support program that has been in effect since January,
and at the same levels . Vendors who sell dried eggs to the Department
must certify that they have paid producers these prices for eggs in the
surplus- producing areas . Offers of dried eggs will be received for July
delivery beginning Tuesday , June 6 , and for August delivery beginning
Tuesday, July 4 .
SURPLUS STOCKS DISTRIBUTION ANNOUNCED BY PMA
The Production and Marketing Administration reported May 29 that

donations of Commodity Credit Corporation surplus foods to eligible re
cipients in the United States , under Section 416 of the Agricultural Act
of 1949 and Public Law 471 , totaled more than 120 million pounds through
April 30 , 1950. Donations to private welfare organizations for foreign
relief purposes , through the same date , totaled over 20 million pounds .
Under Section 416 of the Agricultural Act of 1949 , to prevent waste
through deterioration or spoilage of commodities acquired by CCC in price
support operations , the Corporation makes them available free , at point
of storage , to the following , in the priority named : First , school - lunch
programs , the Bureau of Indian Affairs , Federal , State and local public
welfare organizations for assistance of needy Indians and other needy
persons ; second , to private welfare organizations for assistance of needy
persons within the United States ; and , third , to private welfare organi
zations for assistance of needy persons outside the United States . Under
Public Law 471 , transportation costs may be paid by the Corporation on
19149- crop potatoes under certain conditions .
Distribution is made by CCC on the basis of requests received , and
so far it has been possible to fill all requests from eligible agencies .
Domestic distribution to first and second priority groups , through April
30 , included 4,221,000 pounds of nonfat dried milk solids , 1,714,000
potatoes , 3,426,000 pounds
pounds of dried eggs , 109,418,000 pounds ofDistribution
of butter , and 1,828,000 pounds of cheese . for foreign re
lief included 18,629,675 pounds of nonfat dried milk solids , and 3,901,304
pounds of dried eggs . Butter and cheese are not available to third pri
ority groups , and no potato shipments have been made .
ABOUT MARKETING

Administration , U. S. Department of Agriculture, Washington 25 , D. C.
Addresses :
Peanuts and the Farm Program, an address by Ralph S. Trigg , Admin

istrator , Production and Marketing Administration and President , Commod
ity Credit Corporation , at a meeting of the National Peanut Council ,
White Sulphur Springs , West Virginia , April 21 , 1950. 10 pp . ( Processed)
The Testing for Purity and Germination of Seed Offered for Impor
tation into the United States , an address by Oren L. Justice , Seed Tech
nologist , Seed Act Divn . , before the International Seed Testing Assn . ,
Wash . , D. C. , May 8-12 , 1950. 19 pp . ( Processed )
Piblications:
Consumer Purchases of Selected Fresh Fruits , Canned and Frozen

Juices , and Dried Fruits in March 1950. May 1950. 19 pp . ( PMA ) ( Proce
essed )
Deliveries to Export Programs, Invoiced During Fiscal Years 1941
1950 , through December 1949. April 1950. 27 pp . ( PMA) ( Processed )
Problems of Transporting and Marketing Hatching Eggs and Baby Chicks
in the Northeastern States . April 1950. 24 pp . ( PMA ) ( Processed )
Cost and Quality of Cotton Ginning in the Lower Rio Grande Valley
of Texas , Seasons 1947 and 1948. March 1950. 50 pp . ( PMA) ( Processed)
Grade and Staple Length of Upland Cotton Ginned in the United States
1949-50 . April 1950. 1 p . ( PMA) ( Processed )
Charges for Ginning Cotton and Related Data , Season 1949-50 . April
1950 . 2 pp . ( PMA ) ( Processed )
Comparison of Rate of Deterioration of Storage and Nonstorage Eggs ,

Report of a study made under the Research and Marketing Act of 1946 .
March 1950. 3 pp . ( PMA and Agricultural Research Admin . ) ( Processed )
Interpretations of the Regulations for the Enforcement of the Fed

eral Insecticide , Fungicide , and Rodenticide Act . Revised March 1950 .
52 pp . ( PMA ) ( Printed )
Beet Sugar Factories of the United States . Revised March 1950 . 21

pp . ( PMA ) ( Printed )
A Modified Technique for Making Cotton Fiber Maturity Tests . April

1950. 17 pp . ( PMA ) ( Processed )
U. S. Consumer Standards for Husked Corn on the Cob ( Effective May
ll , 1950 ) . 3 pp . ( PMA) ( Processed )
United States Standards for Grades of Canned Spinach ( Effective May
12 , 1950 ) . 9 pp. ( PMA) ( Processed )
Marketing California Asparagus 1949 Season . March 1950. 27 pp .
( PMA and California Department of Agriculture cooperating ) (Processed )
Marketing Texas Cabbage , 1949-50 Season , April 1950. 5 pp . ( PMA )
( Processed )
Marketing California - Arizona Citrus Summary of 1948-49 Season . 53
pp . (PMA and California Dept. of Agriculture cooperating) ( Processed)
Marketing Salinas-Watsonville-Hollister Lettuce Summary of 1949 Sea
son . April 1950. 37.pp. ( PMA and Calif . Dept. of Agriculture cooperating)
( Processed )
Summary of Yuma Lettuce Season , 1949-50 . April 1950. 25 pp . ( PMA
and Arizona Fruit and Vegetable Standardization Service cooperating)
( Processed )
Marketing Arizona Salt River Valley Lettuce Summary of 1949 Fall
and 1950 Spring Season . April 1950 . 21 pp . ( PMA and Arizona F & V Stand
ardization Service cooperating ) ( Processed )
Marketing Imperial Valley Melons 1949. April 1950. 27 pp . ( PMA
and California Dept. of Agriculture cooperating) ( Processed )
Marketing Kern District Early Long White Potatoes Summary of 1949
Season . 1950 . 44 pp . ( PMA and Calif . Dept. of Agriculture co
March 1950.
operating ) ( Processed )
Marketing Northwestern Fresh Prunes , Season 1949. Released April
1950. 14 pp . ( PMA and Washington State Dept. of Agriculture cooperating )
( Processed )
ordering statements or publications. Check only the individual items
NAME
ADDRESS
CITY ZONE STATE
☆ U. S. GOVERNMENT PRINTING OFFICE 0-1950
A82 . 17
July 1950
MARKETING
ACTIVITIES
STA
N
อง
DETARIMENT
Washington 25, D.C.
IN THIS ISSUE :
A LABEL THAT DIDN'T STICK

By M. W. Baker . Page 3
Throughout its 22 - year growth , the Federal- State inspection of raw

products for processing has proved that buying and selling on grade will
encourage better production and handling . Mr. Baker , Assistant Director ,
Fruit and Vegetable Branch , outlines the development and the objectives
of the service .
CCC CONTRACT - CRUSHING PAYS OFF

By George L. Prichard and C. D. Walker .
Page 8
The contract- crushing program is converting raw products into com
modities moving readily in domestic and foreign trade , How the contracts
are let is explained by Mr. Prichard, Director , Fats & Oils Branch , and
Mr. Walker , Director of the Cotton Branch .
BETTER THAN THE HUMAN TOUCH

By L. E. Ide and Amihud Kramer .
Page 11
Tenderometers , succulometers and such are not designed to eliminate

the human element but to aid the inspector , the processor , the grower ,
or anyone judging quality and maturity of products . Mr. Ide is PMA'S
representative in the cooperative research being conducted on these de
vices in the Northeastern States . Dr. Kramer represents Maryland's Ag
ricultural Experiment Station in the work .
SIMPLE REFRACTOMETER DEVELOPED
By W. Haward Hunt , M. H. Neustadt , and Lawrence Zeleny . Page 15
A simple , hand-held optical instrument gives an accurate measurement

of the quality of the oil in flaxseed and soybeans , Technologists Hunt
and Neustadt , and Dr. Zeleny , Chief , Standardization Research and Testing
Division , Grain Branch , have done the research that has produced this
practical instrument.
MIL COSTS CAN BE CUT
By Donald Jackson and Calvin C. Spilsbury Page 18
Sone second looks at operating costs in cottonseed- oil mills may

pay dividends . A report comparing and analyzing various costs has been
prepared by Donald Jackson and Calvin C. Spilsbury of the Research Divi
sion , Fats and Oils Branch .
MARKETING BRIEFS . . . Page 20
Norman Hummon has been approved by the Director
Editor , MARKETING ACTIVITIES of the Bureau of the Budget-
Washington 25 , D. C. Material in MARKETING ACTIVITIES
A Label That Didn't Stick
By M. W. Baker
In the canning and processing business we hear a lot about labels-

eye- catching labels , labels that whet appetites and labels that arouse
curiosity . Most of these labels stick , in one way or another . Let me
tell you abo ut one that didn't .
About 20 years ago a prominent Midwestern processor listened pa

tiently to a general description of a new Federal service --inspection of
raw products for processing --and then labeled it with three words : " It
won't work . "
This processor was in earnest , and his reasoning , if not sound , was
right to the point . The very heart of his objection centered about a
problem we knew we had to lick . You see , this processor figured that
the human element would wreck a system that sought uniformity -- that in
effect , you would have as many standards as you had inspectors .
Some Matters Overlooked
What this critic didn't count , on was the high degree of accuracy
attainable by competent individuals who have been practically and inten
sively trained . He didn't figure that candidates for the service would
be screened on the basis of background , temperament and health-- that in
spectors would not simply be men with good eyesight, but individuals with
particularly discriminating vision so essential to size and color per
ception . He didn't measure the value of the systematic schooling and the
timely refresher courses given inspectors to get " their sights in line"
for a specific commodity . He didn't realize that color determinations
would be refined to the point of briefing for variations peculiar to a
particular season-- that application would be worked out for a special
variety in a given area . Finally, he overlooked the value of the tech
nical aids of the inspectors in keeping their decisions in line -- the
colorimeters , scales , charts , tenderometers , ring gages and life - like
models .
Of course there's a happy ending to this episode , but it did take

several seasons to convince this processor that the high degree of uni
formity was a working reality . Once this was proved to him, he was quick
to see the clear- cut advantages of the system for both producer and him
self-- and at that point his label of " unworkability" was withdrawn .
Where pre - processing inspection is performed by a disinterested
party , the grower has the incentive to deliver the best quality of pro
duce possible , for the higher the quality , the better are his returns
July 1950 3
providing crop conditions are favorable for good yields per acre . Nat
urally , under such a system , the canner receives better quality raw prod
ucts from which to manufacture higher quality finished products ,
From the beginning , the service has constantly endeavored to estab
lish grades which are specific enough to reflect variations in commer
cial value and still simple enough to be adaptable to practical opera
tions . The steady growth of the service , and the increasing dependence
placed upon it by both processor and producer is evidence of its unques
tionable progress .
Today, inspection of raw products covers 24 commodities in 18 States ,

Nearly 3,000 highly trained specialists are ready to meet the processing
demands, by season , by area, and by commodity . Under a highly synchro
nized system of personnel training and movement , the force is utilized
fully, moving from area to area as the various crops are harvested .
Wnile central authority for this manpower shuffling rests in Washington ,
regional headquarters are strategically located in New York , Chicago ,
and San Francisco .
Processor Is the Applicant
Conducted cooperatively , under Federal - State agreements , the ser

vice is available to any processor whose operations are carried on within
the borders of the United States . The applicant , the canner or processor
who desires the service , outlines to a representative of the U. S. De
partment of Agriculture or to his State Department of Agriculture the
location of his plant , an estimate of the size and duration of the proc
essing for which he wants inspection , and of course , the commodities in
volved . Generally , these negotiations are handled through the various
State Departments of Agriculture since the responsibility for establish
ing working conditions and salaries rests largely with the States . In
fact , a majority of the functional problems in the service are solved at
the State level , while overall supervision, personnel training and li
censing are handled through the various Federal supervisors .
Volume inspection of raw products for processing on a contract basis

was first performed in Indiana and New York in 1928. Tomato canners in
Indiana's and New York's important " tomato belts " were finding it diffi
cult to purchase quality produce in the volume required for their opera
tions . Their attempts to correct this situation through price adjust
ment and the rejection of deliveries created discontent among producers ,
particularly those who were attempting to supply the canners with a
higher quality raw product ,
To the U. S. Department of Agriculture , such a situation was pre

cisely what it had in mind two years before when it established the first
standards for an inspection service of this type and conducted prelimi
nary tests to determine their adaptability . In essence , these standards
suggested that " Buying and selling on grade would encourage better produc
tion and better handling . The practice of paying a flat price for every
thing which is accepted discriminates against the best growers . The
grower should be paid a suitable premium for stock of high quality which
will make a high quality manufactured product . Such stock can be canned
at a minimum cost . On the other hand , there should be a suitable penalty
for the delivery of culls , "
During the preliminary work growers and processors were at first

inclined to question the procedure , although they soon realized that
it furnished ways and means of securing a higher quality finished product
by giving growers incentive to deliver a better raw product .
Within a short time after volume operations started in Indiana and
New York , the demand for the service increased rapidly , and by the fall
of 1930 , a large number of processors were utilizing it . During the 1948
season a total of 2,193,364 tons , or the equivalent to 161,723 carlots
of fresh products for processing were inspected . Twenty - four different
fruits and vegetables are now being inspected and certified by the ser
vice .
The principal commodities, listed roughly by volume in tons handled ,

are the following : tomatoes , 119,332 ; oranges , 541,058 ; pears , 196,303 ;
apples , 114,634 ; sour cherries , 43,705 ; grapes , 298,775 ; peas , 20,473 ;
corn , 12,037 tons .
Wages Vary With State Levels
Processors are charged on a continuous inspection basis and levels

vary with the wage standards of the State in which the service is per
formed . Current rates average between $ 75 and $ 90 per week for each in
spector provided . Of this sum the inspector receives between $50 to $75
per week as his salary and the remainder is used to cover charges for
overhead and supervision . Equipment is usually furnished by the appli
cant .
Processors are generally required to give the service two to three

weeks notice before the processing actually begins in order for the De
partment to make the necessary arrangements for inspectors . In addition ,
all processing companies are expected to arrange contracts for inspection
at least two months in advance of the opening date . This does not mean ,
however , that the force is inflexible and cannot be shifted swiftly to
meet emergency calls . There have beer cases where a processor has under
estimated his need , or where weather conditions have created an unusual
ripening rate , and it has been necessary to move sizeable forces upon 72
hour notice . The handling of such manpower problems is under the super
vision of the Fresh Products Standardization and Inspection Division of
the Fruit and Vegetable Branch , PMA .
Growers Helped Directly

Not all the returns of the service are benefits that occur at the
time the raw products are graded and purchased at the plant . Federal
supervisors and inspectors also give a great deal of service to growers
by demonstrating the application of U. S. standards for the products ,
For cannery tomato inspection in particular , where color of the tomatoes
is such an important factor , inspectors take time at the beginning of the
July 1950 5
season to show growers how they should pick in order to receive highest
prices . Also , Federal supervisors and inspectors are often called upon
to demonstrate the application of standards at picking schools throughout
the country . Experience has proved that time spent this way means savings
in produce and dollars to both growers and canners ,
Problems Have Been Faced
In the continued success and growing acceptance of any service of

this nature there is sometimes a tendency to gloss over the problems and
mistakes . However , during the years of the program's existence , these
problems and mistakes , whether made by growers , processors or the service ,
have been faced frankly and every effort exerted to solve or correct
them .
One of the most difficult problems is that of securing truly repre

sentative samples upon which to base the grade determination , This sit
uation , with tomatoes for example , has been more prevalent where very
large loads are delivered , many of which are so loaded as to make complete
sampling almost impossible unless part of the load is removed . Poor
sampling is aggravated where growing conditions and the quality of the
crop are irregular within given areas .
Last year , in areas where tomato quality was particularly spotty,

arrangements were made to have entire loads made accessible at certain
stations . It was found that the percentage of U.S. No , l's dropped from
15 to 50 percent , varying with different loads , in less than 10 hours .
At the same time, loads going to other stations where only the top por
tion was made accessible , showed little change .
PMA has now adopted the policy that no inspections will be made or
certificates issued on loads unless the entire load is made accessible
for sampling except in cases of emergency . Grading will be performed
then only with the full understanding of both grower and processor that
the certificate applies only to the accessible portion of the load and
the tern " Restricted Inspection " will appear in large letters across the
face of the certificate .
That Tricky Tomato Color
There have been other problems connected with this work . For ex
ample , in the inspection of tomatoes for processing--an operation which
utilizes roughly 800 of the 3,000 Federal licensed inspectors--the de
termination of the minimum color requirements for the different grades
is very difficult and is obviously subject to human error . This problem
cannot be settled quickly because of the variables involved . Color ranges
vary with seasons and with areas . The problem is further complicated
because nothing except the actual item itself looks like a good red-ripe
tomato . Color photography has proved too inconstant . Painted models
have not proved too satisfactory . This past year plexiglass slides carry
ing painted tomato slices indicating the minimum color requirements for
the various grades have been developed . Constant research is being con
ducted to develop practical ways and means of utilizing such instruments
as the color difference meter . Work along this line must continue-- both
to match present needs with the best we can offer and to anticipate and
prepare for changing requirements .
Problems in standards vary with different commodities . Producers
of sweet corn have a tendency to let the ears get too ripe in an effort
to attain maximum weight . Since a top quality finished product cannot
be processed from anything except tender corn , some additional grower
education is essential .
While such a difficulty as this one cannot be classified as an " in

ternal ' problem of the inspection service , the difficulty must still be
worked out . The program has had and will continue to have one major aim-
namely , to improve quality through establishing a just compensation for
it . The evidence shows that much progress is being made .
Recently the matter of quality in produce has had a significance

that extends beyond aesthetic or even wholesome values . It has become
an economic consideration . These days processing plants cannot afford
to accept low grade products and stay in business . At the same time ,
the high costs of production for the grower mean that he has to bend
every effort to produce and deliver quality produce to the processor
The service stands ready to aid both impartially .
INTERNATIONAL SEED ANALYSTS RESUME CONFERENCES

AT FIRST MEETING HELD IN UNITED STATES
The International Seed Testing Association held its Ninth Congress
--the first one held in the United States-- in Washington , D. C. , May 8-13 .
The previous Congress was held in 1937 in Zurich , Switzerland .
The Association is an outgrowth of the European Seed Testing Asso

ciation which was established in 1921 by informal agreement among six
teen European countries for the purpose of standardizing methods and terms
for the analysis of seeds in international trade ,
At the 4th Congress held in Cambridge , England , in 1924 , the organi

zation was expanded to include other countries .
Representatives from 31 countries were present , as well as the Asso

ciation of Official Seed Analysts of North America and representatives
of the Food and Agriculture Organization of the United Nations .
The Association voted to hold its next Congress in Dublin , Ireland ,
in 1953. The Congress held in Washington was originally scheduled for
1940 , but was canceled because of the war .
New officers elected were Dr. H. A. Lafferty , Department of Agri
culture , Dublin , Ireland , President ; W. A. Davidson , USDA , First Vice
President ; C. C. Brett , Official Seed Testing Station for England and
Wales , Cambridge, England, Second Vice- President , and Christian Stahl ,
Director of Seeds Control , Copenhagen , Denmark, Honorary Secretary - Treas
urer .
July 1950 7
CCC Contract-Crushing Pays Off
By George L. Prichard and C. D. Walker
The contract- crushing of the Commodity Credit Corporation's oil

seed purchases has proved to be good business .
Through crushing contracts with commercial crushers CCC has advan
tageously cut down its holdings of cottonseed and flaxseed , acquired in
carrying out price support operations under the Agricultural Act of 1948
and 1949 .
While strengthening prices for both cottonseed and flaxseed have

made sales transactions more favorable for the Corporation , there have
been other immediate benefits from the program .
Oil Storage Offers Advantages
The advantages of converting CCC stocks of flaxseed into linseed

oil are manifold : It helps relieve the pressure on overloaded grain
storage facilities and utilizes our ample means of storing oil . Linseed
oil can be held for longer periods of time than flaxseed and at lower
costs and less risk of spoilage . Substantial crushings of flaxseed uti
lize the processingequipment of the industry and mean stabilized em
ployment and a healthy turnover of dollars . Important too , is the fact
that CCC automatically disposes of a portion of its holdings in the form
of linseed meal .
The toll-crushing of cottonseed , based on a different contractual

arrangement , offers some of these same benefits . The contract differs
in that CCC also retains cake or meal , and to
title to the cottonseed
the linters , commodities for which the market has recently been fairly
strong . Finally , in - both operations , domestic processors are converting
a raw product into commoditics readily available to the domestic and ex
port markets .
Until recently , contracts for flaxseed crushings were negotiated by

the Fats and Oils Branch in Washington , but now this function has been
assigned to area commodity offices of the Production and Marketing Ad
ministration , Under the 1949 cottonseed price support program cottonseed
crushing contracts were let by the Dallas and San Francisco offices .
Shipping arrangements are also made by area offices for shipments abroad
of both linseed and cottonseed oil .
As of June 8 , CCC had entered into crushing contracts involving

nearly 13.5 million of the more than 24 million bushels of flaxseed ac
quired under the 1948 price support program . Most of the remaining stocks
of CCC flaxseed are located in the Midwest where they have been stored
largely in commercial elevators under regular USDA supervision ,
To put the machinery in motion , CCC arranges to sell flaxseed to
processors for crushing at a fixed price per net bushel . At the same
time , it agrees to purchase the resultant linseed oil produced from the
flaxseed at a negotiated price f.0.b. seller's tank cars , or in storage
at the processors ' plant . Once the flaxseed is crushed , the resultant
linseed oil becomes the property of the Corporation , whereas the linseed
meal derived from the crushing remains in the possession of the processor .
Quality is Checked Carefully
If the linseed oil delivered to CCC does not meet Federal specifi
cations it may be rejected by the Corporation without the right of re
placement , or it may be accepted at a reasonable price discount mutually
agreed upon . Quality in both flaxseed and linseed oil is determined by
official sampling and analysis . Payments of the purchase price for the
resultant linseed oil is made to processors on the basis of official
weights at the time of delivery .
Demand for linseed oil has been moderately strong , principally for
use as a drying agent in paints and varnishes , linoleum and oilcloth ,
and in printing inks , current building boom has been an important
The
factor in the strengthened demand for paints . Linseed meal retained by
processors is utilized as a component of livestock feed .
Bulk of Cottonseed Contract- crushed
Under the 1949 cottonseed price support program , CCC purchased
approximately 800 thousand tons of cottonseed . Of this quantity, CCC sold
approximately 115 thousand tons to domestic crushers and another 1,900
tons for export . As of June l , contracts had been entered into between
CCC and crushers for crushing of about 645 thousand tons of seed . Through
these offices the Corporation periodically announces the location of vari
ous lots of cottonseed and requests crushing bids . Crushing contracts
are issued on the basis of the bids received .
Upon delivery of the cottonseed at the oil mills , representative

samples are drawn from each lot for the purpose of chemical analysis .
The crushing contracts entered into between CCC and processors provide
that the mills will retain the hulls , motes , grabbots , and flues as a
part of their crushing fees . The products that must be delivered to CCC
under the contract are crude cottonseed oil , first and second cut or mill
run linters and cottonseed cake or meal .
The Corporation does not place crude cottonseed oil in storage un

less sold for export , in which case the oil may be stored at a port loca
tion prior to shipment . Cottonseed oil which is not disposed of out
right for domestic use or export is sold to refiners at a flat price
under a contract which provides for CCC to purchase the resultant re
fined oil .
July 1950 9
893659 0-50-2
The price of cottonseed oil has increased substantially since the
CCC purchase and contract- processing program was begun last winter . Cot
tonseed oil is used principally in the manufacture of margarine , salad
oils and shortening .
The linseed oil obtained by CCC through its crushing operations is

offered for sale through regular monthly announcements which were inaug
urated in January 1950. In these announcements , both domestic and ex
port sales prices as well as quantities available for sale are given .
Cottonseed oil , both crude and refined , is now sold weekly on a bid and
acceptance basis .
Cottonseed cake and meal and linters also are offered for sale on a
bid and acceptance basis . As of mid- June , CCC had sold 35.4 million
pounds of crude cottonseed oil for export to Germany and Japan and had
sold an additional 69.5 million pounds either for domestic use or export
to Canada . During the same period , the Corporation also sold 13.1 mil
lion pounds of refined cottonseed oil and 171,000 tons of cottonseed
cake and meal .
TOBACCO CONSUMPTION RISES
In 1949 , expenditures by consumers for tobacco products totaled more

than 4.2 billion dollars -- the highest on record . This is almost 2 1/2
times the average annual expenditure in the late thirties and the late
twenties . Combined Federal and State taxes on tobacco products accounted
for about 40 percent of expenditures on tax -paid tobacco products .
Domestic consumption of cigarettes ( as measured by tax - paid removals )

will probably be near 355 billion cigarettes--approximately 3 billion
higher than 1948-49 and a new fiscal year record . United States cigar
consumption during 1950 seems likely to be nearly as large as the 5.6 bil
lion in 1949. Smoking tobacco consumption is expected to gain a little
over the 1949 figure of 108 million pounds . Chewing tobacco consumption
in 1950 may hold close to last year's level at 87 1/2 million pounds .
The level of snuff consumption for 1950 may be slightly lower than in 1949
when it was a little more than 41 million pounds . These figures are
announced in the Tobacco Situation report for May of the Bureau of Agri
cultural Economics .
MORE SPRING ONIONS AND LESS CUCUMBERS
Production of spring onions , watermelons , carrots , and green peppers

during the 1950 spring season showed enough increase over last year to
offset the cuts in production of cucumbers , tomatoes , cabbage , and celery .
The June report of Commercial Truck Crops issued by the BAE shows that
all in all the total aggregate production of commercial vegetable crops
for fresh market harvest is about the same as last year , and about one
sixth above average .
Better Than The Human Touch
By L. E. Ide and Amihud Kramer
Have you ever ordered asparagus in a restaurant only to find it so

tough that you could hardly cut it with your fork ? If you have you will
be glad to know that an instrument has been developed which will enable
the grower , the inspector , or the processor to determine the toughness
of the asparagus stalks so that the undesirable ones can be kept to a
minimum . This instrument is the fibre-pressure tester which operates in
the same manner as your fork in testing the toughness of the stalk . The
force required to make the cut is registered on the scale by a sliding
indicator ,
This is one of several devices being tested at the University of

Maryland Agricultural Experiment Station at College Park . The experi
ments , in which the Fresh Products
Standardization and Inspection Di
vision , Fruit and Vegetable Branch ,
is cooperating , have been under way
for more than two years and are
aimed at the development of ob
jective methods of determining qual
ity of vegetables . This project
is conducted in cooperation with
the Agricultural Experiment Sta
tions in the Northeastern States
under authority of the Research and
Marketing Act of 1946 .
Mechanical , Not Human Measure
Objective methods of grading

are desirable because they are not
affected by the factors which are
responsible for human error and ,
within certain limits , the same re
sult can be obtained time after time
in testing samples of the same qual
ity . On the other hand , the opin
ions of different individuals may
vary considerably with regard to
overall quality or a specific qual
ity factor such as color , firmness ,
or succulence , Similarly , the . The asparagus fiber - tester
judgment of an individual may fluc is also used on snap beans .
tuate due to any one of several
July 1950 ll
factors such as lighting conditions , the quality of samples previously
examined , or fatigue . experienced or trained personnel
In some cases
may not be available to judge the quality of the product. Quality tests
by means of mechanical devices or by chemical analysis are not expected
or intended to eliminate the human element in judging quality . Instead
they are regarded as aids to the inspector , the processor's field man ,
the production manager , the grower , or to anyone who is called upon to
judge the quality, and particularly the maturity , of a product .
Test Must Be Quick and Reliable
To be useful the quality test must be simple , rapid and reasonably

accurate . The average user has no time for a complicated procedure that
will hold up production , and certainly he must have a test that is re
liable . It is with
these requirements in
mind that the results
of tests with different
instruments are com
pared with one another ,

with the results of
laboratory analyses ,
with U. S. grades on
the canned or frozen
samples , and with the
ratings by trained taste
panels .
Lab Is Mobile
Each season several

hundred samples of each
of several products in
cluding asparagus , peas ,
sweet corn , tomatoes ,
n
and snap beans have been The designer of the " miniature tenderometer , '
analyzed in the fresh George J. Burkhardt, ( right ) Department of Agri
state and after proc cultural Engineering, University of Maryland, and
essing . Some of these Dr. Kramer display their new device .
samples have been grown on the University Plant Research Farm . However ,
in order to secure samples from all parts of the Northeast Region and at
various times during the growing season , the University of Maryland has
provided a mobile laboratory which is virtually self - sufficient . It
carries its own electric power plant , water supply, bottled gas , refrig
eration and deep freeze units , and complete equipment to make practically
any laboratory analysis and to can or freeze samples at any location at
which it may be desirable to operate .
Fruit Pressure Tester Modified
One of the devices used in these experiments is the asparagus fiber

pressure tester-- an adaptation of the fruit pressure tester which has
been used for many years to determine the maturity of apples and other
fruits . The plunger used for testing fruit was replaced with a stain
less steel The U. S. Standards for green asparagus for canning
blade .
or freezing have no requirements as to toughness or fibrousness but spec
ify that a certain length of the stalk must be of a green color . In
most instances that portion of the stalk that is green is also free from
excessive fibre at the length used by the processor . That is not always
the case , however , and processors thus find it difficult to determine
the amount of sorting required for a particular lot . By using the fiber
pressure tester on a representative sample of stalks the relative fibrous
ness of any lot may be quickly determined , and the canner will know how
much of the lot will be usable ; whether it will pay to sort out and pack
" center cuts" or whether everything beyond the first cut , which is usually
made at from 3 3/4 to 5 inches from the tip , must be discarded . This in
strument is currently being tested under commercial conditions through
the cooperation of processors in Maryland , Delaware , and New Jersey , and
the Federal -State Inspection Service .
Juice Content Diminishes with Maturity
The succulometer--a device which measures the amount of " juice" in
a product-- is used principally to determine the maturity of raw sweet
Much like a small , horizontal cider press , the succulometer measures

juice content of sweet carn .
corn . It consists vi a steel cup which holds the sample of kernels and
into which a plunger is driven at high pressure , squeezing out the juice ,
The quantity of juice which is extracted from the sample is an indica
tion of the maturity of the corn . As the maturity advances , less juice
will be extracted . The succulometer was developed at the University of
July 1950 13
Maryland several years ago and has found increasing use by processors in
determining the quality of raw sweet corn and in predicting the probable
quality of the canned or frozen product . It has also shown promise in
measuring the quality of other products .
Need for Simple Standardized Tenderometer
Canners and freezers of peas have for a number of years used mechan
ical devices for determining the maturity of the raw product , both as a
basis of payment to the grower , and as a guide to the separation of lots
on the basis of maturity at the plant . In some States the Federal - State
inspection service operates these
devices and reports the maturity
values based on the tests in connec
tion with , or in place of , the re
sults of the inspection based on
the U. S. Standards for fresh
shelled peas for canning or freez
ing . The most accurate of these
ma chines is the tenderometer , which
measures the force required to
shear or crush a sample of peas .
Nevertheless there is a definite
need for a simple , portable, easily
standardized , but reasonably accu
rate machine for this purpose .
Now the University of Maryland
has developed an instrument which
up to the present
present time has been
named only the miniature tender
ometer . " It also operates on the
principle of shearing the peas .
Preliminary tests indicate that it
meets all of the above requirements
and it will be tested throughout
the Northeast Region during the
1950 season . Inquiries have al
ready been received from members
of the processing industry regard Processing plants use the
ing its availability for commer- tenderometer to measure the ma
cial use . This machine will not turity of peas .
only be less expensive than the tenderometer but through the use of inter
changeable sample boxes , blades and plungers becomes a multi - purpose test
er which can also be used as a succulometer to test corn , or it can be
used to test several stalks of asparagus or pods of beans at one time .
Specifications Available
Any one who wishes to make use of any mechanical device developed
in the course of these experiments is free to do so . Specifications for
manufacture are also made available . Inasmuch as the cooperating agen
cies are supported by public funds , it is desired that developments aris
ing from this work be available to all possible users . As these instru
ments are developed they are photographed and the findings published so
that they become public property .
Simple Refractometer Developed
By W. Haward Hunt , M. H. Neustadt
and Lawrence Zeleny
A new device-- a hand refractometer--has been developed for the sim

ple rapid testing of flaxseed and soybeans for the quality of their oils
as measured by " iodine number ." The new refractometer is well adapted
to general usage because of its low cost of about $225 , and because no
particular skill is required to operate it . The refractometer that has
been in general use costs , with accessories , about $2,000 .
This new device has been developed by the Production and Marketing
Administration of the U. S. Department of Agriculture , The original
idea and its application were
worked out at the Beltsville
Laboratories of the Grain
Branch under authority of the
Research and Marketing Act of
1946 .
11 Iodine Number " Defined
The oil derived from

soybeans is used principally
for food and , to a lesser ex
tent , in paints , and the oil
from flaxseed is used prin
cipally in paints and var
nishes . The suitability of
an oil for paints or var
nishes depends largely on Hand - operated refractometer , used to
its " drying" properties- make a simple , rapid test of the quality of
which properties in turn de flaxseed oil and soybean oil .
pend on its ability to com
bine with the oxygen of the air to form a hard film . Iodine will react
with oils in about the same way as oxygen but very much more rapidly.
The amount of iodine that will react with a given quantity of oil can be
measured rather readily and is a useful index of the suitability of the
oil for paints and varnishes or for food purposes . Thus the " iodine num
ber " of an oil is the number of centigrams of iodine that will combine
chemically with one gram of the oil under certain specified conditions .
Oils with high iodine number are preferred for paints and varishes
because they will dry more quickly and produce a harder film . Oils with
low iodine numbers , on the other hand , are generally preferred for edi
ble purposes because they are less susceptible to rancidity resulting
from oxidation .
July 1950 15
Although several investigators had previously shown that there was
a relationship between the iodine number and the refractive index of cer
tain oils , the practicability of using the refractive index of a freshly
prepared vegetable oil from sound plant material as a relatively accurate
measure of its iodine number was first demonstrated in 1935 by the Grain
Branch of the Department in experimental work with flaxseed . The re
fractometric method for determining oil iodine numbers was later applied
to soybeans at the Branch's Beltsville Laboratories .
Subsequent studies with many types of oilseeds indicate that the
refractometric method of determining iodine number may apply to many
other vegetable oils . The determination of the refractive index of a
liquid is a relatively simple procedure , namely , the placing of the liq
uid on the prism face of the refractometer and reading the point where
the light and dark fields meet in the viewing telescope .
Cost Limits Use of Customary Refractometer
The refractometer used in the above studies and as now used by many
laboratories and industries is quite expensive and requires a skilled
technician to operate it . The refractometer with accessories , including
a constant temperature bath , hydraulic press , etc. , costs approximately
$2,000 . This has greatly limited the use of the refractometric method
even though it is a very rapid and accurate procedure , It seemed feasi
ble that a compact , portable, hand-held refractometer of adequate sensi
bility could be developed which would accurately measure the refractive
index of soybean oil and flaxseed oil and , since the relationship between
refractive index and iodine number has been well established , this re
fractometer could have a scale calibrated directly in iodine - number units .
The possibility of developing such an instrument was discussed in
detail with engineers of the Bausch and Lomb Optical Company. The idea
was considered practical and such an instrument was designed and prod
This instrument is a simple , accurate , hand refractometer which can be
used by anyone having little technical experience . Since the refractive
index of the oil changes markedly with changes in temperature (equiva
lent to about three iodine numbers per degree centigrade ) , a sensitive
thermometer is embedded in the body of the instrument as close as possible
to the prism . This thermometer is calibrated directly in iodine - number
corrections instead of degrees of temperature ,
The Test Is Simple
The procedure for the determination of the iodine number of the oil
in soybeans or flaxseed with the use of this refractometer is very simple .
A sample of the seed is placed in the cylinder of a laboratory hydraulic
press and pressure is applied to obtain a few drops of oil . The oil is
transferred with a medicine dropper to the prism of the refractometer
and the iodine number is read through the eyepiece of the refractometer
as that sharp division where the light and dark fields meet on the scale
in the objective field . The readings are taken by holding the refrac
tometer toward almost any source of light . Iodine - number corrections
due to temperature are observed on the thermometer and added to or sub
tracted from the instrument reading as indicated on the thermometer .
After each use the prism face is first cleaned carefully with absorbent
cotton dipped in alcohol and then again with dry cotton .
Deviations Well Within Error Limit
A comparison of iodine numbers obtained by the use of the hand re

fractometer on a large number of samples with the iodine numbers of the
same samples obtained by the use of a precision refractometer shows an
average deviation of only 0.3 iodine number . Since iodine - number de
terminations are usually subject to errors of the order of about plus or
minus one unit , the accuracy of the new hand refractometer is well within
the usual limit of error .
In comparison with the precision refractometer, the expense of making

iodine -number determinations with the hand refractometer is small indeed .
The hand iodine - number refractometer can be purchased for $225 and the
necessary accessories cost from $100 to $200 , depending upon whether a
home -made or commercially available hydraulic press is used, Oil iodine
number determinations of flaxseed or soybeans can be made in approximately
five minutes with this equipment and no special skill is required for its
use .
PROPOSED HOG . GRADES ARE DEMONSTRATED
Full cooperation from three of the Nation's major midwestern hog

marketing centers has paved the way for demonstrations of the new tenta
tive hog grades being proposed by the Livestock Branch of the Production
and Marketing Administration . C. L. Strong , of the Branch's standardiza
tion and grading division , has thus far conducted demonstrations at St.
Joseph , Mo. , Sioux City , Iowa and at South St. Paul , Minn .
The demonstrations , conducted under the sponsorship of the livestock
exchanges at these centers , include examination of the carcasses pro
duced by the graded hogs to bring out the relationship of the carcass to
live hogs . A complete analysis of the proposed five new grades , pub
lished in the February issue of MARKETING ACTIVITIES , is available upon
request to the Editor .
FARMERS WORKING ABOUT 12 HOURS A DAY--A LITTLE LESS THAN USUAL
According to BAE's June report on Farm Labor , farm operators were

putting in 11.7 hours per day at farm work around the first of June .
This was slightly less than a year ago . Hired farm workers were also
working a little less time per day as they worked 9.7 hours . Farmers in
North Dakota , however , had to work 13. 7 hours per day to complete work
delayed by floods .
July 1950 17
Mill Costs Can Be Cut
By Donald Jackson and Calvin C. Spilsbury
Some hints to cottonseed processors on ways to reduce the cost of
operating their mills are offered in a report just issued by the Produc
tion and Marketing Administration on the basis of a study of operating
me thods industry . Information made available by
and practices in the
the National Cottonseed Products Association formed the principal basis
for the study .
The research shows that there are very great opportunities for re
ducing costs in processing
processing cottonseed . That situation prevails , of
course , in other industries also ; but , as a result of this study , it is
expected that cottonseed processors will be in a better position to do
something about it .
Concentrate Economy Moves

Summing up some of its findings , the Fats and Oils Branch of PMA ,
which made the study under authority of the Research and Marketing Act ,
has this to say , in substance : Most high- cost mills have only one cost
item that is unusually high , or only a very few cost items that are high .
Most low- cost mills keep all their items of cost on an economical basis .
Therefore , the manager of a high -cost mill often can get his total costs
down to a good level by concentrating his efforts on reducing the one
item , or the few items, that are high .
In most of the cost categories , PMA has found the highest costs are
more than double the lowest . This is not unique for the cottonseed oil
milling industry , but the variation is so great that there is tremendous
opportunity for a high- cost mill -- and for any mill with certain high
costs-- to improve its practices and hence its position .
The PMA study covered more than one- third of the cottonseed process
ing plants in operation during the 1947-48 season . Few dollar figures
on costs are included , but each type of cost is expressed as a percentage
of total costs of the mill .
This permits a mill to measure , for example, the percentage that its
plant repair cost is of its total costs , in comparison with the average
for all mills . If its repair costs are much higher percentate of total
costs than the average for all plants , the mill manager may well look to
the problem of reducing his repair bills . Similar comparisons can be
made for cost items such as labor , heat and light , power , cottonseed ,
salaries , office and administrative cost , depreciation , taxes , licenses ,
insurance , travel and minor costs .
An example of the amount of variation in costs is provided in the
category of " bulk costs " . Bulk costs include current costs such as labor ,
power, heat and light , repairs and minor operating costs , and fixed and
general costs such as salaries , office expense , depreciation , taxes , li
censes , insurance and travel . In the lowest- cost mills , the bulk costs
were found to be not more than half of what they were in the highest- cost
mills .
Total processing costs were found to show little correlation with

the level of seed costs . There was a definite indication that the labor
cost of processing lower - cost seed was more than that for higher- cost
seed . Therefore , it obviously is aesirable to encourage cotton farmers ,
Einners , and processors to follow practices that will hold the quality
of seed as high as possible to avoid lowering the value of the products
and increasing processing costs .
On the basis of the findings in this study
study,, it may
may be generally
concluded that there is no greater profit in processing one quality of
seed than there is in processing another . Competition seems to adjust
the seed price to a point where processing returns are equalized .
Comparisons are made of costs in three regions , the Southeast , the
Mississippi Valley and the Southwest . Charts and tables in the report
show the relationships of five major cost categories for the three regions :
bulk costs , current , fixed and general , labor , and cottonseed, besides
total .
The report offers a valuable guide for mill operators , who can make
comparisons of their own practices and cost relationships with those that
characterize the other segments of the industry , and adjust their opera
tions accordingly .
A copy of the report , " Distribution of Marketing and Processing
Costs of Cottonseed - oil Mills , 1947-48, " may be obtained from the Infor
mation Branch , PMA , of the U. S. Department of Agriculture, Washington
25 , D. C.
* * *
PRESTON RICHARDS TO HEAD PMA DAIRY BRANCH
Appointment of Preston Richards as director of the Dairy Branch ,

Production and Marketing Administration of the U. S. Department of Ag
riculture , was announced recently by Ralph S. Trigg , PMA Administrator .
Philip E. Nelson , who has headed the Dairy Branch since October
1948 , is transferring to the PMA Administrator's Office as special Assist
ant to Administrator Trigg .
Since December 1948 , Mr. Richards has been assistant director of

the PMA Livestock Branch , which he has represented in the foot and mouth
disease eradication work in Mexico, and in various other important admin
istrative assignments ,
July 1950 19
Marketing Briefs
Dairy .-- The Production and Marketing Administration of the U. S. De
partment of Agriculture has announced that limited quantities of butter
and cheese acquired by the Commodity Credit Corporation under mandatory
price support programs have been made available for donation to private
welfare agencies for the assistance of needy persons outside the United
States . These products already are available for distribution to various
Federal agencies and for donation to School Lunch Programs , the Bureau
of Indian Affairs, and to both public and private welfare agencies for
the assistance of needy persons in this country . The Department on April
14 announced the availability of butter and cheese for domestic donation .
The action offering butter and cheese for the relief of needy persons in
foreign countries was taken under the provisions of Section 416 of the
Agricultural Act of 1949 . Donations for distribution abroad are author
ized under the last priority named in the Act .
PMA announced June 8 that arrangements have been completed to sell

approximately 50 million pounds of Government - owned nonfat dry milk solids
to the Japanese Government for use chiefly in school lunch and child
Department officials stated that the sale of this
feeding programs . Department
quantity will help provide an outlet for surplus supplies which have been
acquired under the 1949-50 price support program for manufacturing milk .
Approximately 500 million pounds of nonfat dry milk solids have been
bought for price support by the Commodity Credit Corporation during the
past 14 months . Unsold stocks , totaling approximately 300 million pounds
will be reduced to about 250 million pounds as a result of this trans
action . Department officials expect that the 50 million pounds sold to
Japan will be shipped during the next few months . None of this quantity
will be sold in commercial trade channels in Japan ,
Fruits and Vegetables.-- The Production and Marketing Administration

of the U. S. Department of Agriculture announced June 2 that potato grow
ers in Delaware and counties of Worcester , Somerset , Wicomico, Dorchester,
Talbot , Caroline , Queen Annes , Kent , and Cecil in Maryland have rejected
a proposed marketing order in a referendum which was conducted throughout
the production area during the period May 22-26 , 1950 , inclusive . There
fore , the proposed marketing agreement and order program will not go in
to effect and , as required by the law , price support on 1950 crop potatoes
will not be available to Delaware and Eastern Shore of Maryland potato
producers.... PMA announced May 29 an amendment to the walnut diversion
program to encourage the diversion of an additional quantity of walnuts
to outlets other than those constituting their normal channels of trade ,
An additional quantity of unshelled walnuts equivalent to 3 million
pounds of kernels may be diverted under the amendment announced today .
This brings the total quantity which may be diverted under the program
up to 8.5 million pounds ( shelled equivalent ). The rate of payment to
encourage such additional diversion will be not more than 10 cents per
pound of unshelled walnuts ( basis , walnuts containing 40 percent ker
nels ) . The previously established rate of payment was 10 cents per pound
of unshelled walnuts ( basis , walnuts containing 25 percent kernels ) . The
Production and Marketing Administration of the U. S. Department of Agri
culture announced June 9 the extension of the period for making sales
under the Dried Fruit Export Program from June 30 to August 31 , 1950 .
This action was taken to permit uninterrupted export business throughout
the 1949-50 marketing season ....PMA, on June 14 , announced extensions of
the periods for making sales , filing Notices of Intention , and exporting
fresh and processed oranges under the orange export subsidy program to
September 15 , September 17 , and September 30 , 1950 , respectively . Pro
gram termination dates as originally established were June 15 , 17 , and
25 , respectively . Also , Singapore and The Federation of Malaya have been
added to the list of eligible destinations under this program ,
Fats and Oils .-- The Production and Marketing Administration of the
U. S. Department of Agriculture announced on June 14 that a contract has
been signed with John W. McCutcheon , a private industrial consultant in
New York City , to study existing and potential market outlets for fats
and oils of domestic agricultural origin . Since the war , consumption of
domestic fats and oils has not kept pace with the increased supply. This
research is designed to discover or develop additional market outlets for
the large supply . The major emphasis of the study will be on inedible
fats and oils . The research was initiated following recommendations of
the commodity advisory Committees established under the Research and Mar
keting Act of 1946 . Funds were appropriated by Congress specifically
for this type of work under the terms of that Act . This project is part
of a larger program of research being conducted by the Department of Ag
riculture for development of new and expanded market outlets for fats
and oils of domestic agricultural origin ,
Grain .--The Production and Marketing Administration announced June

during the period May 24 to May 30 , 1950 , inclusive ,
i that the Commod
ity Credit Corporation confirmed sales of 3,833,000 bushels of wheat ( in
cluding wheat and wheat flour in wheat equivalent ) under the International
Wheat Agreement against 1949-50 quotas . The sales included 153,000 hun
dredweight of flour ( 355,000 bushels of wheat equivalent ) and 3,478,000
bushels of wheat . Principal buyers were Italy, Greece , Philippines ,
Netherlands , and Belgium . The cumulative sales of United States wheat
and flour from August 1, 1949 through May 30 , 1950 are 145,246,000 bu
shels....Purchase of 15,990,000 pounds of hard wheat plain flour ( 372,567
bushels of wheat equivalent) for shipment from mills on or before June
30 , 1950 to Gulf and West Coast Ports for export to Austria , was announced
June 6 by PMA of the U. S. Department of Agriculture . Offerings by mills
on this purchase totaled 159,100,000 pounds ( 3,707,030 bushels of wheat
equivalent ) . Purchases of wheat flour July 1 , 1949 through June 6 now
total 325,757,800 pounds ( 7,185,123 bushels of wheat equivalent) .

Livestock .--The Production and Marketing Administration recently
announced bids for government purchase of approximately 1,350,000 pounds
of refined or unrefined lard for the Department of the Army for shipment
to Okinawa . Since last December , lard purchases have . amounted to 149.5
million pounds . The bulk of these purchases were under ECA requisitions
21
July 1950
for export to Germany and Austria with smaller amounts for Okinawa and
Japan .
Sugar .-- The Production and Marketing Administration of the United
States Department of Agriculture announced in mid - June the prora
tion of an additional quota deficit of 150,000 tons in prospective mar
ketings of Philippine sugar in the continental United States in 1950.
This additional amount of quota accordingly has been prorated to Cuba
and other foreign countries which supplied raw sugar to the United States
market in 1949. The adjusted quotas for the countries affected by this
proration are in short tons , raw value : Philippines -
532,000 ; Cuba -
2,646,900 ; Dominican Republic - 8,123 ; Haiti - 1,123; Mexico - 7,348 ; Peru
13,539 . These new quotas represent the following increases : Cuba -
142,500 tons ; Dominican Republic 2,022 tons ; Haiti - 279 tons ; Mexico
1,829 tons ; and Peru - 3,370 tons . These additional quantities may be
entered only as raw sugar .
* * *
STATUS OF CCC PRICE - SUPPORT PROGRAM AS OF APRIL 30 , 1950 :

Ralph S. Trigg , president of the Commodity Credit Corporation, U.S.
Department of Agriculture , reported May 31 that $3,958,328,000 was in
vested in CCC price support program loans and inventories as of April 30 ,
1950 , and that the Corporation sustained a net realized loss of $155,322,000
in carrying out this program during the current fiscal year through April,
( The net realized loss on the CCC price support program for the fiscal
year ended June 30 , 1949 , was $254,000,000 . )
of the total investment of $ 3,958,328,000, loans outstanding totaled
$1,947,241,000 ( including $ 737,125,000 of commodity loans held by lending
agencies, $1,190,493,000 held by the ccc , and $ 19,623,000 of loans approved
but not fully processed ) while inventories acquired under loan , purchase
agreement , and direct purchase operation
operationss represented an investment of
$2,011,087,000 .
Price- support operations in four commodities accounted for the bulk
of the loan total . These commodities , the quantities of collateral
pledged , and the loans outstanding , were as follows :
Corn 543,155,412 bu . 1 / $742,342,652
Wheat 304,635,250 bu . 604,142,625
Cotton 2,000,372 bales 283,328,533
Tobacco 331,674,342 lbs . 132,796,135
Other XXX 184,630,653
Total XXX $1,947,240,598
Included under " Other " above were loans on flaxseed , peanuts , soy
beans , lespedeza seed , potatoes , barley , dry edible beans and peas , grain
sorghum , oats , rice , rye , American -Egyptian cotton , and cottonseed . In
this group , the largest amount of loans on any one commodity was $48,010,223
on dry edible beans .
I7 Includes , in addition to 306,011,200 bushels of 1949- crop corn,
102,692,686 bushels of resealed 1948 -crop corn , and 134,451,526 bushels
of 1948- crop corn in process of transfer to CCC inventories .
ABOUT MARKETING
The following address and publications , issued recently , may be ob

tained upon request . To order , check on this page the publications de
sired , detach and mail to the Production and Marketing Administration ,
U. S. Department of Agriculture , Washington 25 , D. C.
Address :
Farm Price Supports in the National Interest , by Ralph S. Trigg ,

President of the Commodity Credit Corporation and Administrator of the
Production and Marketing Administration , U. S. Dept. of Agriculture , at
the meeting of the National Cottonseed Products Assn . , Houston , Texas ,
May 17 , 1950 ,
Publications :
Price Programs of the United States Department of Agriculture. AIB

13. April 1950. 65 pp . ( PMA ) ( Printed )
Carlot Shipments of Fresh Fruits and Vegetables by Commodities ,
States , and Months, including boat shipments reduced to carlot equivalents,
Calendar Year 1949. May 1950 . 25 pp . ( PMA ) ( Processed )
A Comparison of Two-Wheel Hand Trucks and Clamp - Type Industrial
Trucks for Transporting Uncompressed Bales of Cotton From Blocked Area
to Dinky Press . May 1950. 7 pp . ( PMA) ( Processed )
Irish Potatoes , Price Support and Related Operations, Commodity Cred
it Corporation and Section 32 Funds, Jan. 1 , 1943--Dec . 31 , 1949. March
14 , 1950 . 29 pp . ( PMA ) ( Processed )
State and Territorial Departments of Agriculture and Marketing Agen
cies with Names of Officials . May 1950. 8 pp . ( PMA ) ( Processed)
A Disc Method of Filtration of Roller Process Nonfat Dry Milk Solids ,
May 1950 . 13 pp . ( PMA ) ( Processed )
An Improved Method of Stacking Standard Density Bales of Cotton in

" Cordwood " Arrangement . May 3 , 1950 . 7 pp . ( PMA ) ( Processed )
Carlot Unloads of certain Fruits and Vegetables in 100 Cities and
Imports in 5 Cities for Canada , Calendar Year 1949. April 1950. 105 pp .
(PMA) ( Processed )
United States Standards for Grades of Canned Apple Juice, Effective

June 26 , 1950. 7 pp . ( PMA) ( Processed )
July 1950 23
U. S. Standards for Cantaloups , Effective June 8 , 1950 , 3 pp . ( PMA )

( Processed )
Distribution of Marketing and Processing Costs of Cottonseed-Oil
Mills , 1947-48 . May 1950. 89 pp . ( Processed )
Marketing Agreements for Fruits and Vegetables , May 26 , 1950. 7 pp .

( PMA) ( Processed )

·NAME
ADDRESS
CITY ZONE STATE
☆ U. S. GOVERNMENT PRINTING OFFICE : O - 1950

August
RE 1950
SIANFORD
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18
ina
US
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MARKETING
ACTIVITIES
DEPARTE
U.S. Department of Agriculture

Washington 25, D.C.
IN THIS ISSUE :
HELLO , MR . CHIPS
By A. E. Mercker Page 3
Potato chips , making themselves at home on family menus , are exper

iencing a consumption boom. At present about 8 percent of total potato
consumption is going into the chipping trade which has increased its
volume nearly 500 percent in the past decade , A growing market is
seen for interested producers and handlers . Mr. Mercker is Chief, Potato
Division , PMA's Fruit and Vegetable Branch .
IT'S THE FAT ; NOT THE LEAN
By Charles Burmeister . Page 10
There's good evidence that some of the fatter pork cuts are having
a pretty lean time of it in the market place . Mr. Burmeister , PMA'S
Livestock Branch , shows how bacon has followed lard in the downward skid.
WHERE'S YOUR FRUIT MARKET ?
By Robert J. Andrews . Page 13
Do you know which families , urban or rural , in what sections of the

country, are consuming the most fruits or juices ? USDA is finding out and
making the information available periodically. Mr. Andrews of PMA's Fruit
and Vegetable Branch is in direct contact with this survey .
SHEEP MAY SPORT NEW BRANDS
By George C. LeCompte Page 16
The long search for a scourable sheep branding fluid ended right on
the sheep's back . Lanolin , a product of sheeps ' wool , has proved to be
the best and perhaps the most obvious base for the new branding fluid .
Mr. LeCompte , Livestock Branch , has been in charge of the project
under which the fluid was developed .

Issued monthly . Vol . 13 , No. 8 permission ,
Hello , Mr. Chips
Ey A. E. Mercker
Despite the fact that people for 50 years have been eating fewer and
fewer potatoes , demand for the vegetable by one branch of the food pro
cessing industry is booming . This is the potato chip industry, whose
members refer to themselves as " chippers . " Mighty chipper they are too ,
what with an industry that has shown an increase in volume over the past
10 years alone of nearly 500 percent . At present , they use about 8 per
cent of all potatoes used for food in the United States . For producers
of certain potato varieties , provided the potatoes are properly handled
and stored, the industry offers a steadily growing market .
The potato chip is strictly American , probably more so than apple

pie or the " hot dog" sandwich , which are to a certain degree variations
of Old World products . It was discovered , invented , or , at least ,
developed in the neighborhood of Saratoga Springs , N. Y. , sometime in
the 1850's and the name " Saratoga Chips" or " Potato Chips , Saratoga
Style ," still persists in certain localities ,
Out of the Frying Pan , into the Fat

History of the product is the subject of many legends , but one of
the stories of how the first potato chip came to be seems acceptable .
It is , briefly , as follows :
Sometime , around 1853 , an Indian cook by the name of "Aunt Kate "
was working in an Inn on the shores of Saratoga Lake , While waiting for
some doughnut fat to heat , she was slicing potatoes for frying . By
chance , a thick slice of potato fell into the hot fat where it turned a
golden , crispy brown .
At the fateful time the piece of potato was being fished out of the
fat , a man named George Crum was in the kitchen . He picked up the pota
to " chip " and ate it . Impressed by its crispy taste , he urged "Aunt
Kate " to cook some more . After testing a few herself , the cook prepared
them for the Inn's menu and the "Saratoga Chip " was born .
Years after this , the potato chip remained a home -made " product .
That is to say , that while it was featured in the cuisine of hotels ,
restaurants and in many homes , it was not until around 1925 to 1930 that
it was sold by retailers in the packaged form we know today . Just when
the first chips were offered by retailers is hazy, but 40 years ago they
were being sold by retailers in bulk from large cans .
August 1950 3
Figures furnished to the U. S. Department of Agriculture on the
production of potato chips go back as far as 1936 when the industry used
3,000,000 bushels of potatoes to produce about 45,000,000 pounds of chips .
By 1941 , the volume of potatoes going into chips had jumped to 5,000,000
bushels annually , and since then the spiral has been rising swiftly
with the greatest increase from 1944 to 1945 when consumption of pota
toes by the industry rose from 8,500,000 bushels to 13,300,000 bushels .
Last year , 1949 , the industry consumed 20,100,000 bushels of potatoes ,
as compared with 3,500,000 bushels just ten years before , a gain of 475
percent .
Production of potato chips in 1949 is estimated at about 304,000,000

pounds , or about 1 pound of chips from 4 pounds of potatoes , which is
used as the year - around conversion average for the industry . Value of
this production is placed at nearly $250,000,000 . In producing this
volume of chips , the industry used over 130,000,000 pounds of cooking
oils or shortening , predominately of vegetable origin. In the finished
product about 40 percent of the weight is made up of these ingredients ,
Snappy Merchandising Has Sold Chips
What has caused this phenomenal increase in potato chip production

and consumption ? It is difficult to pinpoint any specific factor unless
it could be the excellent job of merchandising chips that has been done
in recent years by the industry and its trade organization , the National
Potato Chip Institute .
Government experts cite as contributory causes the swing throughout

the country to prepared foods , the fact that consumers are getting away
from the idea that potato chips are a special or luxury type food , and
the constantly improving keeping quality of chips due to better process
ing , better handling and better packaging. They also point out that the
Potato Chip Institute , a research as well as trade organization , has done
an outstanding job of promoting the product .
Chippers themselves stress that they started with a " basically good
and appealing food " and through constantly improving methods of prepara
tion , packaging and promotion have been able to build a wider market ,
particularly in homes, for a year -around product .
Making Themselves at Home
Proof that the " home " market for

potato chips
potato chips has
has broadened con
siderably is furnished by a Washington , D. C. potato chip firm , whose
plant manager shows that today 80 to 90 percent of his production goes
into half - pound " family" size bags as compared with the situation in the
1930's when the bulk of his production went into the then more familiar
5 and 10 cent size containers . This manufacturer was careful to note ,
however , that Washington's higher average income level may affect this
relationship -- and that chippers in certain other areas are still pack
aging the bulk of their production in the smaller sized containers ,
Another factor cited by this chipper as an inducement to increased
consumption has been the ability of progressive operators to hold down
or offset production cost increases . Despite increased costs of cooking
materials and potatoes since the end of World War II , this particular
chipping firm has raised the wholesale price of a half-pound bag of chips
only 1.25 cents in that period . Most of the increase in the costs of the
firm's basic raw materials have been offset by savings in packaging costs
through the use of automatic machinery that enables five employees to do
work that formerly required twenty .
Let's take a look at a modern potato chip plant.
In this unit , production is almost entirely automatic . The contin

uous belt type of operation used turns out 500 pounds of chips every hour .
Except for the packagers , only two men are employed in its operation .
The processing begins in the 2,000 - bag capacity storage room of the
plant , which is closed off from the rest of the operations . Even though
potatoes might not be spoiled , their musty odor , particularly from old
potatoes , might permeate the chips and other products cooked in the
plant . Temperature in this storage area is kept at about " room heat , "
70 to 80 degrees F.
One of the men on the continuous belt process works in this room
dumping potatoes from sacks into a peeling machine . The " peeler " used in
this plant is known as an " abrasive" type . It contains a revolving abra
sive disk with the potatoes and keep them revolving
ridges which toss
while the skins are rubbed off and washed away by a continuous stream of
water .
( Some of you may have been lucky enough to see a similar type of
potato peeler in some of the induction centers during your early G. I.
days . )
This " abrasive " type peeler is one of many types available . One is
in process of development which soaks off skins by the use of a solution
-- a preferable method since there can be as high as a 20 to 30 percent
loss of potato in the peeler alone .
Best Potato Chips
Have High Specific Gravity
From the peeler , the potatoes go on a stainless steel conveyor belt

to a slicer . This machine resembles a giant food grinder except that its
three bladed cutting knife revolves horizontally with the weight of the
potato and the inward slant of the bowl forcing it down on the blade .
This cutter can be regulated to make slices from 1/32 to 3/32 of an inch
in thickness depending upon the type of potato being used . A good pota
to of high specific gravity low water content can be sliced the
thinnest . Those potatoes , particularly new potatoes , with a high water
content have to be sliced thicker , or as chippers explain it , " they would
go up in smoke in the fryer . " One particular chipper said that his plant
could get as high as 30 to 32 pounds of chips from a 100 pound sack of
August 1950 5
potatoes if they were high in specific gravity , as compared with a normal
average of 25 pounds of chips ,
From the slicer the potatoes go along another continuous belt to a
washer , where the surface starch is washed off . From there they travel
on another continuous belt to the fryer , or " cooker ." In all , the pota
toes receive ten to twelve washes in clean water between the peeler and
fryer .
The " cooker " is composed of two units through which move continuous
belts carrying the potato chips . In the first unit the cooking fat is at
a much higher temperature than in the second . The purpose of the first
unit is to sear the potato chips , preventing oil absorption in the sec
ond unit which cooks the chips more slowly at a lower heat until they are
done . As the plant manager explained , the process is similar to the ap
proved method of cooking a good steak -- a quick searing to retain all
the goodness and prevent fat absorption , then slower cooking at lower
heat until done . At the end of the last cooker , as the cooked chips move
out to the packaging room, a fine shower of salt falls on them from an
overhead container . The second man on the production line works here ,
constantly watching the temperature of the cooking fat and seeing that
the chips coming out are of good quality .
From the cooker , the chips fall onto an endless belt where in " cull
ing , " the scorched , or otherwise unattractive pieces are picked out.
It is here too that " sample" chips from a new shipment of potatoes are
pulled out and inspected .
New Samples Earmarked , Tested

When a new shipment of potatoes is received , several from the lot
are selected and marked by cutting holes through their centers . These
potatoes are put in with those being processed and run through the com
plete operation . At the end the chips with holes in them can be lifted
out and inspected to see if they have responded to the same type of cook
ing , and whether they have a higher or lower water content than those
being prepared .
After " culling , " the chips move on an endless belt into the packag
ing room . There they are automatically weighed in a machine which fun
nels an exact half - pound into a cellophane bag . The filled bags are
placed on another moving belt that carries them through an automatic bag
sealer . At the end , they are packed , a dozen 1/2 pound bags in a carton ,
ready for distribution .
It is a practice of one plant to code its packages of chips , and , if

necessary , pick them up from retailers after 20 days . This is the mini
mum length of time it is felt by this firm that chips will retain their
crispness and tastiness , based on average temperature and humidity in his
area . ( This varies considerably between sections of the country , since
chips keep better in a cool , dry area than where it is hot and humid . )
While the operation outlined above is representative of that carried
out by one of the largest potato chip manufacturers in the country , there
are other operators
operators of varying degree of size ranging upward from so
called " batch " cookers with only one small kettle where chips are cooked
a few at a time . Some of these " batch " process and " one- kettle" produc
ers are very successful .
One thing that all chippers have in common , however , are problems
singular to their industry , These are complicated by many factors , but
to a large degree they are problems which producers and handlers of pota
toes , interested in the substantial market the potato chip industry af
fords , could help solve .
Three of these problems are of major importance : ( 1 ) obtaining a
variety or varieties of potatoes suitable for chipping ; ( 2 ) being assured
of a constant and unchanging source of supply of such potatoes , either
fresh or from storage where they have been handled in such a manner that
they can be used for chipping ; and ( 3 ) steadily working for improvement
of keeping quality of chips through better packaging or other methods .
Since producers and handlers cannot do much with regard to this latter
problem, this article is concerned only with the first two problems above .
( Work on the latter problem is underway , however , at the U.S. Department
of Agriculture's Western Regional Laboratory, Albany, California , under
the direction of Dr. Martha E. Davis . )
Certain Characteristics Essential
Since chippers have largely been taking what they can get in the
way of potatoes and still have expanded their industry so successfully
it may be thought that this problem of a suitable potato is over - empha
sized . It is , however ; of such importance that some chippers throughout
the country are growing their own potatoes and one chipper in Washington,
D. C. has recently purchased a farm in nearby Virginia for this purpose .
At present , chippers complain that the chief defects encountered in
potatoes purchased for chip making are varietal mixtures even in rela
tively small lots , a large percentage of potatoes are bruised and imma
ture , and there is a prevalence of such undesirable conditions as late
blight rot or fusarium storage rot . Such conditions vary with localities ,
of course , though shippers maintain that in the eastern United States
they experience the greatest difficulty in obtaining potatoes of quality
good enough to produce uniformly well colored chips .
Exacting Storage Requirements
In a recent report on these problems in the industry's trade maga

zine , THE POTATO CHIPPER , Dr. Ora Smith , director of research , National
Potato Chip Institute , had this to say :
"Growers and dealers could well afford to acquaint themselves with
the storage requirements of potatoes for best chip production . It would
be to the mutual advantage of the potato handler and chipper to cooperate
closely on these requirements . "
August 1950 7
>
The ideal potato for chipping must be high in specific gravity , or ,

to put it the other way around , low in water content . The specific grav
ity of potatoes influences chip yield , since a potato with high water
content must be sliced thicker else it will burn to a crisp when cooked ,
Furthermore , such a chip absorbs more fat in cooking . The ideal potato
must be fully mature , for immature potatoes have a high water content and
contain green spots which show up in chips . It must have a low reducing
sugar content . The more reducing sugar a potato contains the darker the
chips it makes . Some potatoes have a natural high reducing sugar content
while others build it up in storage . The ideal potato should be about
U. S. No. l size , since it makes the best sized chips . It should be as
free as possible of knobs , eyes and sprouts , since taking these irregu
larities off in a peeler means a heavier loss of potato . Finally , and
quite important, the ideal potato must have good storage qualities .
Certain Varieties Best Suited
Although no known potato variety meets all of these specifications ,

certain varieties come much closer than others . This has been discovered
after considerable research under the auspices of the U.S. Department of
Agriculture , Research work on potatoes suitable for chipping and the
handling and storage of chip potatoes is headed up in two of the many
sections of the Department's large research center at Beltsville , Md .
The development of a better potato for the production of chips is
under the direction of Dr. F.J. Stevenson , internationally known for his
breeding experiments and development of new types of potatoes . Dr. Ste
venson is head of the Potato Section of the Division of Fruit and Vege
table Crops and Diseases of the Bureau of Plant Industry .
Solutions to the problems of storing and handling and suitability
of potatoes for chipping are being worked out by Dr. R. C. Wright ,
physiologist , Dr. P. H. Heinze , physiologist , and T. M. Whiteman , horti
culturalist , all with the Handling , Transportation and Storage Investi
gations Section of the Fruit and vegetable Crops and Diseases Division .
This phase of the work being done on chipping potatoes is known as Re
search and Marketing Act Project 147 and its objectives are :
" ( 1 ) To determine to what extent potatoes can be classified as to
their cooking quality on the basis of variety , or section of the country
where grown , or storage conditions ; ( 2 ) to develop tests for these qual
ities that can be used by purchasers for judging suitability of any giv
en lot of potatoes for different methods of preparation , such as baking ,
boiling , or frying ; (3) to determine what methods of cooking are most
suitable for potatoes of different variety, origin or treatment; (4 ) to
evaluate potato varieties and new selections for chip manufacturers ; and
( 5 ) to determine how qualities required for satisfactory chip manufacture
can be maintained during storage of the potatoes ."
The project was requested by the National Restaurant Association ,
the United Fresh Fruit and Vegetable Association and the National Potato
Chip Institute and was set up as a joint project between the Bureau of
Plant Industry and the Bureau of Human Nutrition and Home Economics of
the Department .
In the research work already done it has been shown that the most
suitable varieties of potatoes for chipping are the Russet Rural and
Katahdins . Following , in second rank , are Sebagos and Cobblers , and the
less favorable White Rose used in the West . However , there are other
potatoes that make chips of outstanding attractiveness , both from stor
age at 55 degrees F. , or after reconditioning at 70 degrees F. for 22
days , following storage at 40 degrees F. They are , Chippewa , Kennebec ,
Netted Gem , Norkota , Rural New Yorker , and Teton . The last makes excep
tionally good chips , is good yielding and resistant to ring rot .
Temperature Affects Sugar Content
The storage temperatures mentioned above are recommended by the

Beltsville researchers for keeping potatoes to be used for chipping . At
50 degrees F. or slightly higher , potatoes sprout quicker than at lower
temperatures . Storage at 40 degrees F. eliminates this problem , but
builds up reducing sugar content in potatoes . Reconditioning , through
holding at 70 degrees F. for about two or three weeks , will bring the
sugar content of the above named varieties down to where they are suit
able for chipping .
Two new types of potatoes developed by Dr. Stevenson which are said
to hold great possibilities for chipping are the " New Kennebec , " first
released about two years ago and for which seed is being released as
rapidly as possible and the " Canus" ( Canada- U.S . ) , developed in coopera
tion with Canadian breeders . Neither variety is as yet in large produc
tion , although some of the latter are being grown in North Dakota .
In tests for losses in peeling , it was found that Sebagos , Russet
Rurals and Katahdins showed the least loss while Irish Cobblers and Green
Mountain varieties showed the greatest .
COLOR CHART OF CONSUMER GRADES FOR POTATOES RELEASED BY USDA
Actual size pictures in two colors are used to illustrate a 30 x 45

inch poster showing U. S. consuner grades for potatoes which has recent
ly been issued by the U.S. Department of Agriculture . The chart carries
four illustrations of round or intermediate varieties and the same num
ber of pictures of long varieties of potatoes .
Although consumer grades were announced by the USDA in 1947 , it was

not until the past season that potatoes were marketed in these grades ,
Some 1,000 cars packed in consumer packages have been shipped to markets
from Maine .
Single copies of the chart are available free from the Information
Branch, PMA . Educational and non - commercial agencies may secure add
itional copies by including in their requests their plans for use of the
charts .
August 1950 9
897270 0150 - 2
It's the Lean , not the Fat
By Charles A. Burmeister
The " Jack Sprats " among American consumers seem to be in the major
ity these days . At least the leaner cuts of pork are being sought after
more than the fat cuts a trend which has been evident for more than
twenty years judging from comparisons of prices of different pork pro
ducts .
In bygone years , bacon , an important fat cut , normally maintained

a favorable price relationship with the lean pork cuts . Not so in re
cent years because the price of bacon has advanced much less than the
price of fresh ham . For instance , while wholesale prices of fresh ham
in 1949 averaged 123 percent higher than they did in 1920-29 , the aver
age price of fresh bacon bellies was only 67 percent higher .
Bacon ,
principally a breakfast meat, is perhaps a casualty of the lighter morn
ing meals of today .
Bacon Going the Way of Lard ?
Many people who may be surprised at this bacon price lag are well
aware of what's been happening to lard . This product, too , has not been
keeping pace pricewise with the leaner pork cuts . In 1949 , the yearly
average price of lard was down seven percent from the average of the 1920
decade . By contrast , the average price of lean cuts was up 81 percent .
Lard , pushed by tough competition from other fats and oils , has been
finding it more and more difficult to maintain its position in the
market . The only way to move it into consumption has been to lower the
price .
These changes are having a profound effect on live hog prices .
Since meat products sell in the market for the highest prices obtain
able , the prices obtained at any particular time for each kind of pro
duct reflect consumer demand for the available supply of that product.
Changes in price relationships for lean and fat parts of hogs mean a
shift in consumer likings for the various pork products . And since
packers base their payments for live hogs on the returns from sale of
all the products , these eating switches are bound to affect hog prices .
Some knowledge of the amount of these various products obtained

from a hog is needed to understand just how important they are in final
hog value . Let's take a look at an average hog and see how much fat and
lean cuts and lard it produces . In the first place about 65 pounds of
major edible products comprising lean cuts , fat cuts and lard are ob
tained from 100 pounds of live weight of hog. In hogs of the more de
sired weights-- 200 to 240 pounds -- the lean cuts total around 35 pounds
in 100 pounds of live weight . Of course , the yield of lean cuts as well
as that of lard and fat cuts varies according to the type of hog and
degree of fatness . Lard yield per hundred pounds live weight is from
12 to 14 pounds and fat cut yield is about 17 pounds , of which three
fourths is bacon belly.
Thus it's clear that any change in value of these products will
have a marked effect on hog prices , Now let's see how the value of these
products from a hundred pounds of live hog has shifted percentage-wise .
In the period 1909-19 , the value of lean cuts was equal to about 48 per
cent of the total product value , while in 1949 it rose to nearly 65 per
cent . But what has happened to the value of lard and fat cuts ? The
value of the 15 pounds of lard, which was formerly 21 to 24 percent of
total product value , represented only about 10 and one-half percent in
And the value of fat cuts dropped from 26 percent of the total
19 ‫ يا‬.9.
value in earlier years to about 21 percent in 1949 .
Trend Translated into Dollars
So much for these broad percentage -wise comparisons of the effect

of these changes . What has this trend meant in dollars and cents to the
hog producer , buyer and slaughterer ? Some rough estimates have been
made of the extent hog prices were lowered in 1949 by declines in fat
cut and lard prices in relation to lean cut values . The average whole
sale value of lean and fat cuts and lard in 100 pounds of live hog in
1949 was $20.70 . If price relationships that year had been the same as
the average of 1905-19 and lean cut value had remained unchanged at
$ 13.87, the value of the products from a hundred pounds of hogs would
have been about $28.00 or about $7.30 higher than it actually was in
1949 .
But we needn't go back as far as the early years of the century for
comparisons. For instance , if the price relationship in 1949 had been
like those in the 1935-39 period , the total value of the lean and fat cuts
and lard would have been about $ 3.60 per hundred pounds higher than it
actually was . This decline in value from the 1935-39 price relationship
represented a reduction of the impressive sum of $559,000,000 in the
market value of the 15.6 billion pounds of hogs sold for commercial
slaughter in 1949 .
Demand Firm for Lean Pork
Where does this change in consumer demand for pork leave hog pro
ducers ? Obviously if they are to hold their economic position , produc
ers must take some steps to meet the changed needs of consumers for pork
products . However , in making the adjustment it is well to recognize
that there are no definite indications that demand for lean pork prod
ucts has changed markedly in relation to beef ; thus the problem for hog
producers is primarily that of a decline in demand for the other pork
products CS
fat cuts and lard .
Some of the reasons which have brought about these changes should
be considered . The new methods of handling and distributing food make
August 1950 11
possible year -round availability of fruits and vegetables and other per
ishables that were only seasonally available a few years ago . They pro
vide consumers a wider range of food from which to select than they ever
had in the past . Workers now on shorter work days and weeks and physi
cally less strenuous jobs due to labor saving equipment , now need less
food of high fat content . Finally, larger groups of consumers can now
be more selective in their food purchases because of the marked rise in
their incomes during the last decade .
Marketing Adjustments Needed
As a result of all these changes , consumers are less willing to buy

lard , bacon , fat backs , plates and jowls than formerly . On the other
hand , they continue to show an increased preference for the lean pork
cuts such as ham , picnics , Boston butts , and loins ( pork chops ) . This
is a situation farmers need to recognize . They must then take steps to
adjust their production to capitalize on it . Adjustments , however ,
should not be limited to production . Hog marketing practices will need
a radically different emphasis in order to help farmers complete the
needed shifts in production techniques .
Changes in management and feeding practices afford an excellent
opportunity to increase the proportion of lean to fat cuts in most any
type of hoa . In addition to these management and feeding changes , con
siderable progress has been made by animal husbandry specialists and some
producers through selective breeding in developing hog types that will
produce more lean and less fat . Progress along feeding , management and
breeding lines , however , will come much more rapidly if the prices paid
for hogs reflect more accurately the value of the animals on the basis
of their product yield .
The present method of evaluating and pricing hogs chiefly on the

basis of weight doesn't give much encouragement to those who produce
hogs with a high lean cut yield . In fact , this method works to their
disadvantage ( " Hog Seiling on a Merit Basis " -- MARKETING ACTIVITIES , May
1949 ) . that some changes are needed in determining hog
It's obvious
values when the products from hogs of the same weight may differ in value
by as much as $2.00 per hundred pounds live weight--yet in nearly every
instance there is little difference in the prices paid for these hogs in
the market .
New Grades Are Practical
To help bring about desired changes in methods of pricing hogs ,

grading specialists in the Livescock Branch of USDA'S Production and
Marketing Administration set out to develop a new system of grading hogs .
( " Three Hogs Went to Market"---MARKETING ACTIVITIES , February 1950 and
October 1949. ) The grades evolved are based on the relationship of
yields of lean cuts to fat cuts . Practical application of the use of the
grades in buying has already been made by some packers . This , together
with trial demonstrations at markets throughout the hog producing area ,
has indicated definitely that the new grades are a practical approach in
helping to solve one of the biggest problems now confronting hog pro
ducers and the meat packing industry.
Where's Your Fruit Market ?
By Robert J. Andrews
Did you know that during a recent 3-month period over half of the
household purchases of Florida oranges were made in the Northeast re
gion ? Or that during the period October 1949-March 1950 , farm families
on the average bought more raisins , dried peaches , and dried apples than
city families ? That at the same time a larger percentage of families in
the big cities bought canned juices than families in smaller cities and
on farms ?
These and many more such facts are being brought to light in a
study of the fruit buying habits of American families through a consumer
panel , Several thousand families representing a cross- section of all
households in the United States are daily recording their purchases in a
log made available to researchers ,
Product of Broad Cooperation
Carried out under the auspices of the Research and Marketing Act of
1946 , by the · Bureau of Agricultural Economics , the Fruit and Vegetable
Branch of the Production and Marketing Administration , and cooperating
fruit industry groups , the study at present covers fresh citrus fruits ,
canned juices , frozen concentrated juices and dried fruits . The data
are being obtained by the Industrial Surveys Company , Inc. , under con
tract with the U. S. Department of Agriculture.
The information obtained gives an accurate picture of current
household purchases on a continuing basis thereby providing valuable
assistance in the development of marketing policies . For example, it is
possible to determine areas of high and low consumption -- in the first
quarter of 1950 , the Northeast accounted for 36 percent of the total
U. S. household purchases of dried prunes . This was larger than pur
chases in any other region . The North Central region accounted for 30
percent of the total , the Southern region , 14 percent and Mountain and
Southwest and Pacific regions , 10 percent each .
Of equally keen interest to those engaged in marketing may be the

information on the characteristics of the families buying the products ,
The study showed that in the 6-months period from October 1949 through
March 1950 over twice as many families in the highest income level pur
chased frozen concentrated orange juice as did those household consumers
in the lowest income level , and that a . larger percentage of families with
children under 6 years of age bought frozen concentrated orange juice
than did families with no children or with older children .
13
August 1950
Still another question covered in the survey , is : "Where do fami
lies buy these products ? " As an example , during the first quarter of
1950 , independent groceries " accounted for 35 percent of all household
purchases of fresh grapefruit ; national or major chains , 26 percent ; re
gional chains , 23 percent ; and " other outlets " such as fruit stands ,
delicatessen stores , and specialty stores , 16 percent . Or it may be
asked : 11 How much are consumers buying and what are they paying ? " In
May 1950 , consumersbought 1,462,000 cases ( equivalent No. 2 cans ) of
canned single strength orange juice at an average price of 15.4 cents
per No. 2 can . In contrast , in May 1949 , householders purchased
1,812,000 cases of canned orange juice and paid an average of 13.1 cents
per No. 2 can .
Results Published Monthly 2
The data on current purchases are issued monthly under the title ,
" Consumer Purchases of Selected Fresh Fruits , Canned and Frozen Juices ,
and Dried Fruits . " Included are figures on the total consumer purchases
of each product during the month , the percentage of families buying , and
the average price per unit paid by householders . For example , in May
1950 it was reported that 14.5 percent of the families in the United
States purchased frozen concentrated orange juice, and the data show too
that these purchases totaled 1,243,000 gallons at an average price of
27.2 cents per 6 - ounce can . information is given for each
Similar information
canned juice , each fresh citrus fruit , and each dried fruit . More sur
prising are the figures showing that on the basis of fresh orange equir
alent , the relative importance of frozen concentrated orange juice , as a
percentage of total household purchases of oranges and orange products ,
increased from 5 percent in the first quarter of 1949 to 19 percent in
the same quarter of 1950.
Quarterly Report Covers Distribution
Quarterly , a report is issued summarizing the distribution of fami

ly purchases of each product by regions ( Northeast , South , North Cen
tral, Mountain and Southwest , and Pacific ) and by type of store manage
ment ( national chain , regional or local chain , and independent grocery ) .
The report is entitled " Regional Distribution and Types of Stores Where
Consumers Buy Selected Fresh Fruits , Canned and Frozen Juices, and Dried
Fruits ." Included are data on total household consumer purchases, aver
age size of individual consumer purchases, average prices paid by con
sumers for each item, and consumer purchases per 1,000 capita.
In addition , the data are summarized periodically according to fam

ily characteristics , Volume of purchases and prices paid are related to
geographic region , size of community in which the buying family lives ,
the size of the family, the presence of children , the family income , oc
cupation of the family head, and the age of the housewife . The influ
ences of these factors on the family purchasing habits has been reported
for the period October 1949 through March 1950 in a publication titled,
" Consumer Buying Practices for Selected Fresh Fruits , Canned and Frozen
Juices , and Dried Fruits , Related to Family Characteristics , Region, and
City Size , "
To supplement the information on consumer purchases , data on the
availability of certain fresh and dried fruits , canned juices , and fro
zen concentra
obtained .
tes in retail stores throughout the country also are being
This information , collected on the basis of a national proba
bility sample of nearly 2,000 retail food stores of all types , repre
senting a cross-section of such outlets over the country, shows the per
centage of stores handling these food products . The information is
classified and summarized by size of stores ( annual volume of Sales ) ,
type of store management , size of city ( population ) , and geographic re
gion .
With the results of the two studies at hand , all those interested
in marketing any of these products have much fuller information than
ever before on what , where , and when the product is bought and where the
product is available . Merchandising efforts now can be aimed at the
spots where they will do the most good or where special effort is most
needed . The end result is more efficient marketing .
FARM LABOR WAGES STEADY : EMPLOYMENT LOWER
Pay rates for hired farm workers on July 1 , 1950 averaged about the
same as a year earlier , but farm employ.nent during the week June 18-24
was down 4 percent from the same period in 1949 , according to the July
Farm Labor report of the Bureau of Agricultural Economics .
Both family and hired employment shared the decline, although the
latter was up 31 percent over May 1950 , a more than seasonal increase .
Average of all farm wages for the country as a whole on an equivalent
hourly basis was placed at 56 cents as of July 1 , the same as a year
ago .
COMMERCIAL TRUCK CROP ACREAGE DOWN
The 1950 planted acreage of 10 major truck crops for commercial

processing is estimated at 1.6 million acres , 6 percent under 1949
planted acreage and il percent under the 10-year average , according to
the Commercial Truck Crops report of July 1l of the Bureau of Agricul
tural Economics . These 10 crops , snap beans , green peas , lima beans ,
beets , cabbage for kraut , cucumbers, Georgia pimientos , spinach and
tomatoes , account for 95 percent of the planted acreage of the 1l (as
paragus is the other crop ) processing vegetables estimated by the
Bureau .
Except for cucumbers , the July 1 condition on processing crops was

reported to be better than average . Prospects for processing crops for
harvest in July and later are generally satisfactory , BAE reports ,
August 1950 15
1
Sheep May Sport New Brands

By George C. LeCompte
Sheep throughout the country may soon be branded by a new and greatly
improved branding fluid recently developed through research , and based
on lanolin , a product of sheep themselves ,
Sheep in most parts of the country are branded much for the same
purpose as cattle ownership and particularly to make
to establish
separation easier when two bands of sheep are unavoidably run together .
However , branding of sheep has taken a different form sheep escape
the branding iron , but are marked with some sort of fluid such as ordi
nary paint or tar .
Need : A Fluid With a Dual Personality
This branding of sheep has long posed a two -way problem . If the
branding material were durable enough to stick to wool for long periods
of time as it must, it usually would not scour easily from the fleece ,
thus creating a serious and costly removal problem in the wool manufac
turing process . If the brand scoured easily, it conversely would not
have the durability needed . Seemingly , the problem called for a brand
ing fluid of contradictory sticking and non - sticking characteristics and
it is no wonder that it has plagued wool producers and processors for
many years .
Sheep Supply the Answer
After
trying many different materials in the search for a fluid
that wouldcombine the properties of durability and scourability , the
quest in the PMA Livestock Branch laboratories for this elusive material
ultimately led back to the sheep . The grease cleaned from sheeps ' wool ,
known as lanolin , undergoes a long period of exposure to air and sun
light and as a result has none of the drying and hardening properties of
ordinary oils . Happily it can be washed from wool in the normal scour
ing process . Laboratory experiments indicated that lanolin was the sim
plest and perhaps most obvious vehicle for the scourable branding fluid .
The next steptesting this lanolin -base fluid under actual West
ern grazing conditions -- proved conclusively that the product met the
first of the two necessary requirements . Branding marks made by this
fluid were both intact and clearly legible after a year of exposure to
the rigorous Idaho Rocky Mountain climate . This field test was made on
around 3500 sheep at the Bureau of Animal Industry Sheep Experiment Sta
tion at DuBois , Idaho .
WOOL , PREVIOUSLY MARKED WITH
BRANDING FLUIDS , IN VARIOUS
STAGES OF MANUFACTURE
SCOUPABLE . ORDINARY
BRANDS PAINT
FINE WOOL 3/8 WOOL FINE WOOL
{
GREASE
WOOL
SCOURED
WOOL
CARDED
WOOL
FELTED
WOOL
This display shows wool marked with both scourable and non - scourable
fluid in various stages of laboratory processing. Both wool markings had a
year of exposure on sheeps' backs . The felted wool produced from the wool
marked with scourable branding fluid shows no spots , while the felted wool
from that marked with paint has several unsightly spots that will require
costly hand spotting.
August 1950 17
The branding fluid also met the second requirement of being com
Wool on
pletely removable from the wool in the usual scouring process .
which the brands had been painted was sorted from the remainder of the
fleeces and sent on for processing into cloth at the Forstmann Woolen
Company . This firm's Director of Research , Werner von' Bergen , observed
and described the scouring operation in detail , Included in the ship
ment were one sort of 835 pounds of fine and half-blood wool , and anoth
er sort of approximately 380 pounds ' of three-eighths and quarter -blood
wool . Mr. von Bergen pointed out that all of the wool from these two
sorts was carded , combed and woven into cloth which was completely free
of the discoloration that normally appears from branding marks ,
Paint Marks Are Costly
In his report , Mr. von Bergen elaborates on some of the problems

wool manufacturers face in handling paint wool . He points out that in
1949 the average sorter in his company spent 1/2 hour daily in clipping
paint wool . The total cost of this work was figured at $4,300 . Further ,
this company sold about 6,000 pounds of this wool containing branding
paint for 17 to 18 cents a pound whereas such wool had cost from 75 cents
to a dollar a pound . These two costs totaled over $10,000 , and the
company's troubles didn't end with this .
Mr. von Bergen points out that it is not humanly possible for wool
sorters to detect all wool carrying brand marks , with the result that
some carry into the manufacturing process and later show up as unsightly
spots in the cloth , Removing the spots is a painstaking hand operation.
Mr. von Bergen explains that in 1949 his company handled approximately
1,500,000 pounds of wool with branding marks , and despite the fact that
the paint wool was clipped and sold at a great loss , 23,000 pieces of
cloth made from the wool had to be subjected to this costly cleaning or
" depitching " process . The total cost of this was figured at more than
$38,000 . Thus , all the costs of handling this paint wool averaged about
3.23 cents per pcund , clean basis , on the 1,500,000 pounds of wool orig
inally marked with non- scourable branding marks .
Losses Must Be Shared
While most of the paint or brand problems in paint wool center in

the manufacturing process , producers also have a considerable stake in
this problem . No doubt , companies other than Mr. von Bergen's have sim
ilar troubles with paint wool . Certainly a part of their cost is re
flected back to the grower in lower prices for wool marked with a non
scourable branding fluid .
To help solve this difficulty and also to improve the marketability
of wool , the research work was initiated early in 1942 . It was soon
recognized that the desired fluid had first to withstand the combined
rigors of rain , snow , immersion in streams and sheep dips , sunshine ,
dust storms ,
and physically harsh treatment such as rubbing against
bushes , trees and other sheep . Passing these tests , the fluid would not
be practical unless it could be removed from the wool during the normal
manufacturing processes . Wool is customarily given a hot , alkaline,
water bath at least once during its processing . Thus the ideal material
was one that would not survive such a treatment but would wear like iron
in the cold , neutral , water hazards it encountered under natural condi
tions on a sheep's back ,
Many materials such as various fats and oils , shellac , waxes , fatty
acids , casein, gelatin and glue were given consideration , while mineral
oils , petrolatum , paraffin , and tars were soon discarded as possible
bases . The choice of pigment or coloring matter posed a much less diffi
cult problem because many are available which will do the job .
Tests Difficult
One by one the materials that were possibilities as a vehicle for

the branding fluid were discarded as various experiments showed them to
be impractical . In the 1942-43 laboratory experiments, lanolin and mix
tures of it with stearic acid and rosin showed the greatest promise .
However , the tests proceeded rather slowly . For one thing there was no
way to make quantitative comparisons between the varied formula because
it was an all or none basis either the fluid scoured or it.did not.
Another problem was the failure of accelerated laboratory aging pro
cesses to duplicate actual conditions . An experimental brand might re
main scourable throughout all of the laboratory processes of baking , ex
posure to water , natural sunlight or artificial light . In the field ,
however , fluids which appeared successful in the laboratory were not al
ways scourable after exposure on sheeps ' backs . The reason for this was
not determined but probably resulted from extraneous materials that im
pregnated the brands as the sheep grazed .
Correct amounts of pigment or coloring matter were found to be ex

tremely important in actual tests . If the amount was too little , the
brand was not as clear and distinguishable as it should have been . On
the other hand , if the amount was too much , the scourability was im
paired .
Lanolin Base Proves Out
First practical field test was begun by branding 50 sheep at the

BAI sheep station at Dubois . But these tests progressed slowly because
of occasional unscourability while laboratory operations
evidences of
indicated to be completely scourable .
the fluids A large- scale field
test was started in the spring of 1947 , to be followed by a commercial
scouring of the branded wool in 1948 . This was not completed because ,
unfortunately , ordinary paints were applied to some of the fleeces by
mistake . By the spring of 1948 , when the second large- scale test des
cribed earlier was undertaken , the lanolin formula had proved itself to
be the most durable and scourable . In the summer of 1949 the fleeces
were sheared and after the year's exposure , the brands showed satisfac
tory durability . The black scourable brand was clearly legible -- the
blue , while still distinct , had darkened and was difficult to tell from
the black the red was satisfactory -- the green was a trifle faint
but a higher concentration of pigment corrected this fault . Only the
yellow had blended with dust on the fleece and was indistinguishable ,
August 1950 19
Although this first lanolin ' base fluid was successful , one defect
appeared . In cold weather , the fluid stiffened excessively . Use of
rosin with the lanolin has since permitted the use of more solvent so
the product is now thick enough in warm weather and does not stiffen
badly in cold weather .
Another development in
the offing is a more
fluid lanolin .
With such experi

ments proving good du
rability and excellent
scourability for this
branding fluid , a prac
tical and successful
product is a reality.
Growers should soon
have an opportunity to
remove the paint defect
from their wool through
use of branding fluids
manufactured on the
basis of this formula .
Great impet
impetus
us may be
After a year of exposure on the back of a given to this needed
Columbia sheep at the BAI Sheep Station , the black change if wool buyers
scourable brand is still clearly legible . and manufacturers would
consider a premium'in prices for wools free from non-scourable paint .
This development could well be another step in the advancement of a great
American industry.
Reports Available
Copies of the complete report on this research as well as a detailed

description of the scouring process may be obtained upon request to the
Information Branch , Production and Marketing Administration , U.S. Depart
ment of Agriculture, Washington 25 , D. C.
FIGURES HANDLED TOO ROUGHLY
In last month's article , "A Label That Didn't Stick , " incorrect ton
nage figures were listed for volumes of tomatoes and grapes handled in
1948 under Federal-State inspection of raw products for processing . The
reference , which appeared in the 4th paragraph , page 5 , should read : 1
" The principal commodities, listed roughly by volume in tons handled ,

are the following: tomatoes, 1,193,322; oranges, 541,058 ; pears , 196,303;
apples , 114,634 ; sour cherries , 43,705 ; grapes , 29,877 ; peas , 20,473 ;
corn , 12,037 . " --
Editor .
Marketing Briefs
Cotton .-- The Production and Marketing Administration of the U. S.
Department of Agriculture announced June 27 that the Commodity Credit
Corporation will support the price of 1950 - crop upland cotton , by loans
to farmers complying with acreage allotment and marketing quota regula
tions , at 90 percent of the parity price as of August 1 , 1950 , the be
ginning of the marketing year . PMA also announced that CCC will make
interim price support loans available to eligible producers in the early
harvesting areas on 1950 - crop upland cotton prior to August 1 , 1950 , at
27 cents per pound , basis Middling 7 / 8 - inch cotton at average location ....
Commodity Credit Corporation has sold 78,770 bales of 1948-crop pooled
cotton pursuant to its offer to sell dated June 7 , 1950 , according to
PMA . Bids were opened on June 14 , 1950. The 1949-crop cotton was pooled
for the account of producers on August 1 , 1949. To date , 386,761 bales
of 1948- crop pooled cotton have been sold.
Fats and Oils.-- Import controls on fats and oils , rice and rice
products will continue in effect until June 30 , 1951 , PMA announced June
30 . The controls were to have expired at the end of this June but new
legislation enables the Department to continue limited inport restrictions
for another year . The legislation approved by the President on June 30 ,
1950 authorizes the control of imports of fats and oils , rice and rice
products , if the commodities are in short world supply or control is
deemed necessary to facilitate orderly liquidation of Government - owned
or -controlled surpluses of these commodities . It specifically exempts
petroleum and petroleum products as well as coconuts and coconut products ,
including copra and coconut oil , from import control .
PMA , on June 27 , announced a price support program for 1950 crop
peanuts which provides for ( 1 ) price support at 90 percent of parity as
of August 1 , 1950 , for farmers ' stock peanuts produced on allotted acres
in 1950 , and ( 2 ) the method of handling peanuts produced on excess acreage ,
in accordance with recent legislation . 1. Edible Peanuts . Prices for
farmers' stock peanuts produced on allotted acreage will be supported by
means of producer loans and purchases , and by sheller contracts , as in
the past . In 1950 , as in 1949 , a producer who does not pick and thresh
in excess of his 1950 acreage allotment will be eligible for price sup
port at 90 percent of parity on his entire production . 2 . Excess ( Oil )
Peanuts . The 1950 program also provides , in accordance with the pro
visions of recent legislation ( Public Law 471 ) , that a producer may grow
and pick or thresh peanuts from acreage in excess of his farm allotment
without affecting his eligibility for price support at 90 percent of
parity on the peanuts produced on the allotted acreage if both of the
following conditions are met : ( 1 ) the total picked and threshed acreage
of peanuts for the farm for 1950 is not greater than the 1947 picked and
threshed acreage of peanuts for the farm ; and ( 2 ) the peanuts produced on
August 1950 21
the acreage in excess of the allotment are delivered for crushing for
oil , to agencies designated by the Secretary of Agriculture .
Grains.-- PMA announced on June 27 that 1950 - crop corn in the commer
cial corn area will be supported at 90 percent of the parity price as of
October 1 , 1950,
1950 , for producers in compliance with acreage allotments .
For the non - commercial corn area an interim average loan rate of $1.05 a
bushel was announced . Rates by counties will be announced at a later
date . The final rate for the noncommercial corn area will be 75 percent
of the commercial area rate . ( Note : If the loan rate for corn had been
computed on the basis of May 15 parity, the rate for the commercial corn
area would average about $1.43 a bushel . Price support for the 1949 crop
now being marketed averages $ 1.40 a bushel nationally. )
PMA also announced June 27 that 1950 - crop rough rice will be supported
at 90 percent of the parity price as of August 1 , 1950, for producers who
comply with acreage allotments . Parity price on rice is computed on the
basis of the revised formula provided by the Agricultural Act of 1949 .
( Note : If the loan rate for rice had been computed on the basis of May
15 parity , the rate would be $ 4.52 per 100 pounds or about $2.03 per bu
shel . Price support for the 1949 crop now being marketed averages about
$ 3.96 per hundredweight , or about $1.78 a bushel . )
Wheat Support Announced
Wheat price support at a national average of $ 1.99 a bushel to farmers
for the 1950 crop was announced June 30 by PMA . Last year's rate was $1.95
a bushel , Loans and purchase agreements covering the 1950 crop will be
available through the Commodity Credit Corporation in accordance with
the general program provisions announced by the Department on June 27 ,
pending determination of the specific support level announced today . ( The
1950 average loan rate for U. S. Grade No. 1 is $ 2.00 a bushel ) . The
price support for the 1950 crop , as required by applicable legislative
provisions, is 90 percent of parity at the beginning of the marketing
year , July 1. July 1 parity is $2.21 a bushel . For the same date last
year the wheat price parity was $2.17 a bushel . Only wheat grading No.
3 or better , or No. 4 or No. 5 because of test weight or because it con
tains wheat of the classes durum and / or red durum , will be eligible for
loan or purchase . The loans will be available through January 1951 , and
will mature on April 30 , 1951 or earlier on demand .
Other Grain Support Prices
The 1950 crops of oats , barley , rye , and grain sorghums will receive
price support under the permissive provisions of the Agricultural Act of
1949, PMA announced early in July .
National average levels of support , with comparisons for 1949 , are

as follows :
19 ‫ويا‬ 1950
Oats .69 per bushel $ .71 per bushel
Rye 1.27 per bushel 1.28 per bushel
Barley 1.09 per bushel 1.10 per bushel
Grain Sorghums 2.09 per cwt . 1.87 per cwt .
The price support programs for these crops will be carried out , as
in the 1949-50 marketing year , through loans and purchase agreements .
Commodity Credit Corporation loans and purchase agreements will be avail
able to producers through January 1951 .
Honey.-- On June 30, PMA announced that the price which beekeepers
receive for honey will be supported at 9 cents per pound during the 1950
marketing season which began April 1 . Under the provisions of the Agri
cultural Act of 1949 , price support on honey is mandatory for the first
time , at levels ranging from 60 to 90 percent of the parity price . The
support price applies to extracted honey produced in the continental
United States , packed in clean , sound tin cans of 60 -pound net capacity ,
equal to or better than U. S. Grade B and delivered to packer's plant .
Department officials point out that the 9 cents per pound is 60 percent
of the 60 - pound container parity price as of April 1 , 1950. In the 1949
season , prices to beekeepers were mostly in the range of 7 to 12 cents
per pound for honey sold in 60 -pound containers,
Livestock .--Effective June 30 , schedules of selling prices for the

1950 shorn and pulled wool price support programs will be suspended in
definitely, PMA has announced . Present selling schedules are being with
drawn because of a previously' announced policy to maintain 1950 wool sell
ing prices as high as market prices . Market prices for wool have been
rising rapidly for several weeks and are now far above prices in the
selling schedules , Since no wool has been purchased under the 1950 pro
gram and few, if any , purchases are expected in the remaining portion
of the 1950 wool marketing period , no plans are being made for announcing
revised selling schedules at this time . Wool still available for sale
from previous programs amounts to about 350,000 pounds according to latest
information compiled from handlers ' reports . A year ago wool available
for sale amounted to nearly 100 million pounds. Stocks now on hand are
the remainder of about 1,750,000,000 pounds of wool purchased under war
time and postwar wool programs ,
Tobacco .--Under the price support loan program for 1950 - crop tobacco
announced June 27 by PMA, types of tobacco under marketing quotas will be
supported by Commodity Credit Corporation at the specific levels required
by the Agricultural Act of 1949. These levels are : flue - cured tobacco ,
90 percent of parity as of July 1 , 1950 ; Burley tobacco , 90 percent of
parity as of October 1 , 1950 ; fire - cured tobacco , 75 percent of the Burley
support level as of October l ; and dark air - cured and Virginia sun - cured
tobacco , 66-2/ 3 percent of the Burley level as of October 1 , 1950. Based
upon current estimates of the Department, the supply percentage of Mary
land tobacco would result in a support level at 86 percent of parity and
88 percent of parity in the case of cigar filler and binder types. Final
support levels of types not under quota ( Maryland and cigar filler and
binder ) will be determined as of October 1 , 1950 .
***
JUNE FARM INCOME

Farmers received about 1.8 billion dollars from marketings in June
1950 , slightly more than in May , but 10 percent under June 1949 , accord
ing to BAE . Prices averaged about the same as in May this year and June
last year , but volume was off substantially compared with June 1949 .
August 1950 23
ABOUT MARKETING
The following publications, issued recently , may be obtained upon

request to the Production and Marketing Administration , U. S. Department
Publications :
Operations of Country Buying Stations in Relation to Egg Quality .

May 1950. 24 pp. ( PMA ) ( Processed )
A Look at The School Lunch Storeroom . June 1950. pp..
13 pp ( PMA)
(Printed )
Partners in Conservation , PA -113 . June 1950. 2 pp . ( PMA ) (Printed )

Milk and its Products -- Program for 1950. PA - 119 . May 1950, Folder ,
( PMA) ( Printed)
Carlot Shipments of Fresh Fruits and Vegetables by Commodities ,
States , Counties and Stations , Calendar Year 1949 . June 1950. 52 pp .
Operations of Central Assembling Plants in Relation to Egg Quality .
May 1950. 26 pp . ( PMA ) ( Processed )
The Wholesale Produce Market at Indianapolis , Ind . June 1950. ( PMA )
( Processed )
U. S. Consumer Grades for Potatoes , 2-color poster ( PMA )
ordering statements or publications , Check only the individual items you
desire --Editor )
NAME
ADDRESS
CITY ZONE STATE
☆ U. S. GOVERNMENT PRINTING OFFICE : 01950
Septento
ropo
)
1962
DIV
DOCUMENT
.
MARKETING
ACTIVITIES
S
TED TATE
AG
OF
O
S
UNI
PE
Washington 25, D.C.

Agriculture Wash
IN THIS ISSUE :
BOSTON MARKET PLANS TAKE SHAPE

By William C. Crow . Page 3
The city of Boston is planning a new 450 - unit, 170-acre wholesale

produce market , near the population center and about 1 mile from the Bos
ton Common . Since 1948 , USDA has cooperated in the planning with State
and city authorities and the wholesale trade .
HOW TO SELL A CHICKEN
By Miriam White Page . 6
Don't be surprised if your poultry retailer soon sweeps you off your
feet with even finer fowl and manners to match .
HEAT TREATMENT KEEPS EGGS FRESH

By Harry E. Goresline . Page 8
Heating eggs to keep them fresh !? Better read how Dr. Harry Gore
sline , Roy E. Moser, Jr. and Kirby M. Hayes of PMA's Poultry Branch are
doing it .
LOCKER PLANTS SERVE HOME FREEZERS

By James A. Mixon Page 10
Locker plants are no longer " just places where lockers are ." Plant
managers have become aggressive merchandisers of food for home freezers .
NEEDED : SMALL REFRIGERATING UNITS

By Paul Mehl ... Page 13
Eggs need good treatment at all marketing stages . There's good ev

idence that the country buying station is one of the weakest links.
A TURKEY FOR EVERY HOUSEHOLD . Page 17
The turkey crop this year is a bumper one in three ways : First ,
there are more than ever before ; there are more very big birds for half
turkeys and steaks ; and more of the " streamlined " type .

Boston Market Plans Take Shape
By William C. Crow
Boston is planning to build a really " new " market . " New , " in quotes ,
has special significance in a city where part of the existing market cen
ter , heretofore known as the " new " market , was built in 1826 . The " old "
part , Faneuil Hall , was transformed from a patriots ' meeting house to a
market about 1780 . The present market area as a whole , congested and
entirely unsuited to modern conditions , has a history that goes back 200
years .
Jumping over the centuries to August 11 , 1950 covers a lot of mar

keting ground in Boston ; it also lands on a special date in a modern
marketing era for the Hub City. It marks the signing by Governor Paul
A. Dever of a bill authorizing the Commonwealth Market Authority to fi
nance , build and manage a consolidated wholesale produce market for
greater Boston . This development is a welcome climax to the research and
planning of the United States Department of Agriculture , which has since
October 1948 cooperated with State and City authorities and the whole
sale trade in planning the new market .
Over 450 Store Units Planned
The scope of the project in area , in facilities offered , in vol
ume of trade and investment will be tremendous . Tentatively , the
blueprint calls for 224 store units for handling fruits and vegetables ;
192 store units for marketing meats ; 40 store units for handling poultry ,
eggs and related products ; and a produce auction building all of
-
which will be provided with two parallel tracks at the rear for direct
unloading of rail receipts into stores . An additional two - rail track
will be provided in front of the auction building . One hundred farmers '
and truckers ' sheds , a network of streets , restaurants and service sta
tions, as well as 2,500 parking spaces are included in the 170 acre lay
out .
The site , as big as the playing areas of 137 football fields , will
be surprisingly close to the population center of the metropolitan area .
One USDA proposal making possible such a spacious area is the suggestion
to extend the chosen South Bay site into the not - too - useful Port Point
Channel . Filling this waterway would provide the most feasible through
way for a proposed super highway to ease the movement of traffic through
Boston .
The fact that such overall aspects have been taken into considera
tion in the Department's planning is no accident . At the request of the
September 1950 3
majority of all local trade and farm organizations , and the Commonwealth
Market Authority , the marketing specialists and engineers of the Market
ing and Facilities Research Branch have studied all sides of the situa
tion in order to draft plans for the best possible market . This work has
been done under authority of the Research and Marketing Act of 1946 .
STATION
SOUTH
Recommended to serve Boston, the 170 -acre produce market lay -out bounded by
Southhampton Street , tracks of the New York , New Haven , and Hartford Railroad ,
Dorchester Avenue , and the proposed new express highway, lies in the South Bay
area about 1 mile southwest of the Boston Common . The suggested fill of Ft
Point Channel and the routing of the express highway over the channel rather
than the business district north of South Station would mean a tremendous finan
cial saving .
A Reason for Nostalgia
For years Boston's need for a different market has matched the pro
portions of the proposed market facility . Decade after decade the util
ity of the present market center has been cut down by a triple squeeze :
the greater demands of a growing population , the restrictions of almost
unparalleled traffic congestion , and the expansion of other businesses
crowding up around it. From the practical standpoint there will be few
mourners at the departure of establishments whose first proprietors could
well have sold their wares to the agents of the King . There is another
viewpoint, however , the real and painful nostalgia which must accompany
the movement of merchants from the historic Faneuil Hall area to a new
location.
Conservative estimates of the savings that will be made possible

by the new market range close to 4 million dollars annually , over and
above the cost of market amortization and operation which is figured at
$ 1,467,625 . This saving will be realized by reduced cartage , shortened
hours of market operation , reduced loss from deterioration and spoilage ,
eliminated trips to two or more market areas by buyers , and reduced
traffic congestion in the market area . Other savings which cannot be
measured would be shared by farmers and others operating in the area ,
as well as by the City of Boston .
***
STATUS OF CCC PRICE - SUPPORT PROGRAM AS OF JUNE 30 , 1950
Ralph S. Trigg , president of the Commodity Credit Corporation , U.S.

Department of Agriculture , recently reported that $3,538,125,000 was in
vested in CCC price- support program loans and inventories as of June 30 ,
1950, the end of the fiscal year , and that the Corporation sustained a
net realized loss of $249,230,000 in carrying out this program during
the fiscal year . ( The net realized loss on the CCC price- support pro
gram for the fiscal year ended June 30 , 1949 , was $254,000,000. )
Price-support operations in four commodities accounted for the bulk
of the loan total . These commodities , the quantities of collateral
pledged , and the loans outstanding , were as follows :
Corn 413,617,991 bu. $558,125,192
Tobacco 311,133,828 lbs . 125,522,453
Cotton 833,218 bales 121,037,810
Wheat 33,541,304 bu. 65,115,226
Other XXXX 44,388,883
Total XXXX $ 914,189,564
Included under " Other " above were loans on flaxseed , peanuts , soy
beans , lespedeza seed , potatoes , barley, dry edible beans and peas ,
grain sorghum , oats , rice , rye , American -Egyptian cotton , and cottonseed .
In this group , the largest amo unt of
amount loans on any one commodity was
$ 9,150,135 on barley.
Items in the inventory of the CCC as of June 30 , the quantities in
volved and the cost were as follows :
Wheat 327,654,159 bu . $ 760,444,401
Cotton 3,413,635 bales 580,236,924
Corn 332,459,548 bu . 505,864,068
Linseed oil 471,667,163 lbs . 134,845,843
Grain Sorghum 41,274,224 cwt . 104,699,277
Dried Eggs 93,918,525 lbs . 103,290,366
Butter 161,649,213 lbs . 99,452,285
Dry Edible Beans 9,687,102 cwt . 79,689,881
Flaxseed 13,373,583 bu . 69,766,981
Barley 31,497,215 bu . 46,434,104
Dried Milk 362,931,819 lbs . 45,718,460
Rosin 384,685,817 lbs . 29,119,720
Other XXX 64,373,093
Total XXX $ 2,623,935,403
September 1950 5
How To Sell a Chicken
By Miriam White
A few months from

now retailers will meet
in several cities to
see demonstrated the
latest and most effi
cient methods of mer
chandising poultry and
eggs .
These will be the

first classes conduct
ed under a new USDA
training program to
acquaint retailers and
their employees with
recommended methods of
handling poultry prod
ucts in an effort to
minimize waste and in
crease salability .
In recent years
many improvements have Customers will be won by a store's atmosphere
been developed in grad as well as by its merchandise .
ing , packaging , storing , and transporting , in order to supply consumers
with higher quality poultry products at minimum cost . Both government
and private agencies have recognized , however , that the benefits to be
gained from well-packaged , uniformly graded , high quality products can
largely be nullified by inefficient merchandising practices at the retail
level .
Retailers Will Have a Busy Day
To promote more widespread knowledge and use of improved merchandis

ing techniques , the Department of Agriculture has recently contracted
with the Poultry and Egg National Board of Chicago to conduct training
classes for retailers and their employees . Under the contract , trained
instructors will demonstrate with actual poultry products recommended
methods of preparing , displaying , and caring for poultry and eggs to pre
vent deterioration and increase consumer satisfaction . The intensive
one-day courses will also include instruction in buying -- recommended
rates of turn - over , volume and frequency of purchases--as well as methods
of pricing and record -keeping .
6
Perhaps just as important will be the tips on sales psychology-
stressed by instructors chosen for their ability to " sell" good ideas to
retailers . There is evidence that certain principles cannot be empha
sized too often : that customers will be won by a store's atmosphere as
well as its products ; that some articles must be handled carefully , al
most tenderly , before prospective owners ; and finally , that there is no
substitute for courtesy and personal concern in customer contacts . Be
cause a recognition of these attitudes is an essential to successful
merchandising they will be blended into the course , Classes will be open
without cost to retailers and their employees in major cities .
The work , which will be done with Research and Marketing Act funds ,
will be under the supervision of the Poultry Branch of the Production
and Marketing Administration . Before and after training sessions , the
Poultry Branch will make studies in stores where the trainees are em
ployed , to determine the extent recommended techniques are adopted and
to appraise their effectiveness in reducing costs and deterioration and
increasing sales . The program is of an experimental nature and is ex
pected to serve as a basis for expanded training activities to be carried
on by state agencies and the poultry trade ,
Has a Successful Sequel
The new training program is the second of its kind to be conducted

under authority of the Research and Marketing Act . A similar program
for retailers of fresh fruits and vegetables was initiated by PMA in
1947 . The results have been very favorable . In some areas wholesalers
soon took over the training activities , and government aid was no longer
needed . As a result of the training the reporting retailers had reno
vated or were remodeling their produce departments in a large number of
cases . The changes ranged from minor improvements to remodeling of the
entire store . ( For detailed report , write to Information Branch , PMA ,
for " Retailer Training in the Merchandising of Fresh Fruits and Vege
tables , " October 1949 or see MARKETING ACTIVITIES , October 1948 , and De
cember 1949. )
The training in poultry merchandising will be carried on with the
cooperation of wholesale distributors , trade associations , and other
groups and with the advisory assistance of State agricultural colleges ,
experiment stations , and extension services . Wholesalers or other local
sponsors desiring to make the course available to retailers in their area
may apply to the Poultry and Egg National Board . Sponsors must arrange
for meeting places , furnish poultry products to be used in the demon
strations , and provide other needed facilities . Retailers wishing to
attend the courses should submit their applications to the local sponsors .
The classes will be conducted by personnel of the Poultry and Egg Na
tional Board ,
The contractor is now in the process of preparing a manual to be

used in conducting the classes . As soon as the manual and other pre
liminary work are completed , it is planned that instructors -- in most
cases two-man teams --will begin conducting classes in various sections
of the country . First classes are expected to be held in November or
early December .
Marketing Activities 7
Heat Treatment Keeps Eggs Fresh
By Harry E. Goresiine
You're wrong if you think that the only time an egg ought to be
heated is when it is cooked or incubated . For over a century it has been
known that a certain heat process would preserve an egg's freshness . A
recently tested variation of this process called " Thermostabilization "
indicates that it has definite commercial possibilities .
Actually, thermostabilization is simpler than it sounds . It means
that a substance , in this case , an egg , is subjected to moderate , con
trolled heat SO
enough to bring about a slight physical, but no chemical
change . The result is an egg resistant to the normal deteriorative
changes which occur in storage .
A Twenty - Second Egg

Early accounts of the process reveal a number of variations in the
application of heat . Records over 100 years old tell of preserving eggs
by " dipping them for twenty seconds in boiling water , and then keeping
them well dried in finely sifted ashes . " Other sources of the same
period refer to a repetition of the momentary hot bath several times ,
after which " the eggs were placed, small end down , in bran , salt or
oats , " This , it was noted, kept them " perfectly fresh and good . "
By extending the time and lowering the temperature , Professor E. M.
Funk of the University of Missouri developed the basic process tested in
recent studies by the U. S. Department of Agriculture . This work has
been performed under authority of the Research and Marketing Act of 1946 .
In these experiments a heated , flowing film of oil was used , after which
the eggs were placed in normal cold storage . There have been other
refinements such as oil temperature control to within 1° F. of a constant ,
and precise measurement of exposure to this heat . The substitution of oil
for water was a logical move , since oil- treating of shell eggs is commonly
practiced to preserve quality and improve appearance , and both operations
could be carried out at once at little added cost . Results of the work
were reported at the 1950 annual meeting of the Institute of Food Tech
nologists .
Impressive Savings Apparent

On the basis of tests involving about 400 cases of eggs , considerable
savings appear possible in terms of both dollars for egg processors and
quality for consumers . While savings were indicated in a number of ways ,
perhaps the most positive evidence appeared in measuring the quality loss
in storage in terms of U.S. Grade . These tests were performed with eggs
which were uniformly U.S. Grade A at the outset . Some received no treat
ment , others were oil processed , and a third group was thermostabilized
for 16 minutes at various temperatures ranging from 130° F. to 139° F.
The results for thermostabilization show a range of 46.7 % to 62.5% Grade
A eggs remaining after 8 months storage with an average , for all tempera
tures of stabilization, of 54.9% . By contrast, the untreated eggs had a
retention of 1.7% Grade A after 8 months , while the oil processed eggs
showed 42.2% Grade A after storage of the same duration ,
In these tests , the quality of " naturals " declined rapidly and oil
processing markedly retarded this decline , While a lack of consistency
in results was noted for eggs stabilized at 134° F. and stored for 5
months , the over - all results showed that stabilized eggs retained quality
to a higher degree than oil-processed eggs . Quality loss in untreated
eggs was strikingly greater than that for those oil - processed or stabil
ized.
Checked Thinning of Egg White
The reduction of quality loss , translated into phyşical changes with

in the eggs , has meant that stabilization prevented the normal deteriora
tive thinning of egg white during storage . Thermostabilization increased
the albumen index , and it remained higher during all storage periods than
the indices of " natural" and " oiled " eggs . Finally, there was consider
ably less moisture or weight loss in the thermostabilized eggs than in
untreated eggs .
Further studies of the process to be completed in December will help

to determine the status of stabilization in commercial egg marketing .
Established thus far are the low cost and the speed with which the process
can be performed -- in addition to the real promise offered on the basis
of the first round of substantial testing .
Fuller reports will be made available later, both on the completed

studies and the work under way . These will be released by the Production
and Marketing Administration of the U. S. Department of Agriculture,
BUTTER PURCHASES TAPERING OFF
Price - support holdings of butter may be nearing their peak for 1950 ,
according to recent indications pointed out by Dairy Branch officials ,
Weekly purchases of butter which were running well over 10 million pounds
in June dropped to about 1 million pounds weekly in mid -August. In addi
tion , sales of butter to the trade during the week ending August 19 to
taled 944,512 pounds. In view of the smaller purchases and signs of re
sale activity to the trade , officials believe that the butter inventory ,
which stood at 191 million pounds as of August 19 , may go little higher
than 200 million pounds this year . Purchases in 1950 totaled 125 mil
lion pounds as of August 19 compared with total purchases in 1949 of 114
million pounds ,
September 1950 9
Locker Plants Serve Home Freezers
By James A. Mixon
There's good evidence that frozen food locker plants have turned the
home freezer threat into an opportunity for sound and continued service ,
Instead of allowing themselves to be literally frozen out of their busi
ness , many locker plant operators have wisely supported the consumer buy
ing practice that has put two million freezer storage units in American .
homes .
Naturally the development has brought about major modifications in

their business . Today not many locker plants are operated successfully
as " just places where lockers are available for rent . " Instead , operators
have become aggressive merchandisers who tie in their facilities and
service with the family use of home freezers . Carrying this service
further , many locker plants are obtaining additional revenue by becoming
important outlets for commercially frozen foods and bulk lots of meat
for freezing and packaging . Finally , large numbers of them have taken
the lead in retailing the home freezer units themselves ,
End Result is More Business
Theend result of such an approach , say some locker operators , is

increased business . They point out that they encourage their customers
to rent locker boxes for long - term storage and use their home freezers
as dispensing cabinets for immediate use . To make this economically ap
pealing operators sell meats to customers at near wholesale prices , and
commercially frozen foods in quantity at a discount .
Increased Outlet for Farm Products
Bearing out this home - freezer and locker relationship are the re
sults of a State-wide study recently completed in Arizona , made under
authority of the Research and Marketing Act by the U. S. Department of
Agriculture , in cooperation with the State University . Through PMA'S
Marketing and Facilities Research Branch , the Department is attempting to
find ways in which locker plant facilities and services can be made more
useful to families equipped with home freezers . Another objective is to
develop information that will be helpful to commercial frozen - food packers
and distributors in their efforts to make merchandise available for home
freezer owners . Also it is hoped that much of the information will be of
value to distributors of home freezers in determining the type of freezer
that is best adapted to individual family requirements . Such improvements
in a new and rapidly developing marketing system are expected to provide
consumers with more of the kinds of food they want, thereby broadening the
outlet for farm products ,
The report , " The Relation Between Locker Plants and Home Freezers in
the Distribution of Frozen Foods in Arizona , " Part I of which is now
facts about
available , contains interesting facts the use
about the use of
of home freezers .
For example , the survey shows that 23 percent of those who previously
had not used lockers acquired locker space after buying home units . About
one-half of the locker renters cancelled their lockers when they bought
home freezers and some of them later re-rented . The study revealed that
freezer owners who also rented locker space used the locker for bulk
storage for quantity purchases , and used home freezers to hold assorted
foods to meet short - time needs .
About three - fifths of the home freezer owners contacted in the Ari
zona study depend on locker plants for various processing services whether
they rent locker space or not . These services include cutting , wrapping ,
Percent of families
1. Source o 20 40 80
Locker plant 52
Raise own 22
Grocery store 16
Packing plant 10
2. Source
Locker plant $42

Grocery store 35
Both ( of above ) 13
Other 3
Buy none 7
Locker plants have become important sources of food for home

freezer units. Above : ( 1 ) Primary source of meat alone; and (2 ) com
mercially frozen food ( vegetables, fruits , prepackaged meats , fish ,
and specialty items), by families having home freezers.
September 1950 ‫גג‬
and freezing meat items ; slaughtering , sausage making , curing and smoking,
poultry processing , and freezing of fruits and vegetables .
Although no measurement was taken of the total effect of home units
on Arizona locker plants , there was a strong indication that operators in
the Phoenix area had increased their business considerably by catering to
the 3500 home freezer owners in the area . According to the study , some
Arizona locker plants sold large amounts of meat and commercially frozen
foods to home freezer owners by offering near wholesale prices on quantity
purchases.
Economical Sources of Supply Necessary
The importance of having economical sources of freezer supplies was

evident among families who appeared to be making very good use of their
units . The freezing of locally grown produce and meat animals as well as
home - cooked foods provided an economical means of obtaining frozen foods ,
An additional economy reported was that of supplementing the local pro
ducts with commercially frozen foods from locker plants or from retailers
who featured bulk quantities at volume discounts or periodic bargain
prices , such as weekly " specials. "
homemakers interviewed emphasized the freezer's
Nearly all of the
value as a time saver in shopping and as a convenience in meal preparation .
Others enjoyed the greater variety of food items at hand to choose from
as well as the opportunity to plan meals earlier than otherwise would be
possible . Most of the families were satisfied with home freezers . The
degree of satisfaction frequently depended on their knowledge of how to
use them and the availability of economical sources of food supplies .
TESTED AND FOUND TASTY
food standby - smoked beans - has been de

A new flavor for an old
veloped by food technologists of the University of California at Berkeley .
Dr. W. V. Cruess , professor of food technology of the University , re
cently announced that the new treatment of the old product had been tasted
and found good.
Oak shavings and oak sawdust, or spent , dried tanbark were said to
be the best sources of smoke . In two hours , beans that have first been
soaked and short-cooked acquire the proper flavor . The beans are then
ready to be cooked and served . Either red or white navy beans may be
used .
Franks and Smoked Beans ?
Tomato sauce , sliced onions , or a little garlic were suggested to

improve the taste , The smoked beans lend themselves readily to canning ,
dehydration and freezing , with the former process found to be the most
practical , from the commercial production standpoint. It is felt that
the product might find favor for Army and Navy use .
12. Marketing Activities
Needed : Small Refrigerating Units
By Paul Mehl
Losses estimated at close

to twenty million dollars annu
ally are resulting from deteri
oration of eggs handled by
country buying stations in the
North Central States , it has
been revealed by a study made
by the U. S. Department of Ag
riculture and State experiment
stations in that area .
The loss , due to lack of

adequate cooler storage in the
country egg buying stations ,
points out a large potential
EGGS
market for small refrigerating
units , relatively inexpensive
in price , and designed to meet
handlers ' needs .
The Department's study ,

undertaken with funds made avail
able under the Research and Mar
keting Act of 1946 , supplemented
with funds from other sources ,
brought to light that only 10 Pickup for a country buying station
percent of the country stations . - which may well be a creamery or a
visited in the 12 North Central general store .
States reported having refrigerated coolers . In the central area , Illi
nois , Iowa , Minnesota , Missouri, and Wisconsin , the figure was as low as
7 percent . In the western area , Kansas , Nebraska , North Dakota , and
South Dakota , it was ll percent ,. In the eastern area, Michigan , Ohio ,
and Indiana , it was 10 percent .
Most Stations Are Retailers
Over 900 buying stations

in the North Central States were visited
by representatives agricultural experiment stations and the
of State
U. S. Department of Agriculture in connection with the study . These buy
ing stations might be country retail grocery stores and meat markets ,
feed dealers , local produce houses or country cream stations . The major
ity , or two- thirds , of them were retail stores and produce houses . They
September 1950 13
purchase eggs delivered by producers and in turn sell them to central
assembling plants which grade and pack the eggs for shipment to consum
ing centers .
The, operations of the 900 or more buying stations covered in the

study are representative of the thousands of others who are engaged in
the same line of business . Their serious lack of adequate refrigeration
serves , in turn , to discourage the installation of mechanical refrigera
tion at the farm . This problem , discussed currently in NEWS FOR FARM CO
OPERATIVES ( September , p . 18 ) , is being attacked in other States . In
California , for example , one producer , co - op has set up temperature con
trolled egg displays in stores to keep pace with the high incidence of
refrigerated storage at the farms of its members .
Volume Varies by Season and Area
The quantity of eggs handled per buying station varies for different
areas in the North Central States , it was found . In the Eastern Area the
purchases per plant in 1947 , for example, were 10,000 cases whereas in
the Central Area they were about 6,000 cases and in the Western Area a
little over 3,000 cases . Due to the seasonal variation in the production
of eggs the quantity of eggs handled by the local buying station also
varies considerably during the different months of the year . It was es
timated , on the basis of each station's operations in 1947 and the sea
sonal changes in egg production in the North Central States , that during
the spring of that year about 41 percent of the country stations bought
less than 48 cases of eggs per week or 8 cases per day .
During the summer when egg production showed a seasonal decline the
percentage coming within that limit was 53 percent , as more of the buying
stations had a smaller volume of purchases . In the fall it was 62 per
cent ; which shows that a large percentage of the country buying stations
handle relatively small quantities of eggs .
Pickups Once or Twice Weekly

The eggs purchased by country buying stations are generally held at
room temperature in a general storeroom or in the main floor in the buy
ing station . The eggs purchased by the buying stations are for the most
part sold to central assemblers or transferred to affiliated plants who
assemble the eggs in large lots for shipment to consuming centers . Most
assembling plants pick up the eggs from the country buying stations once
or twice a week . In the meantime the eggs purchased are to a large ex
tent held without refrigeration , thus permitting deterioration in the in
terior quality of the eggs . During the spring and summer of 1948 the de
terioration resulted in a 10 percent decrease in the average percentage
of top grade or A quality eggs . In the fall months the decline was only
5 percent . These percentages pertain only to the decline in the interi
or quality of the egg . It did not cover any breakage of eggs that took
place ,
The longer the eggs were held at the country buying station the
greater was the extent of the quality decline . When the eggs were held
only one day at the buying station during the spring the average decline
in interior quality was 8 points or that is , 8 eggs in every 100 test
ed dropped one grade . When held 2 days it was ll points and more than 2
days , 14 points . During the summer months the decline was 8 , 13 and 18
points . In the fall it was 4 , 7 and 8 points respectively. These fig
ures show how rapid deterioration might take place when eggs are not held
under properly cooled conditions .
Refrigerating Equipment Key to Savings
It is estimated that due to quality deterioration the average loss

in value of the eggs from the time they were purchased by the country
buying stations and delivered to the central assembling plants could be
estimated at nearly 8 cents per 100 eggs or $28.30 per 100 cases in terms
of 1948 egg prices . Considering the large quantity of eggs sold off farms
in the North Central States , around 69 million cases in 1947 , any large
savings made in deterioration in quality would have a substantial mone
tary value . On the basis of these figures , it can be seen that the po
tential savings , or
loss in value under
present handling prac
tices , could reach a
maximum of over $ 19 ,
500,000 annually . This
loss cannot be reduced
until the country buy
ing stations have ade
quate facilities for
properly taking care
of eggs .
Using the figures

on the number of cases
of eggs handled , and
assuming that eggs are
picked up twice a week
by the central assemb
ler , the average capa
city of a country buy
ing station cooling
room should be at least
214 cases of eggs . For
the individual stations Ingenious as it may be , this fan
the size of the room radiator - icewater combination falls
would vary according short of supplying adequate refrigeratia .
to the quantity of eggs held by them until picked up by the assembler .
Because of the seasonal variation in the quantity of eggs handled and
the comparatively low margin at which eggs are handled at the country
point , the price of the cooling facilities must be such as to justify
any investment made in refrigerating equipment .
The manufacturers of refrigerating equipment could render a service
to the country buying stations by having their engineers design plans
for an efficient cooling room of different capacities which could be con
September 1950 15
structed by local contractors at a moderate price . The manufacturer
would then supply the refrigerating equipment necessary to maintain the
proper temperature and humidity necessary for proper egg storage .
The Poultry Branch of PMA is willing to discuss this subject with
any manufacturers interested in entering this neglected field . Those
interested in obtaining further details and determining for themselves
the extent to which the potential market exists may obtain copies of the
following reports : " Operations of Country Buying Stations in Relation to
Egg Quality , " and " Operations of Central Assembling Plants in Relation to
Egg Quality . "
CORN HYBRID PLANTINGS MAINTAINED
Over three - fourths of the total corn acreage in the United States
this year was planted with hybrid seed, according to a Bureau of Agri
cultural Economics survey .
Acreage planted with hybrid seed this year totaled 65,000,000 or

77.1 percent of the total 1950 corn acreage , as compared with 77.6 per
cent of total acreage planted with hybrid seed last year , This decrease
of about 3.4 million acres of hybrid seeding reflects the reduction in
corn acreage in commercial areas where hybrids are used almost exclusive
ly and where acreage allotments are in effect this year .
Since 1933 , when only 0.1 percent of the total corn acreage was
planted with hybrids , use of this type seed has constantly increased ,
By 1940 almost a third of the total domestic corn acreage was planted
with hybrid seed . The half -way mark was passed in 1943 and the three
quarters pole dropped behind in 1948 .
In the important producing North Central States , hybrids are now be

ing grown on over 94 percent of the corn acreage . In the heart of the Corn
Belt Ohio , Indiana , Illinois , and Iowa they are used for practically
all acreage . States bordering the Corn Belt continue to expand the use
of hybrids , but the largest relative increases are taking place in the
Southeastern States . Substantial increases in this area seem probable
for the next several years .
BARTER FOR CRITICAL MATERIALS
Approximately 4,000 bales of cotton, 215,000 bushels of corn and

19,000 metric tons of grain sorghums have recently been bartered for
strategic and critical materials which will be transferred to the na
tional stockpile . The transactions covering CCC - owned stocks were made
by the Government through private trading firms under the Agricultural
Act of 1949. The commodities must be exported. In accordance with es
tablished policy, the type and quantity of strategic and critical mater
ial acquired are not disclosed ,
A Turkey for Every Household
There's going to be at least one turkey for every household this
year ! Fattening on the ranges is an all - time record crop of 4,550,000
turkeys -- 6 percent more than last year and 1 percent above the previous
peak production of 1945. These figures are taken
from the late - August turkey report of the Bureau
of Agricultural Economics ,
In every region except the West turkey num

bers have risen over last year--up by regions as
much as 18 percent for the South Atlantic States ,
and state -wise as much as the 73 percent recorded
for Arkansas . Western States , however , balance
out in the red 7 percent under last year's crop .
Responsible for the increases , say poultry

analysts , are extra expansion on the part of large
producers who offset the cutbacks of " fly - by
nighters , " an abundance of cheaper poults , slightly The Beltsville
lower feed prices during the hatching season and White -- now more
a sustained firmness in the market for turkey
meat . Increasing popularity of the Beltsville popular than ever .
White , a smaller family - sized bird developed by USDA is also a factor .
Total production of turkey meat is expected to be at a record level with
a separate trend toward large , broad -breasted birds for half- and boned
turkeys, roasts and steaks more than compensating for the trend toward
the smaller - bodied birds .
Consumers Getting the Early Bird
While actual marketings of the 1950 turkey crop will depend to a

considerable extent upon later developments , turkey producers expect to
continue the move toward earlier marketing . If growers ' intentions hold ,
65 percent will be marketed before the end of November , 28 percent in
December with 7 percent moving in January or later . Period by period,
these percentages compare with 62 , 29 and 10 percent for a year earlier ,
More Turkey for More People

Although the net - cut - of storage movement of turkeys from February 1
to August l amounted to a record total of 91 million pounds , the poten
tial supply of turkey meat as of August 1 is still the largest of record .
Available stocks of turkeys on August 1 totaled about 40 million pounds
compared with 21 million a year ago . Waiting for this supply is the
September 1950 17
largest consuming population in the Nation's history , fortified with a
record purchasing power and a great deal of recent know -how in turkey
preparation . It all adds up to record turkey consumption ,
WE'VE GOT THE FOOD
" We have never been so well prepared as now in terms of food supplies
and capacity to produce food . "
This statement , made recently by Secretary of Agriculture Charles F.
Brannan , should be reassuring to many who have doubted our ability to
provide the volume of food necessary to meet crisis needs .
evaluation
The Secretary's evaluatio our position is based on facts and
of our
n of
figures as they stand, and upon the promise of a sound and strengthening
American Agriculture ,
Government reserves of corn and wheat as of June 1950, compared with

those on hand in June 1941 , are 78 percent greater . This year, prospects
are excellent for a farm output surpassed only by the tremendous produc
tion of the war years . Measured by pre -war standards, total farm output
is more than a third greater . Most important , our potential productive
capacity, transformed by technology , has expanded in every respect : in
surer , greater yields and more efficient production , in producing and
marketing higher quality products , and in our ability to conserve and to
improve our rich and abundant soil .
All of agriculture can be proud of these achievements : The research
which has developed new hybrids , more fruitful disease - resistant plant
varieties , improved insect and weed killers , and the most efficient use
of fertilizers . The breeding which has improved our livestock and poultry
strains , the engineering which has streamlined and modernized the han
dling and traffic of our production , and the foresight which has made
electrification and mechanization the twin giants of efficient produc
tion .
MORE CRIBS NEEDED
It's time to check those corn cribs again or build new ones if too
little space is available . While many farmers have constructed extra
cribs since the end of World War II , there is evidence that some pro
ducers will be caught short .
Two publications: " Storage of Ear Corn on the Farm" ( FB - 2010 ) and
" Storage of Small Grains and Shelled Corn on the Farm " ( FB - 2009) are good
guides for those who need to build . The publications also contain more
general information pertaining to good grain storage . Copies are avail
able upon request to the Information Branch , Production and Marketing
Administration , United States Department of Agriculture, Wash , 25 , D. C.
Marketing Briefs
( The Production and Marketing Administration announcements sum
marized below are more completely covered in press releases
which may be obtained on request from the Office of Information ,
U. S. Department of Agriculture , Washington 25 , D. C. by citing
the code number given at the end of each item. )
Cotton .-- Loan rates for cotton produced in 1950 , averaging 27.90
cents per pound for Middling 7/8 inch upland cotton , gross weight , have
been announced . rate is 90 percent of the August 1 , 1950 parity
The
price of 31 cents per pound and compares with an average loan rate for
the same grade last year of 27.23 cents per pound . Average rate for
Middling 15/16 inch cotton will be 155 points ( 1.55 cents per pound )
above the average rate for Middling 7/8 inch cotton , or 29.45 cents per
pound , gross weight . Premiums and discounts for the various grades and
staple length combinations under the 1950 loan program will be calcu
lated in relation to the loan rate on Middling 15/16 inch cotton . Loan
rates will vary according to location . The rate for Middling 15/16 inch
cotton , gross weight , will vary from a high of 30.23 cents per pound in
the concentrated mill area of the Carolinas to a low of 28.68 cents per
pound in Arizona and California . ( USDA 1838-50 )
mar
Dairy .--Minimum farm milk prices in the Minneapolis - St . Paul
ket have been reduced to more accurately reflect yields and costs in the
processing of manufactured dairy products . Under the amended Federal
order regulating the handling of milk in the marketing area , the price
differential for Class I milk has been reduced by 15 cents per hundred
weight from August 16 through November and the minimum price for Class
II milk has been reduced 6 cents per hundredweight . The change follows
a previously announced decision of the Department which was approved by
more than two- thirds of the dairy farmers regularly supplying the market .
( USDA 1994-50 )
Fats and Oils.-- Support prices for 1950 - crop farmers stock quota
PEANUTS , based upon 90 percent of parity , have been announced . The
prices, which provide a basic support level of 10.8 cents per pound or
about $ 216.00 per ton , apply to farmers stock quota peanuts which are
eligible for price support under the 1950 - crop marketing quota program .
To be eligible the producer must not harvest peanuts in excess of the
1947 picked and threshed acreage for his farm . The base grade support
prices per ton of quota peanuts containing less than 2 percent damage
and less than 4 percent foreign material are : $ 214 for Spanish and Valen
cias east of the Mississippi River , $ 209 for Spanish and Valencias west
207 for Virginias , and $ 190 for Runners ,
of the Mississippi River , $$207
Base grade 1950 support prices are for peanuts having a sound mature
September 1950 19
kernel content of 69 percent in Runners, 65 percent in Virginias with
not over 15 percent extra large peanuts , and 70 percent in Spanish and
Valencias . Premiums and discounts this year are similar to those appli
cable to the 1949 crop . ( USDA 1964-50 )
Fruits and Vegetables .-- The Department has announced that it con
templates purchasing of canned TOMATO PASTE and canned TOMATOES of the
1950 pack , Offers will be received not later than 5:00 p.m. EDT Septem
ber 15 for canned 1950 pack tomatoes meeting at least requirements of
U. S. Grade C (Standard ), packed in No. 2 , 2 1/2 or 10 size cans , for
delivery during the period October 9 through November 30. ( USDA 2057-50 )
... Offers will be received not later than 5:00 p.m. EDT, September 22, for
canned tomato paste of the 1950 pack in No. 10 size cans, for delivery
during the period October 16 through November 30 . (USDA 2081-50 ) ...Both
products are to be purchased with National School Lunch Act funds for
distribution in that program ,
Purchase of 434,400 cases of canned sour CHERRIES in order to as

sist in stabilizing the price of the fresh fruit to growers , has been
announced by the Department . Purchases were made in Michigan , New York ,
and Pennsylvania, at an average price of $4.13 per case , without dis
counts . The canned cherries are to be distributed for use in eligible
domestic outlets . ( USDA 1979-50 ) ...New proposed U.S. Consumer Standards
for fresh APPLES and proposed revision of present U. S. Standards for
fresh apples ( wholesale ) have been announced . ( USDA 1911-50 )...Revised
U. S. Standards for grades of canned APPLE SAUCE , scheduled for publica
tion in the Federal Register August 18 , 1950 , will become effective 30
days after such publication , it has been announced by the Department.
(USDA 2024-50 )
USDA has announced an amendment of the terms of the ORANGE Export

Program providing that all " Notices of Intention to File Claim Under
Orange Export Program QMX 7a " filed on or after August 16 , 1950, must be
approved in writing by a representative of the Secretary of Agriculture
before the export sale will become eligible for payment under the pro
gram . Approvals will be granted in the order in which such notices are
received only as long as funds authorized are available . (USDA 2005-50)
...Revised grade standards for frozen concentrated ORANGE JUICE , scheduled
for publication in the Federal Register August 23 , 1950 , will become
effective 30 days after such publication , the Department has announced .
( USDA 2054-50 )
Discontinuance of the dried PRUNE export payment program as of mid

night , EDT, August 10, 1950 , has been announced . Sales for export after
that date will not be eligible for payments under the program . RAISIN
export payments were terminated as of July 31. Both actions were taken
due to changes in the price and supply situation of these commodities ,
No export payment program for dried fruits is contemplated for 1950 , the
Department said . ( USDA 1885-50 ) ...Handlers have been notified that they
will be free to market in any available outlet all standard quality dried
prunes produced in California in 1950 , since a salable percentage of 100
and a surplus percentage of O have been established under the Federal
marketing order and agreement regulating the handling of dried prunes
produced in that State . Salable and surplus percentages established for
dried prunes for the 1949-50 marketing season ( the first year of opera
tion of the program ) were 75 and 25 , respectively . The regulatory pro
visions of the program , providing for quality control of dried prunes ,
remain in effect unchanged . ( USDA 2028-50 )
An ALMOND marketing agreement and order , regulating the handling of
that nut crop grown in California , has been issued , effective August 4 ,
1950 . The marketing order was favored by about 98 percent of almond
growers who voted in a referendum held during July . About 52 percent of
the California almond growers , who produced about 70 percent of the 1949
crop participated in the referendum , Handlers of 84 percent of the al
monds produced in 1949 have signed the marketing agreement . Under the
program , the marke table supply of almonds will be adjusted to demand each
season in which a surplus occurs by establishing salable and surplus per
centages applicable to each handler's receipts , on an edible kernel weight
basis . Surplus almonds will be inspected by the Federal - State Inspection
Service to determine the edible kernel weight , and will be diverted from
normal domestic trade channels . The disposal of surplus almonds will be
controlled by the Almond Control Board, but handlers who apply before de
livering surpluses to the Board in any crop year will be authorized to
act as the Board's agents in disposing of their own surpluses . (USDA
1848–50 )
Grain .-- Corn put under price - support from the 1949 crop was consid
erably less than that coming under the program the previous year. Through
June 1950, farmers had put 385,263,697 bushels of 1949 - crop corn under
Commodity Credit Corporation price support as compared with approximate
ly 555,638,507 bushels of 1949 -crop corn put under support through the
same month last year . of the total corn put under the price support pro
gram from the 1949 crop , 325,019,244 bushels went under farm storage
loans , 2,537,740 bushels under warehouse loans and 57,706,713 bushels
under purchase agreements . The amount under loan (farm and warehouse )
through June 1950 totaled 327,556,984 bushels compared with 351,776,052
bushels through June 1949. The amount under purchase agreement through
June this year was substantially less than last year's final figure of
203,862,455 bushels . ( USDA 1876-50 ) ...Prior to the above announcement ,
the Department had called farmers ' attention to the fact that loans and
purchase agreements on 1949 - crop corn matured on July 31 , 1950 , but the
loans could be extended through July 1951 and the purchase agreements
could be converted into loans for the same period , under the Department's
resealing program . Previously it had been announced that 1948-crop corn
which had been resealed through July 1950 could be resealed for a sec
ond year through July 1951. ( USDA 1815-50 )
A 1951 price - support program for 1951 crop WHEAT , at a national

level of not less than $1.99 per bushel which is 90 percent of parity
and the same as the support price for the 1950 crop , has been announced .
Under existing law supports for field crops are made in advance of plant
ing and since winter wheat seeding for 1951 will soon be underway support
levels for that crop are announced well in advance of other 1951 crops .
September 1950 21
The Agricultural Act of 1949 makes price support mandatory for 1951 - crop
wheat at 80 to 90 percent of parity . The support was placed at the high
er figure to assure an abundant supply in accordance with the previously
announced national acreage allotment for the 1951 crop of 72.8 million
bushels . With average yields this allotment would produce an estimated
1,150 million bushels as compared with an estimated 1950 crop of 996
million bushels . The "not less than" $ 1.99 per bushel support level for
1951 is based on latest available parity information . If parity is high
er at the beginning of the 1951-52 marketing season , the support will be
increased to reflect 90 percent of parity at that time , but in no event
will the support level be less than a national average of $1.99 . In
making the announcement, Secretary of Agriculture Charles F. Brannan
said that " in view of the world situation it is imperative that our sup
ply of bread grains be maintained in strong position . Ample supplies
reasonable food prices to consumers
will be a major factor in assuring reasonable
and our ability to meet our international food obligations. We believe
the wheat production and price support programs have been developed to
protect the interests of both producers and consumers . ( USDA 2061-50 )
... State acreage allotments for the 1951 wheat crop were announced Aug
ust l , 1950 . ( USDA 1893-50-2)
Price support loan rates for 1950 - crop rough RICE at an average of
about $4.56 per hundredweight, as compared with $ 3.96 for the 1949 crop ,
have been announced . The 1950- crop support is the equivalent of about
$2.05 per bushel , as compared with $1.78 per bushel for the 1949 crop ,
and reflects higher 1950 parity levels . The loan rate is based upon 90
percent of the August 1 , 1950 parity price of $2.28 per bushel . Prices
are to be supported for producers complying with acreage allotments
through loans and purchase agreements in the States of Arizona , Arkansas,
California , Louisiana , Mississippi, and Texas , The price support loan
and purchase agreement rates for eligible rice will be in dollars and
cents per 100 pounds, computed on the basis of specified value factors
and yields of head and broken rice of the respective classes and varie
ties as determined by the milling tests used by the inspection service of
the Department in the respective areas . (USDA 1938-50 )
Sugar .-- An increase of 850,000 short tons , raw value , in the supply
of sugar that will be available in the continental United States under
1950 sugar quotas has been announced . Action was taken because of the
high distribution of sugar since July . It increases the supply available
for the year to 8,700,000 short tons, raw value , compared with 7,580,000
tons distributed in 1949 . The largest quantity ever distributed dames
tically in any year was 8,070,000 tons in 1941 when heavy buying for
stocks occurred throughout the year . ( USDA 2076-50 )... The quantity of
sugar charged against quotas during the period January - through July this
year was estimated at 4,855,007 short tons, raw value, as compared with
4,478,335 tons charged against quotas during the same period of 1949 .
( USDA 2007-50 ) ... Prices for 1950 - crop Florida SUGARCANE that must be
paid to producers by processors who apply for Sugar Act payments will be
on the same basis as for the 1949 crop, a basic price for standard sugar
cane of $ 1.10 per ton of cane for each l cent per pound of the price of
raw sugar . The was made following investigations
price determination
and a public hearing as required by the Sugar Act of 1948
1948.. ( USDA 2082
50 )
ABOUT MARKETING
The following publications , issued recently , may be obtained upon

Publications :
Domestic Wool Requirements and Sources of Supply . June 1950. 103 pp.
( PMA and Bureau of Agricultural Economics ) ( Processed )
Dairy and Poultry Market Statistics , 1949 . SB No. 87. May 1950 .
101 pp . ( PMA ) ( Processed )
Livestock Market News , Statistics and Related Data, 1949. SB No. 91 .

August 1950. 82 pp . ( PMA ) ( Printed )
Development of Scourable Sheep - Branding Fluids . June 1950. 10 pp .

(PMA ) ( Processed )
The Value of Scourable Sheep - Branding Fluid in Wool Manufacturing .
July 1950. 11 pp . ( PMA ) (Processed)
The Wholesale Produce Market at Norfolk , Va . June 1950. 64 pp .
The -Raleigh , N. C. Produce Markets . June 1950. 68 pp . ( PMA in
cooperation with North Carolina Agricultural Experiment Station and North
Carolina Dept. of Agriculture) (Processed)
East Texas Produce Markets and Plans for New Markets at Tyler and
Jacksonville , Tex . June 1950 ,
70 pp . ( PMA in cooperation with Texas
Agricultural Extension Service and Texas Agricultural Experiment Station)
( Processed )
Deliveries to Export Programs, as Invoiced , 1941 through 1949 by
Commodity , Destination and 6 -month Periods . May 1950 . 121 pp . ( PMA )
(Processed )
Loss and Damage in Rail Transportation of Watermelons in relation
to Variety of Melon , Type of Car , and Type of Protective Material . June
Fact Sheet on the New Cases , Flats, and Fillers for Eggs . July 1950 .
3 pp . ( PMA) (Processed )
Recommended Specifications for Standard Packages and Packs for Shell
Eggs . Revised August 1950. 39 pp . ( PMA ) ( Processed )
The relation between Locker Plants and Home Freezers in the Distri
bution of Frozen Foods in Arizona . June 1950. 58 pp . ( PMA ) ( Processed )
23
September 1950
Availability of Certain Fresh Fruits , Canned and Frozen Juices , and

1950 . 25 pp. ( PMA )
Dried Fruits in Retail Food Stores , May 1950. July 1950.
( Processed )
Regional Distribution and Types of Stores Where Consumers Buy Se
lected Fresh Fruits , Canned and Frozen Juices , and Dried Fruits -- January
March 1950, with Comparisons. June 1950. 50 pp . ( PMA and BAE ) (Proc
essed )
The Market Information Needed on Frozen Foods . June 1950. 41 pp ..
( PMA) ( Processed )
Juices , and Dried Fruits in June 1950. July 1950 . ( PMA and BAE ) 4 pp .
( Processed )
Annual Rail Carlot Shipments of California Fruits and Vegetables ,
1920-1949 . May 18 , 1950 . 6 PP • ( PMA--California Dept. of Agriculture
Cooperating ) ( Processed )
U. S. Standards for Blueberries for Processing, Effective Aug. 5,
1950 . July 10, 1950. 4 pp . ( PMA
PMA)) ( Processed )
U. S. Standards for Green Corn, Effective August 3 , 1950 . July 10 ,
U. S. Standards for Grades of frozen Corn - On - The - Cob Effective
August 7 , 1950 . June 30 , 1950. 7 pp . ( PMA ) (Processed )
U. S. Standards for Grades of Canned Grapefruit , Effective Aug. 7 ,
1950 . June 30 , 1950. 11 pp . ( PMA ) (Processed )
U. S. Standards for Grades of Frozen Okra , Effective Aug. 7 , 1950 .

June 30 , 1950. 8 pp . ( PMA
PMA ) ( Processed )
U. S. Standards for Grades of Frozen Broccoli , Effective Aug. 1 ,
1950 . June 28 , 1950. 9 pp . ( PMA ) ( Processed )
U. S. Standards for Grades of Canned Pineapple , Effective June 27 ,

1950 . June 22 , 1950 . 20 pp . ( PMA ) ( Processed)
alt *
ordering statements or publications. Check only the individual items you

:* *
malengden
desire .--Editor )
NAME
*
ADDRESS
CITY ZONE STATE
2 ‫با‬ Marketing Activities

US GOVERNMENT PRINTING OFFICE 0 105
October 1950
F O RD
N
STA LIBR
.
MARKETING
ACTIVITIES
Washington 25, D.C.
Agriculture - Washington
IN THIS ISSUE :
CHECK - OUT MADE EASY

By E. M. Harwell and Faul F. Shaffer . Page 3
Meet the Rapi - chek and the Simplex--two improved counter systems de
signed to ease busy-day bottlenecks in retail stores .
POTATOES AREN'T HARDWARE
By Malvin E. McGaha Page 7
Apparently it's about time to start a potato safety campaign .

CONSTRUCTION IN THE CORNBELT
By Charles E. Raeder . Page 10
Putting on the roof first and laying the floor last makes sense when
it applies to the erection of corn storage structures going up in the Mid
west , Mr. Raeder is Chief of PMA's Storage Expansion Program Division .
MARKETING BRIEFS . .
Page 13

Check -out Made Easy
By E. M. Harwell and Paul F. Shaffer
" Show me a customer who's

happy when she leaves the
checkout line on busy days
and I'll show you a customer
who'll soon be back . "
The retailer who made

that comment had more in mind
than a low total on the cash
register tape . He was con
vinced that a swift, effi
cient , accurate and cheerful
checkout goes a long way to
ward making a satisfied cus QUE
tomer .
This feeling has been

shared elsewhere . For the On off- peak days , the cashier
can ring up and bag the items while
past year the U. S. Depart the customer unloads the order on the
ment of Agriculture and cer conveyor belt .
tain industry groups have vig
orously but quietly conducted
a research project employing
industrial engineering tech
niques . The objective -- to
develop the best possible
check - out system . The work
has paid off and the result
ing innovations should help
erase the common but unpopular
busy day bottlenecks in re
tail stores . The research
responsible for the achieve
ment is part of the Depart
ment's search for more effi
cient and less costly ways of
marketing farm products , and
is financed under the Research
The Rapi -chek check-out counter- and Marketing Act of 1946 .
complete with conveyor belt , covered
"well " , change -maker and racks for The systems developed ,
bagged orders . the Rapi -chek , and the Sim
October 1950 Page 3

plex , are designed to combine , elimi
nate or simplify the time - consuming
details of checking out a retail order .
A public service patent has been applied al
for , and specifications of the systems sie
are now available to all grocers , chain
or independent . Some of the counters a
Ins
have already been installed in many of
the stores of a nation -wide chain which
cooperated in the research work .
Store Volume Affected S
For a long time it has been an ac

cepted fact in the retail industry that
a store's sales volume is directly af IC
fected by the rapidity with which cus
tomers are accurately serviced in the
checkout operation . During weekend
rush hours , when most self - service
stores do approximately 60 percent of Recessing the bag makes
their business ,
restricted customer it easier for the cashier to
turnover is the key limitation to great pack the items a le same
er business volume . The way customer time she rings up the sale ,
traffic moves in the store aisles , in
entrances , in checkout lanes , and in
adjacent parking lots determines the
amount of room available for the next
customer . And looking at it time- and
space-wise , that next customer just
isn't there until there's room for
her .
d
? Ans
Check-out Big Cost Item
A 8.23
Other retailers feel that an ef
ficient check-out system pays off in
different , equally important ways .
The operation itself accounts for more
than 20 percent of the total labor re
quirement in the average self - service
store and as such is a major expense .
Streamline the procedure , they say,
and you not only increase your dollar
volume by serving more consumers-- you
also cut down that burdensome per - unit
retailing labor cost .
Change is made with an
automatic change -maker--the The new equipment is readily a
same as at a movie box office .
In the drawer , bills are ar daptable to any size or type of retail
ranged for handy access . grocery store . Moreover , both are
easy and inexpensive to operate . The
Simplex is adaptable to stores where
customer traffic is maintained at a
comparatively even pace throughout the
week ; the Rapi- chek can be easily in
stalled by large volume retailers who ©
have peak periods , for its utility can
be increased during these rush hours
by adding 1 or 2 persons . NO
Output Increased
The usual checkout procedure is SON
to sort the order , ring up the sales ,

receive money and make change , bag the
merchandise , and perform other miscel
laneous details . Using these procedures
on conventional equipment , comparable
in size to the Rapi-chek , the cashier
at a normal pace would handle 32 cus
tomers per hour with a labor cost per
order of 3.1 cents . By eliminating
sorting and extra handling , combining
A bagger or bundler is
ring-up with bagging , and simplifying added to the Rapi-chek during
change making, an operator on the Rapi rush hours . Here the cashier
chek or the Simplex will check out 44 slides items across the 'well" .
buyers per hour -- an increase of 38 per
cent . Labor costs are thereby reduced to 2.3 cents per order . The stud
ies , incidentally , contradicted the popular belief that a cashier and
bagger working together would produce more than two cashiers working
separately . When a bagger was added to the conventional equipment, pro
duction was increased by 52
percent . Labor costs per
order with the conventional
equipment and the cashier
bagger team proved to be 4.1
cents ,
Conveyor Belt in Counter
Here's the way the new
Rapi - chek counter works . The

customer places her groceries
on the check - out counter in
the usual way . The top of
the counter is actually a
motor driven conveyor belt

which extends from the approach
end of the counter to the
check - out cashier who regu
The expediter places the items on lates the conveyor with a
the conveyor belt-- prices showing- foot control . As the items
in the order the items will be checked come to the cashier , she rings
and bagged . up the price with her right
October 1950 5
hand and with her left hand
places the items in an open
paper bag nested in a "well "
built in the top of the coun
ter . She handles each item
only once . When the final
item has been registered ,
change is made by an auto
matic change -maker-- the same
as at a movie theater ticket
window .
During the busy periods

of the week when greater check
out speed is needed, a second a
person --usually called a bag
At the "Simplex " check - out counter , ger or bundler -- can be added
the cashier removes the items from the on the Rapi - chek . In this
baskart -- and then places them directly case the "well" in the coun
into the recessed bag while she rings ter is covered and the cash
up the sale . ier simply slides the items
over the top of the well and
back towards the bagger , who places one or two paper bags in the bagging
wells at the back of the counter and fills them with both hands . The ad
dition of the bagger steps up production to 61 orders per hour , an increase
of 39 percent .
System Is Flexible
To cope with peak traffic , a third person -- called an expediter -- is

added to obtain maximum equipment productivity . The expediter removes
the items from the baskart and places them on the conveyor belt-- prices
showing-- in the order in which the items should be placed in the bag .
Multiple priced articles and fragile items are set aside ona "dead plate "
until the cashier is ready for them . The 3 -man team increases the total
orders per hour to 67. Under such conditions the cost is about the same
as the cost per order with the conventional system using 2 men , but some
19 orders per hour faster . Besides being considerably faster and per
mitting the use of one to 3 operators , the new check - out counters make
work easier for the operators even though more orders are handled per
hour .
With the Simplex counter , the cashier removes grocery items from
the basket and places them in a bag with the left hand , and simultaneous
ly rings up the sale with the right hand .
The analysis of the check-out operation was one phase of a project

1:--
tỷ
which deals with grocery operations such as stocking shelves , price mark
ing , unloading , and storing . A complete report on the checkout will be
available in the near future , Since retailing is a major item of cost in
the marketing of farm products , more efficient methods should result in
lower costs for retailers , increased consumption , a larger outlet for
farm products , and reduced food bills for the consumer .
Potatoes Aren't Hardware
By Malvin E. McGaha
Judging from the amount of damage occurring in potatoes in marketing

channels , the term " hardware vegetable " appears to have been taken lit
erally by many potato handlers . This is indicated in the results of a
study conducted by the Fruit and Vegetable Branch of PMA in cooperation
with Cornell University Agricultural Experiment Station and the New York
State Department of Agriculture and Markets during November -December 1949,
with funds authorized under the Research and Marketing Act of 1946 , to
gether with funds and assistance provided by New York State .
Damage Prevention Program Needed
Earlier studies had shown that potatoes offered at retail were gen
erally of poor quality. Many lots of potatoes , marked U. S. No. I grade,
contained externally damaged potatoes much in excess of the 6 percent ex
ternal damage tolerance permitted by V. S. No. I grade specifications ,
Potatoes offered for sale in retail stores in New York City during No
vember - December 1948 , contained , on an average , approximately 20 percent
of grade defects . Potatoes examined in Philadelphia retail stores during
January -February 1948 , disclosed 14.5 percent external grade defects , and
those inspected in Boston , Massachusetts , and Maine retail stores averaged
more than 7 percent . Of the potatoes , claimed to be U. S. No. I grade ,
more than four-fifths in New York City , three-fourths in Philadelphia ,
and two - fifths in Boston , Massachusetts , and Maine markets failed to meet
requirements of that grade at retail . These figures are taken from re
ports prepared and published by Agricultural Experiment Stations of Maine ,
Cornell and Pennsylvania .
PMA Study Indicates Rough Handling

On the average , potatoes examined in the 1949 PMA study contained
7.4 percent of external grade defects at shipping points ; 11.4 percent
at wholesale ; and 13.3 percent at retail. Of the 7.4 percent of defects
found at the shipping point level , 3.9 percent constituted cuts and
bruises , most of which could have been avoided with more careful handling .
Although all potatoes inspected were marked U.S. No. I grade , at shipping
points , more than one-half of the potato samples had in excess of the 6
percent externally damaged potatoes , permitted by V. S. No. 1 grade speci
fications . At wholesale , more than two-thirds , and at retail almost four
fifths of the potato samples failed to meet U.S. No. 1 grade requirements
because of external grade defects alone . At shipping points , l sample in
15 had in excess of 20 percent damaged potatoes , at wholesale 1 sample in
7 , and at retail l sample in 5 had this amount . Individual samples at re
tail were found to contain as much as 50 percent damaged potatoes ,
October 1950 7
In view of decreasing per capita consumption of potatoes , it appears
that the improvement of their quality and appearance at retail is cer
tainly desirable . The results of this study show that the poor appear
ance of potatoes is due , in a large part , to improper handling in mar
keting channels as well as to the fact that many shippers allow too many
defective potatoes to leave shipping points . A damage prevention pro
gram is in order if the best interests of the industry and of the con
sumer are to be served .
It should be pointed out , too , that receivers of potatoes shipped

in interstate or foreign commerce have the right , under the Perishable
Agricultural Commodities Act , to insist that potatoes meet the grade
specified in contracts with growers and shippers .
Only External Grade Defects Considered
In order to determine the nature and extent of deterioration in
curred during the marketing of Long Island potatoes in New York City and
vicinity , the 1949 study covered 1,482 samples of potatoes representing
90 truck shipments inspected at shipping points in Suffolk County ; 861
samples in wholesale stores and chain warehouses ; and 534 samples in re
tail stores . Of the above samples 354 were inspected at all three points ,
Inspection of potatoes for purposes of this study was made by fed
erally-licensed potato inspectors and inspections were made for external
or
grade defects only . Samples were 25 pounds for 50- and 100 - pound bags ,
and whole bags in the case of 5- and 10-pound consumer packages . Number
derimot
of samples examined ranged from an average of 6 for shipments of 100
Writid
pound sacks to 30 for shipments of 5 - pound consumer packages .
25
::
Results of inspections were not revealed to individual shippers and
no attempt was made to influence the grading job being done by them. None
of the potatoes inspected in the study at shipping points had been pre
viously inspected and certified U.S. No. 1 grade by the Federal - State
inspection Service , but all of the potatoes inspected were packed in
bags labeled U. S. No. 1 grade ,
In most States , inspection and grade certification of potatoes by

the Federal- State Inspection Service is not mandatory for the use of U. S.
grades . This service is rendered only upon request of the holder of the
potatoes , and requires the payment of a fee .
Increase in Potato Defects
Mainly due to Cuts and Bruises
More than three - fifths of the damage found in the potatoes at retail
developed after the potatoes left shipping points , and this was due prin
cipally to increases in cuts and bruises .
Defects other than cuts and bruises did not change materially in mar
keting channels , constituting on the average about 3.5 percent at ship
ping point and a similar amount at wholesale and retail . On the other
hand , cuts and bruises increased from an average of 3.9 percent at ship
<
ping points to 7.5 percent at wholesale , and 9.8 percent at retail . In
other words , the amount of damage from cuts and bruises doubled from ship
ping point to wholesale , and at retail was more than 23 times as great
as at shipping point .
DAMAGE PROGRESSES WITH HANDLING
Type of Defect Point of Inspection

: SHIPPING POINT : WHOLESALE : RETAIL
Percent
Insect and disease 3.5 3.9 3.5

Cuts and bruises 3.9 7.5 9.8
Total 7.4 11.4 13.3
Table 1 .-- Percentage of externally damaged potatoes at ship

ping points in Suffolk County , Long Island , and at wholesale
and retail in New York City and vicinity .
At shipping points , 131 of the 354 identical samples disclosed no
damage due to cuts and bruises , but at wholesale only 73 and at retail
only 49 samples were free of this defect .
The most serious nonprogressive defect was insect injury , mainly

wireworm damage , which affected an average of 1.4 percent of all potatoes
examined at shipping points . Much of this damage could have been removed
during the grading operation , but was not .
Numerous instances of rough handling were observed by the workers
conducting this study . Throwing filled small bags of potatoes from one
point to another during the packaging operation was undoubtedly a factor
contributing to the development of cuts and bruises in these packages .
Overturning of improperly stacked 50 and 100 pound bags and master con
tainers of consumer packages -- and such bruising tactics as dropping bags
from shoulder height to hand trucks, or from delivery truck tail gate to
sidewalks--apparently were responsible for a considerable amount of dam
age found at wholesale and retail . Displaying potatoes in strong light
or in windows of retail stores was observed to result in severe greening .
Dropping potatoes down chutes into the basements of stores added to the
number of hazards potatoes faced before being placed on display . All
such practices detracted from their value and appearance and thus reduced
salability .
****
FROZEN TOMATO JUICE
You can add tomato juice to the growing list of foods which can be
successfully frozen for out-of- season use , according to Dr. Frank Lee of
the Geneva Experiment Station , New York . However , the taste of this prod
uct differs somewhat from that of canned tomato juice . Tomato juice for
freezing is subjected to a short heating period which gives it a fresh
tomato flavor unlike the cooked flavor of canned juice .
October 1950 9
Construction In The Cornbelt
By Charles E. Raeder
Normally it makes sense to put the roof on a structure after the

frame is built--and up in the air where it belongs . Here's picture- proof
that there's a better way to do it--in the construction of grain bins now
being added to the Nation's storage capacity for important food reserves .
As a part of the program of the Commodity Credit Corporation to in

crease its temporary corn storage capacity by 93 million bushels , circu
lar grain storage structures are going up , many of them roofs first , in
four western Cornbelt States : Iowa , Nebraska, Minnesota and South Dakota .
The grain structures , which will bring the Corporation's owned grain
storage capacity to approximately 547 million bushels , are being delivered
by private manufacturers in fulfillment of contracts let earlier in the
year . This , combined with increases in farm storage under special loan
provisions , increases in cooperative and other commercial storage under
" use guarantee" agree
ments , and space made
available to the cor
poration in idle ships
and airplane hangars
or other former de
fense facilities under
loan or lease arrange
ments , has increased
available facilities
throughout the country
by more than 700 mil
UN lion bushels .
Spot Surveys
Determine Need
The additional
Bins like these recently erected in 93 million bushels of
Jasper Co. , Iowa , help provide temporary capacity is needed by
storage for the Nation's grain reserves . the Corporation to en
able it to accept de
livery of corn this fall from growers who are expected to surrender title
to it to satisfy loans previously made . The need , area by area , was based
on spot surveys made by State and local committees , and it represents the
best possible estimate of crop yield and percentage of Government " take
over " available immediately before contracts were let for the additional
storage structures .
Delivery of the grain structures this year has been going forward
in spite of handicaps caused principally by shortage of railroad cars ,
metals , cement and other construction materials . Hardest to obtain have
been sheet steel and aluminum -- the basic stuff in most of the circular
structures . In spite of the difficulties , however , deliveries have been
maintained at a sat
isfactory pace ; in
fact , close to the
rigid schedule set
by the Corporation ,
Engineers Help
Through constant
research , Agricultural
engineers played an
important part in the
initial design and
specification of these
grain structures .
Their field engineers
have been assisting
the PMA State Commit
Building at the ground level -- from
tees , where required ,
the roof down --has proved a swift and safe in facilitating the
method of construction . Jacks or A - frame
erection of the grain
hoists provide lifting force . storage structures .
Many of the manufacturers have designed and supplied the A - frame hoists
or jacks which have proved so valuable in this type of construction .
Jacks Hoist Structure
Actually , in circular bin erection, the complete roof goes up, with
ventilator attached , firmly bolted to the top ring of the sheeting . Lift
ing force is supplied
by three or four haists ,
generally block - and
tackle powered , and
capable of lifting
the two tons of the
finished steel bin .
As the roof is
raised , each ring of
sheet metal is assem
bled and attached at
the ground level . The
opportunity to work
on solid ground , rath
er than upon scaf
folding , enables the At an average pace 4 men could handily
workmen to assemble
erect a bin a day on pre-set foundations .
the parts swiftly and
October 1950 11
safely , and constitutes one of the
major benefits of this type of erec
tion . Important too , is the fact
that the roof acts as a " rigidifier "
in holding the sheet metal to a true
circle , thus easing installation of
the parts .
Responsible for many of the in
provements in both erection technique
and construction has been the practi
cal experimentation carried on in the
States and at the Beltsville Station
of the Department. Recently , it has
been demonstrated that it is possible
to erect a superior circular metal
bin upon a pre- set foundation in 27
man-hours . Thus , at an average pace ,
four men could handily erect a bin a
day on established foundations .
Capacity for the circular bins

ranges from 3250 to 6000 bushels .
More than 1100 bolts
The 3250-bushel bin designed by agri
cultural engineers is structure must be tightened before
circular bin is ready to with
18 feet in diameter and 16 feet in stand its greatest hazards-
height . ( floor to top of cylinder ) . windstorms and floods .
Floors are swabbed with Bins must be swung into

rust preventative , and rolled position and lowered squarely
down inside after bins are on foundation . Stakes help
constructed . anchor these bins .
Marketing Briefs
marized more completely covered in press releases
below are
the code number given at the end of each item . )
Cotton .-- Sales of 1948- crop pooled COTTON by CCC through September
19 , 1950 totaled 2,623,475 bales . Sales were made pursuant to a CCC
offer to sell , dated August 9 , 1950.
1950 . The 1948- crop cotton was pooled
for the account of producers on August 1 , 1949. ( USDA 2286-50 )
Dairy .-- Arrangements to sell 44,092,000 pounds ( 20,000 metric tons)
of Government - owned NONFAT DRY MILK solids to the Government of Denmark
for animal feed have been completed . Deliveries will be taken from the
oldest stocks of the Government and will reduce CCC holdings to about
318,000,000 pounds out of a total of about 660,000,000 pounds bought for
price support during the past 18 months . ( USDA 2325-50 ) ...Approval has
been given to proposals to increase the farm price of MILK in the Phila
delphia marketing area , but before they become effective they must be
approved by two - thirds of the dairy farmers regularly supplying the mar
ket . ( USDA 2264-50 ) ...Final approval of a proposal to replace the present
" individual handler" method of pooling milk in the Lowell -Lawrence , Mass . ,
milk marketing area with a " market - wide " pooling plan has been given by
USDA . The new method must be approved by two - thirds of the dairy farmers
regularly supplying the market before it can go into effect . ( USDA 2258-50 )
Amendment of the Federal order regulating the handling of milk in the

Cincinnati , Ohio, milk marketing area , effective September 1 , 1950, has
been announced . The changes , approved by more than two - thirds of the
dairy farmers regularly supplying the market , are designed chiefly to
adjust various provisions of the order to make them more effective in re
flecting current marketing conditions and to revise the method of classi
fying and pricing milk to a basis similar to that used in nearby markets
operating under Federal orders . ( USDA 2131-50 ) ... The Federal order regu
lating the handling of milk in the Cleveland , Ohio , marketing area has
been amended to increase the size of the area and make changes in the
pricing of milk . The changes were approved by the necessary two- thirds
of the dairy farmers supplying the market . ( USDA 2202-50 )... Final de
nial of a proposed change in the farm pricing of milk in the Nashville ,
Tenn . , milk marketing area , which would have revised the present premium
payment plan for fall milk production, has been announced . (USDA 2259-50 )
... There will be no Federal order regulating the handling of milk in the
Akron , Ohio, milk marketing area since a favorable vote was not obtained
in a referendum held there September 13 , 1950. Although the proposed
order had USDA final approval it could not be put into effect without
approval of two - thirds of the dairy farmers regularly supplying the mar
ket . ( USDA 2281-50 )
October 1950 13
Fats and Oils .-- A national average support price for 1950- crop SOY
BEANS , of $ 2.06 per bushel , has been announced . The national average
support price for the 1949 crop was $2.11 . To be eligible for support ,
soybeans must grade No. 4 or better and contain not more than 14 percent
moisture . Premiums for moisture content below 14 percent and discounts
for test weight , splits and damage are to be established by CCC . Support
will be effected through loans and purchase agreements available from
time of harvest through January 31 , 1951 and will be obtainable from
county committees of PMA . At the same time price support loans on COTTON
SEED at $51.00 per ton were announced . In areas where a purchase pro
gram may be necessary , purchases will be made at $ 47.00 per ton . Cotton
seed currently is moving at prices considerably above these support lev
els and because of the reduced 1950 cotton crop little if any active
support is anticipated . ( USDA 2181-50 ) ... Offers , to be accepted not
later than September 15 , were requested by the Department for purchase
of 1,325,000 pounds of refined or unrefined LARD for shipment by the De
partment of the Army to Okinawa . Since December 1949, the Department has
purchased 150.8 million pounds of lard, most of which went through ECA
to Germany and Austria , with smaller amounts going through the Army to
Okinawa and Japan . ( USDA 2207-50 )
Fruits and Vegetables.--An export payment program for APPLES and
WINTER PEARS , effective September 11 , 1950 , has been announced . Payments
equaling 50 percent of the export sales price , basis f.a.s. V. S. ports ,
but not more than $1.25 per bushel or box , will be made to U. S. ex
porters who export fresh apples and pears of specified grades at the re
duced prices made possible by the payment. Such exports may be made to
ECA European countries and most of their participating dependent overseas
territories , to Isreal , Egypt , the United States of Indonesia , the Philip
pines , and to western hemisphere countries except Canada , Cuba , Mexico ,
and Venezuela . Apples of any variety , produced in the continental United
States , will be eligible for export under the program , but pears will
be limited to Anjou , Bosc , Comice , and Winter Nellis varieties produced
in Oregon , Washington and California , ( USDA 2218-50 ) ... A regulation re
quiring that POTATOES shipped from the Oregon - California production area
be limited to U. S. No. 2 or better grade , and in addition have a 2-inch
minimum diameter or 4 ounces minimum weight , has been issued at the re
quest of the Oregon - California Potato Committee . The regulation is ef
fective from September 18 , 1950 through June 30, 1951. All potatoes
shipped from September 18 through November 1 , 1950 must not be more than
slightly skinned . Exemptions from the grade and size regulations are
provided for shipments for grading and storage , export , to the Federal
Government under support programs , for manufacture or conversion to spec
ified products , for livestock feed , and for seed . (USDA 2254-50 )... The
salable percentage of ALMONDS for the 1950-51 crop year will be 100 per
cent and there will be no surplus percentage . The action was recommended
by the Almond Control Board , administrative agency charged with opera
tion of the marketing agreement for the nuts . ( USDA 2282-50 ) ... A proposal
to fix the salable percentage for merchantable in - shell WALNUTS for the
1950-51 marketing year at 75 percent and the surplus percentage at 25 per
cent has been announced . These percentages have been recommended by the
Walnut Control Board , administrative agency for the marketing agreement
covering these nuts . Before the percentages are finally established, the
il Marketing Activities
Department will consider written data , views or arguments presented to it
not later than October 2 , 1950 . ( USDA 2302-50 ) ... A proposal to fix the
salable percentage of merchantable in- shell FILBERTS at 92.5 percent and
the surplus percentage at 7.5 percent for the marketing year beginning
August 1 , 1950 has been received from the Filbert Control Board , which
administers the marketing agreement for these nuts grown in Oregon and
Washington . Before the percentages are finally fixed the Department will
consider written data , views or arguments received not later than October
3 , 1950. ( USDA 2303-50 ) ... An amendment to the marketing agreement and
order regulating the handling of six varieties of WINTER PEARS grown in
Oregon , Washington , and California has been issued . ( USDA 2184-50 ) ...
POTATO growers in New York ( USDA 2128-50 ) and in Pennsylvania ( USDA 2129–
50 ) have rejected proposed marketing orders for their crops in referen
dums held in both areas during the period August 21-25 inclusive . There
fore , proposed marketing agreement and order programs will not go into
effect in the areas and price support will not be available on potatoes
produced there . Long Island potato growers voted down a marketing agree
ment in a referendum held in June . U. S. Consumer Standards for BRUSSELS
SPROUTS and KALE have been issued by the Department . The former became
effective on August 19 and the latter on August 26 . Consumer standards
are now available for 8 fresh vegetables . ( USDA 2097-50 ) ... A proposal
of the HOP Control Board to increase the limit on supplementary allot
ments of hops to 90 percent of the probable salable allotment for each
grower for whom complete information as to his 1950 hop production is
available to the Board has been approved by the Department . Under the
marketing agreement regulating the handling of hops grown in Oregon, Cal
ifornia , Washington , and Idaho , 80 percent of any grower's probable
salable allotment is fixed as the maximum supplementary allotment which
may be issued to a grower prior to issuance of his final salable allot
ment . Provision is made , however , that the Department may authorize a
higher percentage. ( USDA 2307-50)... Previously , the Department issued
an order fixing at 50,000,000 pounds the salable quantity of 1950 hops
grown in these States which may be handled as hops or in the form of hop
products under the marketing agreement and order . ( USDA 2219-50 )
Grain .--Prices of 1951- crop OATS , BARLEY , and RYE will be supported
through farm - storage and warehouse- storage loans and purchase agreements ,
it has been announced . The loan and purchase agreements will be available
from harvest time through January 31 , 1952 . Dollar - and - cents support
levels for the grains will be determined in approximately the same re
lationship to corn as under the 1950 program , taking into consideration
relative feeding value, pound for pound. Price support for 1951- crop
corn is mandatory at between 80 and 90 percent of parity as of October 1 ,
1951 , beginning of the marketing year . Since the bulk of the corn crop
is planted from March through May , the corn program will not be announced
until early in 1951. At that time the actual support levels for oats ,
barley , and rye will be announced . ( USDA 2242-50 ) ... FLAXSEED from the
1951 crop will be supported at an average price of $ 2.65 per bushel as
compared with the average farm support price of $2.57 per bushel for this
year's crop . Support for the 1951 crop will be implemented in the same
way as for the 1950 crop , by loans and purchase agreements , but in speci
fied counties in Texas by direct purchases only . ( USDA 2241-50 ) ...WINTER
COVER CROP SEEDS produced in 1951 will be supported at the following basic
October 1950 15
national support prices : hairy vetch , 14.70 cents per pound ; common
vetch , Williamette vetch , and roughpeas , 6 cents ; crimson clover, 16.50
cents ; common ryegrass , 6.75 cents ; and blue lupine , 4 cents , No support
was announced for Austrian winter peas , Support for Kobe lespedeza is not
included in the winter cover crop program , as in 1950 , but if the price
is supported , it is anticipated that it will be included in th 1951 hay
and pasture grass seed program . Support for the winter cover crop seeds
will be implemented by producer farm and warehouse loans and purchase
agreements , available from time of harvest through December 31 , 1951 .
( USDA 2263-50 )
Poultry and Eggs .--Continuation of the EGG price -support program
during October , November and December at levels designed to refect to pro
ducers a price of at least 25 cents a dozen ( 27 cents a dozen when de
livered by the producer to drying plants ), has been announced . Purchases
of dried eggs will be made from vendors who must certify that they have
paid producers these prices for eggs in surplus -producing areas . Offers
for dried eggs for November and December deliveries will be received by
the Department on October 10 and November 14 , respectively . (USDA 2192-50 )
... Distribution of approximately 5.8 million pounds of frozen dressed
TURKEYS to non-profit school lunch programs has been authorized . These
are the remainder of the turkeys acquired by the Department in carrying
out the final phase of the 1949 turkey price support program . (USDA 2265-50)
Sugar .-- " Fair and reasonable prices" for the 1950 crop of Louisiana
sugarcane have been announced as required by the Sugar Act of 1948. These
prices are the minimum prices which a processor- producer in Louisiana must
pay to be eligible for government payments under the sugar act . The new
price determinations differ from those in effect in 1949 in the follow
ing respects ; ( 1 ) The basic price per ton of standard sugarcane has
been increased from $1.045 to $1.06 for each one cent of the average
price of raw sugar . ( 2 ) " Trash " has been redefined to eliminate the
trash tolerance permitted under the definition contained in the 1949 price
determination . ( 3 ) The analysis of sucrose and purity is to be made on
the basis of sugarcane as delivered by a producer to a processor rather
than on the basis of trash-free cane , (4 ) Provision has been made for the
sharing of transportation costs on sugarcane in cases where , because of
unusual circumstances , such costs are in excess of the maximum allow
ances of the mill . ( USDA 2117-50 ) ... A revised determination of normal
yields and eligibility for acreage abandonment and crop deficiency pay
ments for sugarcane farms in Puerto Rico has been announced for the 1950
51 crop ( USDA 2311-50 ) ... Increases in the sugar quotas for the Domini
can Republic, Haiti , and Peru by 43,678,677 pounds , 6,039,215 pounds and
72,800,638 pounds respectively , have been announced . ( USDA 2215-50 ) ...
Public hearings on wage rates and sugarcane prices for the 1951 crop year
will be held during October in the Puerto Rican and Virgin Islands sugar
cane areas . ( USDA 2125-50 )...Announcement has been made that the Cuban
direct - consumption sugar quota of 375,000 short tons , raw value , has been
filled . It was pointed out that approximately 850,000 short tons of the
1950 Cuban raw sugar quota remained . ( USDA 2323-50 )... Sale of 75,000
tons of sugar to the United Kingdom from stocks recently purchased by
CCC from Cuba has been announced . ( USDA 2201-50 )
16
ABOUT MARKETING
The following publications , issued recently ,, may be obtained upon

of Agriculture, Washington 25 , D. C.
Publications :
The Wholesale Produce Markets at Boston , Mass . June 1950. 148 pp .

The Beef Cattle Situation and Outlook in Mid- 1950 by Charles A.
Burmeister . 8 pp . ( PMA
PMA ) ( Processed )
Marketing Study of the Oil Content of Soybeans as Related to Pro
duction Areas and climate . September 1950 . 31 pp . ( PMA ) ( Processed )
World Trends in Supply, Distribution , and prices of Naval Stores ,

1934-49 . July 1950. 95 pp . ( PMA ) ( Processed )
How Fresh Fruit and Vegetable Distributors Can Get More Out of Their
Materials - Handling Equipment . June 1950 , 100 pp . ( PMA ) ( Processed )
The Philadelphia Milk Supply ( A study conducted with funds provided

under the Research and Marketing Act ) . July 1950. 100 pp . ( PMA ) (Proc
essed )
United States Standards for Grades of Canned Applesauce , Effective

September 18 , 1950 . September 6 , 1950..77 pp . ( PMA) ( Processed )
Some Problems of Surplus Grain Disposal . June 1950. 61 pp . ( PMA )
(Processed )
Tobacco Price Support and Related Operations , Commodity Credit Cor

poration and Section 32 Funds , June 30 , 1936 - June 30 , 1949 . 45 PP .
Juices , and Dried Fruits in July 1950. September 1950. 4 pp . ( PMA and
Bureau of Agricultural Economics) ( Processed )
Wholesale Poultry and Egg Markets in 30 Cities , June 1950. 160 pp .
Cottonseed -Supply Areas . SB No. 90. May 1950. 96 pp . (PMA) ( Proc
essed )
Consumer Buying Practices and Preferences for Purchasing Oranges By
Weight or Count , in Selected Cities . June 1950 , 13 pp . ( PMA ) ( Processed)
Evaluation of Cotton Ginning Costs and Quality , High Plains Area of

Texas , 1946 through 1948. July 1950.
1950 . 41 pp . ( PMA ) ( Processed )
October 1950 17
ABOUT MARKETING ( Cont'd ) .
Wholesale Margins for Fresh Citrus Fruits in the Pittsburgh , Pa . ,

Wholesale Fruit and Vegetable Market . August 1950. 20 pp . ( PMA ) (Proc
essed )
Official Standard Grades for Fire-Cured Tobacco ((U.S. Types 21 ,, 22 ,
23 , and 24 ) August 3 , 1950. 7 pp . ( PMA ) ( Processed )
United States Standards for Grades of Frozen Concentrated Orange
Juice , Effective September 25 , 1950. September 1 , 1950. 17 pp . ( PMA )
( Processed )
School Lunch Recipes using Turkey . PA - 108 . September 1950. 25 pp .
(PMA and Bureau of Human Nutrition and Home Economics) (Processed )
Cash Costs of Farm Storage in Marketing Soy beans . September 1950
62 pp . ( PMA) ( Processed )
ordering statements or publications . Check only the individual items you
desire .--Editor )
NAME
ADDRESS
CITY ZONE STATE
November 1950
MARKETING
ACTIVITIES
OGS !
PERICULTURE
DEPARTMENTS
UNITED
STATES
Washington 25, D.C.
GRAIN DRYING IS INDISPENSABLE
By William C. Dachtler Page 3
There are good reasons why mechanical dfying is becoming an in

creasingly important step in the handling and storing of grain . Mr.
Da ch tl er , Ac ti ng Ch ie f of th e Gr ai n Br an ch 's Co mm od it y Re se ar ch Di vi si on ,
explai ns why this is so and also outl in es some of the prog re ss made .
OILSEEDS IN WESTERN EUROPE

By Robert M. Walsh Page 7
Mr. Walsh , Deputy Director of the Fats and Oils Branch , reviews
Western Europe's oilseed demand and supply situation , and at the same
time keeps our export possibilities in the picture .
INSPECTION ASSURES HOP QUALITY
By J. E. Barr . Page 11
As Chief of the Inspection Division of the Grain Branch , Mr. Barr

has been in a good position to watch the transition of hop inspection
from a wartime necessity to a service now requested by both producers
and brewers .
REDUCING CANTALOUP SHIPPING LOSSES

By Philip L. Breakiron Page 17
It looks like inertia , and not gravity , may be the real trouble
maker behind cantaloup shipping bruises , Mr. Breakiron describes a load
ing method which cuts down those losses ,
TRIGG CHARTS PMA DEFENSE COURSE Page 21
Administrator Ralph S. Trigg recently outlined the preparations and

changes PMA is making under the Defense Act . Here , excerpted from his
speech , are some points of interest to marketing people ,

Washington 25 , D. C. KETIN
Material in MARKETING ACTIVITIES
Issued monthly . Vol . 13 , No. ll permission .
Grain Drying Is Indispensable
By William C. Dachtler
It's high time we quit thinking of mechanical drying of grain as

only an " emergency " measure . High moisture content in grain has become
a persistent condition in more crops in an increasing number of produc
tion areas .
The reasons are many .
First , we need to recognize that in most of our grain producing areas

ideal drying weather during and after harvest is more likely the ex
ception rather than the rule . Particularly is this true in the Gulf and
the Eastern Seaboard
States where grain
production has expand
ed tremendously in re
cent years . In these
areas , clima tic condi
tions which are provi ng
a blessing so far as
high yields are con
cerned , also contribute
to greater moisture
content of the grain
at harvest . Higher
humidity and tempera
ture induce spoilage
and insect damage dur
ing storage in facili
ties which would like
ly be adequate in the
cooler , arier climate On the right , a farm drier in Montgomery Co. ,
of the Midwest . Fut Tennessee , forces heated air into ducts leading to
even in the Corn Belt , three separate bins in the right half of the
" soft corn " has become building . In a slower and less expensive opera
a yearly fixture . Of tion , where time is less a factor , the fan at the
ten, producers them left forces unheated air into the near side of the
selves inadvertently building ,
lay the groundwork for this condition through their choice of hybrid ,
Hybrid a Factor
By and large , it is the hybrid corn requirin the lon est growing
season which produces the highest vields . Thus , there is a tendency for
producers to " crowd their luck " a bit with hybrid varieties which utilize
all the growing season of the area . If it turns out that planting is de
November 1950 3
layed by wet weather , or good drying days are scarce in the fall , the corn
produced will almost certainly not be dry enough for ordinary crib storage .
Contributing also to a greater percentage of grain too high in mois
ture content for normal storage . is the trend for more and more producers
to rely entirely on machines to do their harvesting . Actually , high
moisture content in grain results from factors inherent in modern grain
production . In many sections of the Corn Belt almost all the crop is
harvested with pickers , and while this change has greatly eased the bur
den of harvest , it has also added to grain drying problems . No longer
is the bulk of the corn cut and allowed to dry in the field but harvested
quickly and moved into overcrowded storage facilities . Moreover , the
relatively greater percentage of shelled grain and trash in mechanically
picked corn retards drying by preventing the free passage of air through
the crib . Frequently , picking is purposefully done when moisture con
tent of the fodder and the grain are at a higher level because there is
less shelling and " snapping off " when the crop is in this condition ,
Adding to the difficulty is the fact that a producer's entire acreage is
likely to be harvested within a short period -- a situation which does not
allow corn to dry in smaller lots in the crib as it did once when hand
harvesting was stretched over longer periods of time .
Small Grain Problems Similar
The problems related to small grain drying follow a similar pattern ,

With the use of a combine , the harvest is generally a one to three day
operation which , once begun , is continued without interruption , particu
larly if the work is done by a custom operator . This means that the least
ripe grain will be harvested about the time the ripest approaches the
shattering stage-- that the wet , greener grain , from the slower maturing
" pockets" of a field will be bulked with the ripest . None of these prob
lems were present when grain was cut , shocked and allowed to dry in the
field .
Finally, because of the great savings in storage space and handling

costs , a much higher percentage of the corn crop is being stored each year
as shelled grain . The fact that construction of storage space has not
kept pace with production highlights the trend because of the relative
compactness of shelled corn . But also because of this density , it must
be dried to a lower moisture content for safe storage . In many instances ,
mechanical drying is the only answer .
Many Agencies Cooperate
Recognizing this , the Grain Branch of the Production and Marketing
Administration has rightfully accented grain drying as an essential prac
tice in preserving the Nation's grain reserves . Utilizing funds of the
Credit Corporation , and collaborating fully with research
Conmodity Credit
agencies of the Department , grain drying work has been conducted to main
tain or improve the quality of grain which the Corporation holds , or to
which it may hold title . The program is utilizing the findings of State
Experiment Stations , the Bureau of Plant Industry , Soils , and Agricul
tural Engineering and the Bureau of Entomolory and Plant Quarantine , to
gether with those of commercial research agencies . For the past three
years , resources of these agencies have combined to give effective grain
drying demonstrations at the farm level .
The first stage of the program was directed toward solving the crit
ical shortage of storage for the record 1948 crop . In many areas where
the corn was of high moisture content at harvest , producers were shown
how to improvise driers to insure safe keeping of the grain -- a prerequi
site for qualifying under the Government loan programs. It was also made
clear to producers that the Corporation is authorized to make loans for
the construction of adequate storage , and for drying equipment . Through
out the campaign , local suppliers of building materials , civic organiza
tions , radio stations , newspapers and farm journals cooperated fully with
the agencies of the Department .
In Iowa , for example , field days were held at a number of county
fairs where a variety of types of floors , roofs and cribs were constructed
to show which structures would be satisfactory for storing grain on the
farm , and also meet the requirements for eligibility under the price
support programs . In addition , a number of commercially built farm type
grain driers were used to reduce the moisture content of corn to levels
at which it could be safely stored . Simple and economical methods of
adapting cribs commonly used by farmers in the area as drying houses
were explained and demonstrated .
Producers Adopt Techniques
Denonstrations were varied to meet all aspects of the problem . At
Vincennes , Indiana , five steel bins of 2,700 bushels capacity were equipped
for ventilation and drying tests by'installing perforated false floors
or center ventilating
ducts . Corn , both
shelled and on the ear ,
was subjected to heat
ed or unheated air and
observations made per
iodically throughout
the fall, winter ,and
spring months
to de
termine the effective
ness of the various
ventilation techniques
on the storability of
the grain . While this
1948 program did not
solve all storage prob
lems , it did prove the
effectiveness of on
the-spot demonstra
tions . Producers quick
ly adopted many of the
At White Co., Indiana , a portable farm drier techniques displayed
forces heated air under a perforated floor of a and the savings in corn
Cac bin of shelled corn . Producers may use the
and its feeding value
same drier on smaller farm - size bins . have been tremendous .
November 1950 5
More recently -- in 1949 and this year--the emphasis of the storing
and conditioning work has been focused on more permanent means of hand
ling our growing grain production in the Gulf and the Eastern Seaboard
States . And it is in this phase of the work that much of the gratifying
progress in corn and small grain drying has been made .
It has been found that the methods and facilities commonly used in
the commercial grain areas pre-war have not proved entirely satisfactory
in these regions . Moisture content of the grain is higher at time of
harvest and humidity and temperature conditions as well as greater insect
infestation add to the difficulty of safe- storage here ,
Program Covers Most Grains
To promote construction of adequate farm facilities and to encourage
proper handling and conditioning, demonstration projects have been set
up in eight States , six of which are in the Instnem n
area . This work , inci

dentally, has not beer.
limited to corn and
wheat . Special empha
sis has been placed on
problems relating to
storage of rice in
Louisiana ; grain sorg
hums and flax in Texas ;
corn, seed , and small
grains in North Caro
lina , Virginia , Ten
nessee , and Maryland
and on dry edible beans
and small grains in
Michigan .
A batch - type drier in Beaufort Co. , North
The projects have Carolina , is designed to handle small lots of
been primarily demon- grain at the rate of about 100 bushels per hour .
strational , and have Inexpensive and simple to construct , this drier
served to show and ex- building makes a good farm facility .
plain improved methods for conditioning and storing grain , All types of
commercially available farm scale drying equipment are being demonstrated
at the 8 projects . In addition , new and improved designs of farm -size
driers which have been developed by the engineering staffs of the Depart
ment and the State colleges have been tested .
Throughout the program all developments have been kept as flexible

as sound engineering will allow . In each State , buildings for drying
and storage have been adapted to the geographical conditions and to the
commodities grown in the locality . Special attention has been given to
the use of buildings that can be duplicated economically on the average
farm . Drying and storage operations are being demonstrated in crib, bin
and shed structures using a variety of ducts and perforated floors . Sin
ilarly , facilities have been designed so that they are adaptable to the
drying of different grain crops in one locality or on an individual farm .
. 6 Marketing Activities
Western Europe , deficient in food-production , must constantly
plan its agriculture with one eye on world supplies and prices ,
and the other on its own limited land area and supply of dol
lars . This is especially true with oilseeds . Mr. Walsh , who
recently studied this situation in Europe for the Organization
of European Economic Cooperation ( the European counterpart of
ECA ) , here appraises the matter for the fats and oils industry .
Oil Seeds in Western Europe

By Robert M. Walsh
Except under stress of grave international emergency it seems un

likely that any further expansion either in oilcrops or animal fats in
Western Europe will keep pace with population growth . This means for the
future that Europe will become more rather than less dependent on imports
for its supplies of fats .
During the war and in the early postwar years traditional imports
of oilseeds , fats , and oils into Western Europe were seriously curtailed .
These reduced imports , together with a sharp reduction in animal fats ,
led to grave shortages . Accordingly production of oilseeds was actively
encouraged by the European Governments .
Below Prewar Production
Expansion in annual oilseeds since 1940 has added more than 200,000
tons of vegetable oil a year to the Western European fat supply . But
vegetable oils including olive oil-- which makes up the bulk of the supply
--contribute only a third of the total fat production . As a result of
the decrease in animal fats , total production of fats and oils in western
2 Southern Europe is about 7 percent below the prewar figure of 3 mil
lion tons .
More than half of the fats consumed prewar were imported . Although
imports today are somewhat lower , they still account for more than half
of the total supply . Consumption is at a reduced level , while population
has increased . West of the Iron Curtain there is no " shortage" of fats
in terms of prevailing purchasing power and prices . The pressure , never
theless , is in the direction of improved consumption standards . This is
especially true in Germany and Austria , where consumption per person is
still materially below prewar levels.
Increasingly , reliance is being placed on imports to maintain or
improve the fat - consumption standards in Western Europe. Animal - fat pro
duction is making rapid recovery, but the increase in that direction has
practical limitations . The production of oilseeds apparently has about
reached its peak , assuming that imports continue to be available .
Western Germany withdrew all price- support measures for oilseeds be

ginning with the 1950 harvest . In Denmark and Italy prices of the do
mestic oilseeds fluctuate with changes in world markets . In Italy , more
November 1950 7
over , edible oils other than olive oil are taxed , to place olive oil--a
food staple of economic importance--in a better competitive position in
the domestic market . In the United Kingdom the price of flaxseed is
fixed at a low level in relation to barley ; flaxseed production , which
was encouraged beginning in 1947 , is now declining.
Sweden , Netherlands, and France continue to support the production
of the annual oilseed crops . Other countries of Europe west and south
of the Iron Curtain are not important producers except Turkey , where
prices are free .
Sweden and the Netherlands are maintaining prices of oilseeds at
high levels in relation to prices of competing crops . Production of rape

seed, in particular , is being encouraged . This is a high - yielding crop
on the fertile soils of northern Europe. The oil extracted from rapeseed
is used in margarine and as a cooking and salad oil . In 1949 and in
1950 , Sweden produced small exportable surpluses of rapeseed and was
largely self - sufficient with respect to edible fats . Some fats were im
ported, mainly whale oil and copra , for use in industrial products , and
in margarine , The Netherlands , on the other hand , depends heavily on im
ports for its supply of edible oils . Production of oilseeds is being en
couraged mainly because of the added drain on foreign exchange for food
stuffs arising from the sharp increase in population since 1940 .
Oilseeds Related to Fixed Wheat Price
It was the stated intention of officials in France in the summer of

1950 to lower support prices for oilseeds gradually in relation to wheat
to a point where , it was believed , prices for the oilseeds would be in a
competitive position with imported materials . This intention may be
altered by changing conditions . The price ratio of rapeseed ( colza ) to
wheat was lowered by stages from a high of 3.1 in 1941 to 2.4 in the years
1946-49 . For the 1950 harvest the price of colza was supported at 2.2
times the price of wheat . Before the war the price of colza was about
1.5 times the price of wheat . Prices of other oilseeds in France also
are related to the price of wheat , which is fixed each year .
In French North Africa the price of flaxseed is fixed in relation
to wheat in a similar manner . In Morocco , however , prices of edible oil
seeds such as sunflower seed are now related directly to free -market prices
of peanuts imported from West Africa .
Of a considerable list of annual oilseeds produced in western and
southern Europe , including Turkey and French North Africa , only three are
produced in commercially important quantities. These are rapeseed, flax
seed , and sunflower seed . Cottonseed is produced in sizable quantities
as a joint product with cotton lint , mainly in Turkey and Greece . Oil
seeds of minor importance include sesame seed , poppy seed, mustard seed,
peanuts , soybeans , safflower seed , castor beans, and camelina or false
flax . Some hemp seed is grown . In addition tobacco seed, grape seeds ,
corn germs , tomato seeds , and rice germs are recovered and processed for
oil , particularly in the southern area .
Rapeseed and turnip rape , both fall and spring sown , increased from
less than 100,000 acres in northern Europe in the decade 1931-40 to a
war peak of over 600,000 acres in 1944 . Acreage subsequently declined
until 1948. In 1949 and 1950 approximately 750,000 acres were devoted to
the rape crops , with the largest concentrations in northern France , Sweden ,
and Western Germany . These crops can be expanded much further in north
ern Europe but only at the expense of high - yielding grain crops, root
crops , and grasses . The general consensus in early summer 1950 was that
the peak in acreage had been reached . Well-adapted and high - yielding
varieties are available; nevertheless , experimental work to improve win
terhardiness , yield characteristics , and insect resistance is being ag
gressively pursued ,
The acreage in flaxseed for western and southern Europe , including

Turkey and North Africa , was greater in 1949 than the acreage in rape .
But fiber flax as well as seed flax varieties were included and the aver
age yield of seed per acre was only a third that of the rape crops . Well
over a million acres were in cultivation in 1949 , nearly three times pre
war .
Flaxseed Fluctuations
The most striking increase in flaxseed

occurred in North Africa
where over half the total acreage was concentrated . Flaxseed has been
produced for export in French Morocco for many years . Here the acreage
increased from less than 100,000 prewar to about 300,000 in 1949 but de
clined in 1950 . In Algeria and Tunisia flaxseed was grown only for the
local paint industry prewar . A mushroom growth occurred in 1948 and 1949,
as a result of scarcity in world export supplies of flaxseed and linseed
oil . But a sharp reduction followed in 1950, because of heavy rust in
fection in 1949 and reduced price guarantees for 1950 .
Other countries where flaxseed production was significant in 1949
( 20,000 tons or more ) were Sweden, Turkey, United Kingdom, Netherlands ,
and Denmark . Yields per acre were fairly high in all these countries ex
cept Turkey where the seed is grown largely in the high - plateau areas of
relatively light rainfall .
Sunflower seed is of importance principally in Turkey , although some

is grown in southern France , Italy, and Morocco , Emigrants from Bulgaria
introduced the sunflower into European Turkey ( Thrace ) only in recent
years , but now it has become an important source of edible oil and oil
cake for livestock . Since 1946 acreage has expanded sharply , reaching a
total of nearly 300,000 acres in 1949 , with a production of almost 100,000
tons , About half of the production was exported . There was a tendency
in 1950 for sunflower cultivation to expand into the northwestern section
of Asiatic Turkey
Turkey . Production is sensitive to price changes , which in
turn are dependent upon conditions in export markets ,
Soybeans are not yet popular as an oilcrop in Europe or North Africa .
Some experimental work is being carried on as far north as Sweden , but
no varieties have been found that will give dependable yields of mature
beans in the northern part of Western Europe, where the cool climate and
November 1950 9
long day - length are limiting factors . soybeans are being grown
Some
commercially in parts of southern France , northern Italy ,
Austria, and
along the Black Sea Coast in eastern Turkey ; but total production for
the whole area in 1949 was only a few thousand tons . Commercial varieties
to date are not well adapted to the areas where grown , and yields have
been low . Insufficient mechanization in areas where soybeans can be
grown also.is impeding expansion of the crop .
Possibilities exist for further expansion of oilseed crops in south
ern France , Turkey , and Morocco without serious displacement of other
crops . The commodities that appear to offer the most promise for these
areas are sunflower seed , soybeans , and safflower seed--a dry - atmosphere
crop which produces a semi -drying oil used for food in Europe . At present
the existing varieties of these crops are not well adapted ; much further
experimental work is needed . Cultural methods need improvement , and in
creased mechanization would help . Moreover , in Morocco , in particular ,
any large- scale increase in agricultural production largely awaits the
development of new irrigation projects .
For the years ahead , Europe will continue to depend heavily on im
ports for its supplies of fats .
The United States is contributing significantly to those imports to

day . But in view of the continued scarcity of dollar exchange, non - dollar
sources of supplies are being used to their fullest extent . Supplies of
imports from such sources , however , are still short . The important thing
for American producers and exporters of fats , oils and oilseeds to watch
is the trend in export supplies from other areas of the world .
DEHYDRATED CHEESE PRODUCT DEVELOPED
Cheese in powdered and tablet form is being marketed in the Nether

lands , according to " Foreign Crops and Markets " , publication of the U.S.
Department of Agriculture's Office of Foreign Agricultural Relations .
The new dehydrated cheese product is made from Gouda and Edam cheeses
under a process which is said to reduce the volume of the cheese by one
half .
At present the product is being made in two types , " Full Fat " , with
a fat content of 44.2 percent , and "40 Plus " , which has a fat content of
40.9 percent . The full fat product has a water content of only 3 percent,
a mineral content of 11.9 percent and a protein content of 40.9 percent .
The " 40 Plus " product has the same water and mineral content but has a
protein content of 44.2 percent .
The OFAR report says that a variety of flavors can be obtained de
pending upon the age of the cheese used for dehydrating .
Inspection Assures Hop Quality
By J. E. Barr
Hops are climbers--biologi

cally, socially and dollar- wise ,
Time was wien hop values were
so erratic that the U. S. De
partment of Agriculture called
" exclusive hop growing" an " ex
ceedingly risky enterprise . "
About that time a 39,000,000
pound crop was valued at 4 mil
lion dollars . Today , a crop
only 25 percent larger brings
producers a return nearly 10
times as great ,
was too , when hops

Time
were used principally in cereal
beverages and for medicinal pur
poses . As a cure - all , hops were
once heralded as a remedy for
ills ranging from itch to in
fluenza , Even today , experts
say that individuals may be
found who believe that sleeping
on a hop - stuffed pillow somehon
guarantees health , Almost alı
hop lovers today , however , take
them in a different form -- in the The hop yard would quickly be
singular flavor they impart to come a jungle if the fast growing vines
beer and ale . weren't trimmed or trained to grow an
the pole, wire and twine supports .
The flavoring of brews is not a new use for the flower or cone of
the fast - growing , perennial vine known as Humulus Lupulus to the botan
ists . Since the days of Charlemagne and before , the substance lupulin ,
made up of resins and essential oils and derived from the hop flower , has
given malt brews their characteristic flavor . Records dated as early as
768 A. D. indicate that the knowledge of hop breeding in certain German
monastaries was related , in fact , responsible for the excellent reputa
tion of their beers and ales .
Hop cultivation in North America dates back to 1620 in New Nether

lands and in Virginia to 1648 , although it did not become an important
crop in America until about 1800. Later , hop cultivation shifted west
ward, first to western New York in the mid - nineteenth century , then to
November 1950 11
Wisconsin after the Civil War , and later on to the three West Coast States
where 98 percent of the United States hop crop is now produced .
The sensitiveness of hops to climate and soil is largely responsi

ble for this migration . About 1900 , hop breeders found that such areas
as the Sacramento Valley in California , the Willamette Valley of Oregon,
and the Yakima Valley of Washington were best suited to produce hop cones
of a high lupulin content , a delicate aroma , and capable of being har
vested with a minimum of leaves and stems . These are the brewmaster's
general requirements for choice hops , and while they are few , they are
rigid . For that reason the emphasis in hop culture has long been as
strong on quality as yield .
Contributing prominently to this stress on quality has been the work

of the Federal - State Hop Inspection Service -- a self- supporting public
service which provides hop producers and brewers alike with an objective
measure of hop value .
Certificates Are Quality Label
Since 1944 this work has been conducted as a cooperative project

with the State Departments of Agriculture of California , Idaho , Oregon ,
and Washingto n . The work is under the direct supervision of B. W. Whit
lock of the Pacific Coast Headquarters office of the Grain Branch at
Portland , Oregon . During the six years this service has been operating ,
more than a million and a half bales of hops-- or about 95 percent of
the period's total production --have been inspected by the cooperating
agencies . Representative samples are analyzed carefully for percentage
of leaf and stem and seed , and upon the basis of the examination , cer
tificates of quality are issued . These certificates are accepted in
the industry as bona- fide evidence of the leaf and stem and seed content
of the hops , and accordingly serve as a sound basis for price for the
hops identified . The inspection and certification are limited to leaf
and stem and seed content at the present time .
The service was originally initiated as a necessary control during
wartime to establish a price base for purposes of the Office of Price
Administration . The real measure of its value , however , is shown by the
fact that producers have almost unanimously voted to continue the ser
vice on a mandatory self- sustaining basis . Producers have recognized the
value of the inspection because it establishes a reward for quality in
higher prices for marketed hops . Brewers readily assume the nominal
charges for the service because it assures them of a swift and accurate
measure of quality at a minimum of expense and effort on their part .
In 1949 , producers voted for a Hop Marketing Order which , for the
first time since the inspection service was inaugurated in 1944 , included
a minimum quality requirement . Under such an order inspection is manda
tory on all hops sold in commercial trade channels .
The actual inspection procedure , whether requested as a requirement

under the marketing order , or for purposes of resale , export , or other
wise , has been simplified to the utmost . The owner of a " lot " of hops
desiring inspection by
the Federal- State Hop In
spection Service , makes
a formal request giving
the identification , loca
tion of the lot , and num
ber of bales . A licensed
sampler from the State
Hop Inspection Laboratory
then proceeds to sample
the lot , drawing core
Samples at random from 15
to 20 percent of the bales
in the lot .
At the inspection
laboratory a portion of
each core is removed and
gently loosened to free
The core sample is deposited in a carton the individual cones. This
for safe - keeping. Cores are taken at random sample is then thoroughly
from 15 to 20 percent of the hales in a lot . mixed in a hop divider-
a device which divides the hops into analysis- sized portions for leaf and
stem and seed determinations .
Two Representative Samples Selected
The hop divider , an ingenious mechanical device developed by the

Grain Branch especially to do this job , splits the sample into two repre
sentative parts . This division is repeated until two representative por
tions of the desired size are obtained . One is used for determining the
percent by weight of leaf
and stem in the lot sam
pled , and another portion
is used for determining
the percent by weight of
seeds ,
Hand sieves with 1/8"

and 1/16 " round openings
now further separate the
hop material into various
sizes . The whole hops
and coarse material re
maining on the larger
sieve are hand - picked to
separate the leaves and
stems from the hops, The
fine material passing
through the 1/16 " sieve
consists largely of lup
ulin, and is returned to Hops are grown for their lupulin , a
the sample and considered powder contained here in hop cones or flowers
as hops . awaiting inspection .
November 1950 13
The middle sized material passing through the 1/8" sieve and re
maining on top of the 1/16" consists of broken leaves and stems , broken
hops , seeds , and " strigs , " or stems of the hopcones , These cannot be
readily separated by hand , but they can be separated accurately and
quickly by the use of the Bates Aspirator , a device also designed by the
Department which uses controlled air currents . Here the remaining leaf
and stem particles are removed , while the fine hop material is returned
to the hops .
The seed determination is made on a divided portion of the original

sample selected from the hop cores ,. This portion is oven dried under
controlled temperature until the lupulin loses its stickiness , and the
leafy material becomes dry and brittle . Now the finely broken leafy
material is easily separated from the seeds by a small Clipper mill -- a
device which combines screening with air blast removal of lighter par
ticles . Strigs or stems still remaining with the seeds are separated by
means of a sand paper lined tray on which the material other than seeds
tends to remain , allowing only the round smooth seeds to roll off into
a receiving pan .
The leaves and stems and the clean seeds which have been separated
from the hops are each weighed separately and the percentage computed by
means of a specially prepared conversion table . The results of the leaf
and stem and seed determinations are then reported to the applicant in
terms of whole percent on the Federal-State hop inspection certificates .
These inspection results , by the way, have been far more pleasing
to most producers in recent years . The records show a remarkable change
in the leaf and stem content during the last 7 years , Leaf and stem in
Oregon hops have dropped from nearly ll percent to about 5.3 percent .
Washington hops have dropped from 10.5 percent to 3.2 percent . California
dropped from nearly 11 percent to about 4.0 leaf and stem.
A Reward for Quality
What these figures mean can be shown by the l cent per pound premium
received by alert producers for each 1 percent decrease in leaf and stem
content below 6 percent . Normally, premiums for low seed content are based
on industry classifications for " seedless hops , " 3 percent or less seeds ;
"semi-seedless hops , " 4 to 6 percent seeds ; and " seeded hops" containing
over 6 percent seeds . There ordinarily is a premium of 10 cents per pound
for seedless hops and a premium of 5 cents per pound for semi - seedless
hops over the price for seeded hops .
Most of this improvement in hop quality must be attributed to cleaner

picking and more careful handling. This has been stimulated by premiums
offered for higher quality as evidenced by the Federal-State Inspection
Certificate issued on each grower's lot .
The exactness of the measurement of quality of the Inspection Ser

vice is only a parallel of the care given to every phase of hop pro
duction . From the point of selecting the site for the hop yard -- through
the fight against insects and diseases and the " training " of the fast
growing hop vines to the handling of the baled cones--producers must
constantly try to insure that conditions will be as favorable as possible
for the singular and exacting plant . While the vine itself is a hardy
perennial which may grow 12 inches in 24 hours , the hop cone or bur de
velops slowly , and is quite fragile . Moreover , hops are highly suscep
tible to a number of diseases and in spite of the care tendered the hop
yard , damp weather may bring on blue mold , powdery mildew , sooty mold,
or the very destructive downy mildew . Climate or weather conditions which
would eliminate the threat of such diseases , however , would not be suited
to hop production , for the vines will not thrive where weather is too
hot and dry or sunshine too strong and constant .
The ideal climate is one where temperature changes are gradual--where

an abundance of soil moisture is available through the period the hop
vines are attaining their growth , but where rains are rare during he
period of cone development and ripening . Producers who can irrigate their
yards can go a long way toward providing such conditions .
Hand Labor Essential
While hop culture has largely been mechanized in recent years-- in

cluding picking and cultivation --the setting of the hon ronts and the
trimming away of excess
growth are still hand
operations . So is much
of the work connected
with the pole , wire and
twine trellis support
upon which the vines are
trained to grow . Since
hops are born climbers-
and always counter - clock
wise , by the way -- this is
not too difficult .
Rows are established

by stretching heavy wires
15 to 20 feet above the
ground , and to the extent
of about 1 1/2 mile of
wire per acre . From this
wire , strands of heavy Hop vines , which may well grow a foot a
twine are tied to stakes day , are trained for their growth aloft on the
trellis .
adjacent to each newly
started vine . Once introduced to the support , the hops quickly make their
growth aloft . Thus , at harvest the twine and hop growth may be cut down
from the semi-permanent pole and wire trellis work and harvested on the
spot by hand picking , portable harvesters , or they may be trucked away
to larger, stationary machines .
the hops are picked , the care that is exercised in
No matter how
separating the cones from the leaves and stems largely determines the
grade of the product and its value as a flavor for brews . Careful handl
November 1950 15
ing during the curing , drying and baling process is also highly essential
to the maintenance of a choice aroma and color .
Before the inauguration of the Inspection Service quality premiums

for domestic hops were based almost solely on individual buyer prefer
ences for such characteristics . The establishing of an inspection ser
vice based on leaf and stem and seed content have not removed these in
dividual preferences but have served to set up standards on character
istics for which there is general agreement .
Those in charge of the Inspection Service have been gratified by the

cooperation exhibited by all segments of the industry . This willingness
to work out problems , and there have been many , has meant that the pro
gram has steadily moved toward its goal of keeping hop quality high , and
rewarding producers for the effort .
RAPID WHEAT QUALITY TEST DEVELOPED
A quick simple sedimentation test of the gluten content and quality

of wheat -- the bread-baking qualities of the grain --has been developed by
the U. S. Department of Agriculture ,
Development work was done under the Research and Marketing Act by
the Grain Branch of PMA , in cooperation with the Bureau of Plant Industry ,
Soils and Agricultural Engineering and various cereal and flour mill
laboratories under contract with the Department.
The test is based upon the fact that gluten in a water suspension
swells enormously and takes up water rapidly when the proper concentra
tion of lactic acid is added . In the test , a small sample of flour is
obtained from wheat ground for two minutes . This flour is sifted and put
into a water suspension in a graduated glass cylinder , Lactic acid is
added . The level to which the swollen gluten settles after a given in
terval is measured . Both the quantity of the gluten and its quality , as
shown by its ability to absorb water , are indicated quickly .
Checked against milling and baking tests made on hard redwinter ,
hard red spring , and white wheat from crops of the past three years , the
following definite conclusions were arrived at :
1. There is a close relation between sedimentation test indications
and bread - baking quality of wheat as judged by comparative loaf volume
and baking scores obtained in experimental bread-baking tests .
2. The sedimentation test is a better indicator than the usual pro
tein test of inferior gluten quality of such wheats as Chieftan and Red
Chief . The protein test does not reflect differences in gluten quality .
3. The sedimentation test appears to be a better index of the bread

baking quality of wheat than the widely used " farinograph " test .
: .6 Marketing Activities
Reducing Cantaloup Shipping Losses
By Philip L. Breakiron
Research has again successfully turned the tables--or crates , that

is--and the results can mean better cantaloups next summer at your break
fast table . A reduction of melon bruising damage by about 50 percent ,
and crate breakage by about two- thirds , may be possible through use of a
crate - on - end loading meth
od tried out in test ship
ments made during the past
season for the U. S. De
partment of Agriculture ,
Placing the crates

in an upright position in
the load makes it pos
sible for the short , heavy
end posts and panels to
A
take the sharp length
wise thrusts jolts
or
which occur in switching
and "humping" cars . This
way , full advantage is
taken of the inherent
structural strength of Melons take a beating when their crates
present type nailed can- are twisted or buckled . Here slats of ca
taloup crates . Heretofore, ventionally loaded crates have been broken by
these rail-wise thrusts end- thrust jolts .
have been absorbed by the longer , lighter, side , bottom and top slats of
the crates . The result : Container breakage , including racked and buckled
crates , sprung slats, and bruised , split, and spilled melons .
Two Savings Indicated
If the reductions in breakage indicated in early tests are confirmed ,

immediate savings would run about $628,000 a year in container damage alone
on the basis of the 1949 loss and damage claim payments by U. S. Class I
railroads of $943,113 . Additional savings in refrigeration costs to ship
pers and receivers of about 5 cents per crate , or approximately $300,000
on a year's shipments on the basis of present rail refrigeration charges
can also be realized from the use of this new loading method .
By reducing or eliminating bruised melons in undamaged crates now en
tering the marketing system at the wholesale level , and part of which fi
nally reach the consumer , substantial savings, above those realized from re
duced breakage and refrigeration costs , are possible . These savings from
November 1950 17
reduced bruising , however , are one of those types of research results
with a very real value difficult to translate into dollars and cents ,
Bruises on cantaloups -- even slight , barely noticeable bruises --mate

rially reduce the market life and keeping quality of the melons . Since
spoilage of the melons following bruising occurs in all subsequent mar
ket channels , and even after the commodity has been purchased by the con
sumer , prevention of bruising and damage to the commodity during transit
is particularly important . And as many housewives know , cantaloups with
bruised and soft spots on the surface are all - too - common in the produce
department of many grocery stores .
In - Transit Damage Studi ed
The research responsible for pointing up these savings had as its

objective the development of improved methods of loading and bracing
cantaloup shipments to eliminate much of the damage now associated with
the transcontinental rail haul's of this commodity . It was carried out
for the Department by the Western Growers Association under the Research
and Marketing Act of 1946 .
In the new on-end loading method the crates are loaded 2 layers high ,
6 rows wide and 26 stacks long, making a total of 312 crates per car .
Crates in the length
wise load are stowed 3
layers high , 6 rows
wide and 16 stacks long,
with a total of 288
crates . Since charges
for standard refriger
ation between given
points are at a flat
rate per car and the
same quantity of " top "
or snow ice is used for
both types of loads ,
the addition of 24
TA crates in the on - end

load results in a low
er per- crate refriger
ation cost .
Jumbo cantaloup crates loaded on - end -- an
arrangement that permits an additional 24 crates During the two
per car .
month period in which
the loading method was tested , a total of 30 test shipments was made from
the producing areas in California to several large eastern markets , with
most of the shipments going to New York City. Melons of the same variety
and quality , packed at regular packing sheds in the usual commercial man
ner were used in the tests . The test loads were shipped in pairs , that is ,
one on - end load and one lengthwise load , from the same points of origin to
the same destination , usually in the same trains . In - transit handling con
ditions encountered by the test cars were recorded on special ride - recording
instruments. Inspections of the test shipments at destination for melon
bruising, splitting and other condition factors were made by USDA inspec
tors , Crate breakage and damage in the loads were carefully checked by
representatives of the Western Growers Association and the Railroad Per
ishable Inspection Agency .
Complete breakage records were obtained for 15 on-end test loads

accompanied by 15 companion cars containing regular lengthwise loads . An
average of only 2.03 percent of the crates were broken in the on- end loads
compared to 7.62 percent in the lengthwise loads . "Bad order " or irrep
arable crates were found in only three of the fifteen on-end test cars
compared to ten of the fifteen lengthwise check cars . On a per car basis ,
the 15 on- end loads showed an average of only 6.3 damaged crates per car
while the 15 lengthwise loads had an average of 22 damaged per car .
Preliminary indications are that the on - end loading method may not
cost any more to use than the conventional lengthwise method that has been
in use for many years . Indeed , there is a very real possibility that the
new loading method may be somewhat more economical to use than the length
wise method and may facilitate faster loading and unloading of the cars .
These aspects of the on - end method , however , will require some additional
investigation .
End Thrusts Jumble Melons
The test shipments also revealed that melons in many crates of the
lengthwise loads were badly jumbled and turned crosswise in the crates .
This condition , in turn , contributed to settling of the packs and ex
cessive bruising of the melons , partic
ularly in the bottom layer crates .
Split or cracked melons were also found
to be more prevalent in lengthwise than
in on - end loads ,
One of the principal questions

raised by some melon shippers and dis
tributors regarding the practicability
of the on- end loads , before the tests
were undertaken , was whether the packs
in the on - end crates settle and cause
severe bruising to the melons in the
bottom end of the crate . Inspection
at destination , however , showed little
or no settling and no jumbling of the
melons in the on- end loads and consid
erably less bruising and splitting of
the melons than in the lengthwise loads.
With removal of the melons in the low
er half of the crates at destination ,
it was found in most cases that melons In on - end crate , melons
in the upper half of the crate actual are suspended by internal
ly remained suspended at that point by crate pressure .
the internal pressure within the packs .
November 1950 19
It is especially interesting to note that the undesirable pack c
ditions which some members of trade thought would render the on - end 1
unworkable were actually more prevalent in the conventional lengthw
load ,
Because of the relatively short shipping season during which the

tests were conducted , it was possible to obtain only a limited number
test shipments from one major producing area of California . These te
will be continued early next summer from other producing areas in Ca
fornia and Arizona .
In response to consumer demands for vine- ripened , better flavo

cantaloups , the western melon industry has been shipping more mature m
ons in recent years . Most of these more -mature melons are particula
susceptible to bruising , especially after the shipment has been on
road about ten days . Such improvements as the on - end loading method gr
ing out of this type of research can make it possible for the melon
dustry to place a better cantaloup on the consumer's breakfast bale .
SUNFLOWER - SEED PRODUCTION OFF SHARPLY
A reduction of 57 percent in the 1950 sunflower - seed crop as compa

with last year is reported by the Bureau of Agricultural Economics . T
year's production of the seed is expected to total 6,300,000 pounds
against 14,600,000 pounds produced in 1949 , and will be 25 percent und
the 1944–48 average production ,
The estimate is based upon sharp reductions in acreage in the thr

important producing states of the country : North Dakota , New Mexico, a
California . Acreage for harvest this year is estimated at 9,200 compar
with 31,000 acres a year ago.
* * *
TOBACCO INSPECTION AND NEWS SERVICE EXTENDED
Free and mandatory inspection and the i:arket news service of the Pi
duction and Marketing Administration has been extended to the tobacco ma
kets at Mayfield , Murray , and Paducah , Ky . Action was taken followi
approval by growers selling tobacco on the markets who voted in a refe
endum late in September .
WOOL TRADE TO AID ARITY
Representatives of the wool importing trade met with PMA officia

in Washington on October 31 to help work out a program to procure an e
timated 30,000,000 pounds of wool , clean basis , requested by the Depar
ment of the Army . The purchase is to be made through normal trade channe ,
20 Marketing Activiti
Trigg Charts PMA Defense Course
The delegation to the Production and Marketing Administration of de
fense production responsibility for food and related farm products has
undoubtedly raised questions for those interested in the marketing of
agricultural products . Many of these questions have been answered in a
recent speech made by Ralph S. Trigg , Administrator of PMA .
According to Mr. Trigg , those interested in the various phases of

agricultural inarketing can continue for the most part to work with the
arits and the people of PMA with whom they are already acquainted , since
the establishei commodity and functional branches of the agency will ini
tiate any action needed in their particular fields and will administer
any programs which are approved ,
Mr. Trigg made this known in a speech before the annual convention
of the Milk Industry Foundation in Atlantic City, N. J. on October 17 .
lthough his remarks were addressed specifically to the dairy industry ,
they apply equally as well to growers , handlers , and processors of other
farm products . Pertinent paragraphs of the speech follow :
" First , let me review very briefly the administrative set-up in the
Department to handle defense activities . I think this is important for
those of you who will have occasion to come to us with problems , and to
work with us in finding the best possible solutions .
Machinery Already Available
" As you know , the President last month assigned to the Secretary of
Agriculture appropriate responsibilities under the Defense Production
act . The Secretary , in turn , delegated the responsibilities for food and
related activities to the Administrator of the Production and Marketing
Idministration . PMA includes practically all of the service and units
thich made up the former War Food Administration , and it was therefore
not necessary --as it was in some other government agencies -- to establish
I new or separate agency .
" Our established commodity and functional branches will have the
basic responsibilities within their areas of operation . The Dairy Branch ,
Por instance , will initiate any action which may be needed in its field ,
ind it will carry out the administration of any programs which are ap
troved . This means that you in the industry can continue to work with
the units and the people with whom you are already acquainted .
"We have established a few offices or special staffs to coordinate
wer - all activities and to maintain necessary working relationships with
lovember 1950 21
other government agencies and with outside groups . These include an
Office of Materials and Facilities , an Office of Requirements and Allo
cations , and a Price Staff . The functions of some other branches and
offices have also been broadened to meet the need for additional opera
tions .
" That is our general administrative plan . Most commodity questions

will go right to the established branches with which you have been work
ing right along . Problems which cut across the board will be referred
to the staff offices . "
* * *
SOYBEAN CHARACTERISTICS AFFECTED BY TEMPERATURE
The idea that "beans are beans, wherever you grow them " has been
under fire for some time by certain chemists and marketing analysts who
have recognized its misleading marketing implications . For years these
experimenters have known that soybeans are sensitive to growing condi
tions ; now they have shown what this sensitivity can mean in soybean
value for a specific purpose .
A report recently issued by the U. S. Department of Agriculture

shows that soybeans produced in the southern States are generally higher
in oil content than those grown in northern States . On the other hand ,
both the protein content of the soybeans and the drying capacity of the
oil tend to be higher in northern grown soybeans . Called "Marketing
Study of the Oil Content of Soybeans as Related to Production Areas and
Climate , " the report has been based on a study conducted under the Re
search and Marketing Act . Copies are now available upon request to the
Information Branch, Production and Marketing Administration , Washington
25 , D. C.
CCC Records Utilized
The report is one of the first marketing studies showing the ex

tent of the relationship between climate and soybeans produced in various
sections of the United States . However , the collection and analysis of
samples of beans from 10 soybean -producing areas was only part of the
study . Similar experiments made earlier were utilized as were the rec
ords of the Commodity Credit Corporation for the years 1943-1945 . AS a
wartime measure , CCC during this period bought most of the soybean crop
on a grade basis and sold it to processors on an oil - content basis .
Analysis and comparison of these data from varied sources furnished the
pattern for the relationship between different soybean characteristics
and the growing conditions that produced them .
Six of the 10 areas surveyed lie approximately on a north - south line
from the Canadian border to the Gulf of Mexico . From North to South , the
oil content of the , soybeans in each of the six areas increased, being
lowest in the most northern area and highest in the southernmost . These
differences in oil content appeared to result primarily from differences
in temperature, vuile differences in rainfall , length of day , and alti
tude had no significant effect on oil content .
Marketing Briefs
marized below completely covered in press releases
are more

the code number given at the end of each item . )
Cotton .-- NO marketing quotas and NO acreage allotments for cotton
produced in 1951. This announcement has been made , together with the rec
commendation that the 1951 cotton crop be increased to 16 million bales ,
needed to take care of increased domestic and export demand and to avoid
depleting the country's reserves . " The present cotton supply situation,
which calls for the sharp increase in production next year , is the re
sult of a combination of conditions , " Secretary of Agriculture arles
F. Brannan pointed out . " Acreage was down in 1950--well below the es
tablished national allotment . Yields were the lowest since 1946 , At the
same time , prospective disappearance of cotton for this marketing year
is at a high level .
" As is the case of wheat and other grains , it is in the public in

terest to have a little more cotton than we need rather than to run the
11
risk of shortage . .
Total supply of upland cotton for the 1950-51 marketing year is

16,405,000 running bales, including an August 1 carry - over of 6,639,000
bales ; indicated 1950 production of 9,637,000 bales ; and estimated im
ports of 129,000 bales , The calculated " normal supply " for 1950-51 is
18,798,000 bales, including estimated domestic consumption of 9,860,000
bales; estimated exports 'of 4,600,000 bales ; and the 30 percent allow
ance for carry - over of 4,338,000 bales . Thus , the total supply is below
the " normal " supply -- the level at which quotas would be called for .
The fact that acreage allotments and marketing quotas will not be
in effect for the 1951 cotton crop does NOT relax any provisions of the
1950 acreage allotment and marketing quota program . All phases of the
1950 program will be carried on to completion as required by the Act and
the regulations , ( USDA 2407-50 )
Interim export allocations for cotton , totaling 2,000,000 running

bales for the period August 1 , 1950 through March 31 , 1951 , have been
announced as a safeguard against exports larger than might be warranted
under the current domestic cotton supply situation . Action was taken by
the Department under the Defense Production Act and the Executive Order
delegating to the Department authority for provisions of the Act relating
to agricultural products . The total allocation was broken down by coun
tries . ( USDA 2468-50 )
November 1950 23
Emphasis on the fact that the export allocation was an " interim ex
port allocation " and that further review would be made , out of which ad
justments of this minimum figure would be made , was contained in a sub
sequent statement by Secretary Brannan , " I want to emphasize the fact
that the allocations announced on October 10 were literally ' interim
allocations for part of the shipping year , " he said. "We must know more
about the grade and quality of the 1950 crop , more about farmers ' plant
ing intentions for next year , and more about the overall situation as it
will be reflected in requirements for cotton before we can determine the
extent to which additions can be made safely to the announced allocations . "
( USDA 2512-50 )
An increase of 146,000 bales , boosting the export allocations to a
total of 2,146,000 bales was announced by the Department on October 23 .
The increase was made possible by the fact that the final census report
on cotton carryover , before the 1950 crop, showed 146,000 bales more than
previously reported and known to be available at the time the original
allocations were ( USDA 2565-50 ) ... A country -by - country breakdown
made .
of this additional allocation was announced on November 2. ( USDA 2669-50 )
An additional increase of 1,350,000 bales in the preliminary and in
terim cotton export allocation for the . August 1 , 1950 - March 31 , 1951
period was announced on November 9. At that time , the Secretary of Ag
riculture said that improved weather conditions and other factors made
the increase possible , As a further measure of protecting domestic cot
ton supplies , however, the Department of Commerce , at the request of the
Department of Agriculture , made export license controls effective for cot
ton waste . ( USDA 2716-50 )
Dairy .-- Completion of arrangements to sell 50 million pounds of Gov
ernment - owned CHEDDAR CHEESE to the United Kingdom Ministry of Food was
announced by CCC . The sale represents about one- half the Corporation's
remaining inventory stocks of CHEESE acquired under price- support opera
tions . ( USDA 2553-50 )
A Federal Milk Marketing order regulating the handling of milk in
the Milwaukee , Wis . , milk marketing area has been issued . The order ,
effective November 1 , was approved in a referendum by more than three
fourths of the dairy farmers participating and who regularly supply the
market . Price and producer payment provisions of the order become effec
tive December 1 . ( USDA 2561-50 )
Fats and Oils. --Price support for the 1950 crop of TUNG NUTS at 60
percent of parity as of November 1 , 1950 has been announced . Average
support price for TUNG NUTS will be $63 per ton , basis 17.5 percent oil
content . Grower - owned TUNG OIL will be supported at 25.1 cents per pound.
As a result of higher pari ty prices , the price support level for the 1950
crop is above the 1949 - crop level of $ 60 per ton for nuts and 24.1 per
pound for oil . ( USDA 2656-50 )
A marketing quota of 650,000 tons and a national acreage allotment

of 1,771,117 acres for the 1951 PEANUT crop have been announced , and a
referendum on marketing quotas for the 1951 , 1952 , and 1953 crops will
be held on December 14. ( USDA 2596-50 )
Announcement has been made that 1950 - crop Virginia and Valencia - type
peanuts acquired by CCC from acreage in excess of the 1950 allotted acres
will be offered for sale by the Corporation for edible use at prices not
less than 105 percent of the applicable support prices for edible peanuts
plus carrying charges . Proceeds from the sales of these peanuts , after
deduction of all costs to CCC , will be prorated proportionately among
all producers delivering the excess peanuts to CCC at oil prices . ( USDA
2441-50 )
Citrus Fruits .-- Members and alternate members of the ORANGE Admin
istrative Committee who will serve under the amended California - Arizona
orange marketing agreement order program during the two-year period end
ing October 31 , 1952 , have been named by the Department . ( USDA 2631-50 )
Members and alternates of the LEMON Administrative Committee who will
serve for the same period under the California - Arizona lemon marketing
agreement and order program also have been announced . ( USDA 2629-50 ) ...
One of the principal functions of the two committees will be to recom
mend to the Secretary of Agriculture , after investigation of supply and
demand conditions , the quantities of their respective fruits which should
be shipped weekly .
Fruits and vegetables.--Proposed revision of U. S. Standards for
Grades of Pitted and Unpitted Sulfured CHERRIES were published in the
Federal Register on October 6 , as a notice of proposed rule making . A
period of 90 days is provided for packers , distributors, and other in
terested parties to submit comments and suggestions , ( USDA 2412-50 )
POTATO growers in North Dakota, Minnesota , Wisconsin , Michigan , and

certain designated counties of Iowa and Indiana approved amendments to
the potato Marketing Order No. 60 , covering that area , in a referendum
held September 25-30 . The amendments , approved by 75.3 percent of voting
growers of the area , provide for more flexible operation of the order and
for expansion of the existing production area to include the commercial
potato counties of Iowa and Indiana . ( USDA 2432-50 ) ...New members and
alternates of the North Central Potato Committee, to represent Iowa and
Indiana , were announced on October 30 . ( USDA 2628-50 )
A Federal Marketing Order , effective November 11, regulating handling

of potatoes grown in Massachusetts , Rhode Island , Connecticut , New Hamp
shire , and Vermont together with 1950 support prices for those States ,
has been announced . The order was favored by producers of 69.3 percent
of the potato production represented in the voting in the referendum on
the order . (USDA 2627-50 )
Grains.-- CORN support rates for the 1950 crop ranging from $1.36 to
$1.64 per bushel in commercial corn counties and from $ 1.02 to $1.30 per
bushel in non - commercial corn counties have been announced . Last ear
acreage allotments were not in effect for corn , and a support rate aver
aging 90 percent of parity was mandatory for all producing areas , making
the national support rate $ 1.40 per bushel . This year , with acreage allot
ments in effect in the " commercial " but not in the "noncommercial" area ,
support at the 90 percent - of - parity level is available only to " ermmer
cial " . area.. For the "noncommercial" areas , where acreage allotments
November 1950 25
are not in effect , the law limits support to only 57 percent of the 90
percent - of - parity level . Rates for individual counties are available in
State and county PMA offices . ( USDA 2437-50 )
Final reports showed that farmers put 386,354,413 bushels of 1949

crop CORN under price support . This total includes loans later redeemed
and purchase agreements under which no deliveries or only partial de
liveries were actually made . ( USDA 2497-50 )
There will be no marketing quota in effect for the 1951 CORN crop
and acreage allotments will be set at levels high enough to provide a
substantial increase in production next year , it has been announced by
Secretary of Agriculture Brannan . The action is being taken in order to
assist in assuring abundant production of meat and other livestock prod
ucts , The Secretary pointed out that his announcement should make it
possible for farmers to go ahead with plans for breeding an increased
number of sows and for preparing their land for corn in those areas where
this is done in the fall . ( USDA 2657-50 )
Naval Stores .-- The first Federal Market News Service on turpentine
and rosin has been put into effect with headquarters at Savannah , Ga .
Price and other market information collected and distributed through the
service will give producers , dealers , consumers , and the trade generally
information covering transactions at Savannah , Jacksonville and Pensa
cola , Fla . , Mobile , Ala . , New Orleans , La . , New York City , and Other
points . ( USDA 2592-50 )
Sugar .-- The amount of sugar charged against 1950 quotas during the
period January through September amounted to 6,534,108 short tons as com
pared with the quota for this year of 8,700,000 short tons . Charges
against the 1949 quota during the same period last year totaled 5,904,707
short tons . (USDA 24644-50 )
An embargo on all exports of MOLASSES in order to prevent depletion

of supplies that will be needed to meet essential uses in the United
States has been requested of the Department of Commerce by the Depart
ment of Agriculture . ( USDA 2546-50 )
Time for submitting written data , views or arguments in connection
with proposed U. S. Standards for Edible Sugarcane MOLASSES and proposed
U. S. Standards for Sugarcane SIRUP has been extended from October 26 ,
1950 to January 20 , 1951. Such information should be filed in duplicate
with the director of the Sugar Branch , PMA , U. S. Department of Agricul
ture , Washington 25, D. C. ( USDA 2598-50 )
A public hearing on sugar requirements ior 1951 will be held in the
Thomas Jefferson Memorial Auditorium of the U. S. Department of Agricul
ture , Washington , D. C. beginning at 9:30 a.m. , November 28 , 1950. The
hearing will afford all interested parties an opportunity to present data ,
views , or arguments with respect to sugar requirements and the establish
ment of sugar quotas for the continental United States for the calendar
year 1951. ( USDA 2689-50 )
ABOUT MARKETING
The following address and publications, issued recently , may be ob

tained upon request . To order , check on this page the publications de
sired , detach and mail to the Production and Marketing Administration ,
U. S. Department of Agriculture , Washington 25 , D. C.
Address :
What Lies Ahead in the Defense Effort , a talk by Ralph S. Trigg,

Administrator of the Production and Marketing Administration and Presi
dent of the Commodity Credit Corporation , at the Annual Convention of the
Milk Industry Foundation , Atlantic City , N. J. , Oct. 17 , 1950. 9 pp .
( Processed )
Publications :
Distribution of United States Food

Food,, July 1 , 1949 - June 30 , 1950 .
October 19 , 1950. 12 pp . ( Bureau of Agricultural Economics , the Office
of Foreign Agricultural Relations , and PMA ) ( Processed )
Good Planting Seed Will Be a Key Factor in Cotton Production in 1951 .
Leaflet)) October 1950. ( PMA ) (Printed )
PA-137 ( Leaflet
Consumer Fruit and Juice Purchases April - June 1950. September 1950 .
49 pp . ( BAE and PMA ) ( Processed )
Availability of Certain Fresh Fruits and Canned and Frozen Juices
in Retail Food Stores
Stores , August 1950. September 1950. 19 pp . ( PMA )
( Processed )
Inventory and Hedging Policies of Commercial Mixed - Feed Manufacturers

in the United States . AIB No. 24. September 1950. 45 pp . ( BAE and PMA)
in cooperation with Agricultural Experiment Stations of Illinois , Oregon ,
Pennsylvania , Tennessee , and Texas ) ( Processed )
Varieties Grown by
Fiber and Spinning Test Resultsfor Some Cotton 7 pp .
Selected Cotton Improvement Groups , Crop of 1950. September 1950 .
Cotton Classing Services Available to Farmers . October 1950. 3 pp .

(PMA ) ( Processed )
School Lunch and Food Distribution Programs Selected Statistics ,
Fiscal Years 1939-50 . September 1950. 15 pp . ( PMA ) (Processed )
Official Standard Grades for Dark Air -cured Tobacco ( U.S. Types 35 ,
36, and 37 ) September 1950. 8 pp . ( PMA) ( Processed )
November 1950 27
ABOUT MARKETING ( Cont'd)
United States Standards for Grades of Canned Grapefruit and Orange

For Salad , Effective August 7 , 1950. June 30 , 1950. 11 pp . ( PMA )
( Processed )
Because of the importance of proper grain storage and the special
interest this year in corn drying , attention is called to the following
publications on these subjects :
Handling and Storing Soft Corn on the Farm , FB No. 1976. September
1945. 13 pp . ( Printed)
Storage of Small Grains and Shelled Corn on the Farm . FB No. 2009 .
September 1949. 30 pp
pp . (Printed )
Storage of Ear Corn on the Farm . FB No. 2010. september 1949 . 27
pp . ( Printed )
Mechanical Drying of Corn on the Farm . Circular No. 839 . March
26 pp .
1950. 26 ( Printed )
desire .-- Editor )
NAME
ADDRESS
CITY ZONE STATE
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December 1950
LIBRA
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(PM JAN
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ACTIVITIES
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OLIIDS
VI
Washington 25, D.C.
Agriculture - Washington
LOOK FOR THE CHANGE IN BEEF GRADES
By Fred J. Beard . Page 3
Consumer beef grades have been revised, effective as of December 29 .

The changes are designed to permit more complete identification for con
sumers , particularly of the lower grades of beef . Mr. Beard is in charge
of meat grading and standardization in the PMA Livestock Branch .
THE FLAXSEED PICTURE
By George L. Prichard . Page 7
Here's a timely stock-taking of flaxseed and linseed oil by the Di

rector of PMA's Fats and Oils Branch .
SAMPLE SHELLER DEVELOPED FOR RICE

By Walter McCrea , Jr. Page 13
Rice drying has been something of a necessary bottleneck . Generally ,

you couldn't shell it until it was dried , and drying was often pretty awk
ward until you'd shelled some of it to see just what kind of rice it was .

Look For the Change in Beef Grades
By Fred J. Beard
Those guideposts to quality Federal beef grades SS

have been
changed . Consumers accustomed to buying their beef according to grade
will want to familiarize themselves with these changes , effective as of
December 29 , 1950 . In brief, the revisions do the following :
( 1 ) Combine present Prime and Choice under the name Prime.

( 2 ) Rename the present Good grade as Choice .
( 3 ) Set up a new grade Good for the better quality ,
young animals now included in the Commercial grade .
( 4 ) Leave the remainder of the Commercial grade consisting

chiefly of beef from older animals in the Commercial
grade .
Change in Name Only
The greatest number of Federal grade users to be affected by these

changes will be those who use and prefer beef that falls in the present
Good grade . However , users of this popular grade will find the change a
simple one to follow since a change in name is the only revision being
made in this grade . Consumers will need only to call for Choice grade
instead of Good after December 29 .
The mostsignificant part of the revision gives consumers an en

tirely new grade of beef . Beef in the new grade will come from young ,
better quality animals now graded Commercial . This beef is relatively
tender and provides cuts of smaller size than those in most other grades .
It is also a kind of beef now popular with many consumers because of its
high ratio of lean meat to fat . This kind of beef does not now have a
grade identification of its own as it is presently lumped in Commercial
grade along with beef from older animals , Consumers who want beef of
this new grade should look for the Good grade stamp after December 29 .
Another part of the change will not affect many homemakers . This is
the combining of Choice and Prime beef grades under the name Prime .
Not many consumers have an opportunity to buy Prime grade beef over the
counter and for that matter very little of the present Choice finds its
way into retail stores . The two grades make up only about 10 percent of
our total beef production . Most of the beef that is now graded either
Choice or Prime goes to specialty shops , deluxe hotels and restaurants ,
December 1950 3
Which Piece of Meat Would You Buy?
Y
Many people select their beef on the basis of its marbling . That
characteristic in these two rib eyes looks much alike yet the beef is
vastly different . Of course , black and white photographs can't tell
the entire story because color of both the lean and bone are very im
portant and can't be seen here . These rib eyes are from carcasses at
the opposite ends of the range of Federal grades normally available to
consumers . WHICH WOULD YOU BUY ? ( See box on page 6 for answer . )
The remaining grade affected by the changes is Commercial . The ad
vantage of lifting the beef from the higher quality young
animals now
included in this grade to the new been pointed
Good grade has already
out . Because of the wide range of beef now included in the present Com
mercial grade, it has had very little use as a guide for determining
meat quality . Commercial grade will continue to fill the bill for those
desiring beef from older and more mature animals . It needs to be cooked
longer than does beef in the other grades-- also needs a different method
of cooking--with moist heat or similar methods . But it is full of fla
vor , and as one of the Federal meat graders once said , " There's a lot of
good and economical eating in this grade of beef . "
This wraps up the changes in grades rather completely but there are
two or three other points that need to be cleared up as well . Some have
expressed fear that the level of beef prices will be affected by the
changes . We are convinced that it should not be for many reasons .
Let's take the present Good grade as an example . After December 29 ,

the only change in the present Good grade will be the name -- Choice . The
supply of this kind of beef will not be altered . There will be just as
much or as little of this kind of beef as there would have been if the
changes hadn't been made , So a major factor influencing price , supply ,
remains the same regardless of changes in name .
Doesn't Alter Meat Budget
Another major factor affecting beef prices is consumer demand . This

in turn is affected primarily by income and certainly a change in grade
names will not affect that . But aside from the consideration of total
income neither is the proportion spent for ' meat likely to change . It is
extremely doubtful whether consumers ' meat budgets will be changed merely
because the name of Choice is used instead of Good on the same quality
beef.
Of course , any change such as this one is apt to cause some confusion
at the However , since most retail stores carry only one grade
outset .
of meat , any confusion should be at a minimum . Retail stores will play
an important part in the price effects , too , and because competition is
exceedingly keen at the retail level , it is unlikely that the price for
a particular quality of meat will be increased following a change in
grade name only . Since grading is on a voluntary basis and a much larger
percentage of our total beef supply is sold ungraded than graded , a change
in beef grades can have no significant effect upon beef prices .
The changes in beef grades were dictated by necessity . Those who
wanted to use Federal grades as a guide in buying meat have found that a
certain kind of meat which is preferred by many consumers simply has not
been adequately identified . This represents a substantial proportion
of beef now found in retail stores . Many consumers prefer this beef be
cause it combines tenderness and a high ratio of lean to fat . The new
grade identifies this kind of meat . It doesn't bring a new kind of meat
into markets nor does it change the quantity of any kind of meat -- it
simply removes from anonymity a kind of meat that has been becoming in
creasingly popular with many people ,
5
December 1950
WHICH WOULD YOU BUY ??
The two pictures on page 4 show rather conclusively why con

sumers are wise to buy their meats federally graded . Rib eye X is
of the new Prime and rib eye Y is of the Commercial grade . If your
menu calls for a tender , juicy roast that can be cooked and served
rare , the Prime grade rib eye fills the bill . Coming from young ani
mals with a high finish , Prime grade beef is naturally tender , juicy
and full of flavor .
While the Commercial grade beef looks similar to Prime grade

beef in this instance , it has less natural tenderness because it comes
from older, and more mature animals . As a result , cuts of this grade
must be cooked longer and in a different manner , preferably with a
slow , moist heat .
Federal meat graders know the differences in meat quality and

thus their grade mark on meat assures users of uniformity and greater
satisfaction in their meat purchases .
Revisions Follow Lengthy Study
The changes in beef grades have been under study for many months and
were arrived at as the most satisfactory solution only after many consul
tations with those who
use Federal beef grades .
Though the changes were
formally proposed last
May , informal discus
sions preceded this move .
At that time, comments
on the change were in
vited from all who wished
to offer them . In ad
dition , a public hear
ing was held in Chicago
in July at which any
one interested could
present views on the
changes , On basis of
the record established
through these comments ,
the decision to put the
changes into effect was
made in the latter part Meet the new Choice grade of beef. formerly called
of November with the Good , this grade was extremely popular among consumers
because the beef is juicy and tender , usually leaner
changes becoming effec than Prime . Many cuts of this new Choice grade may be
tive December 29 . broiled and roasted . By far , the largest percentage of
meat graded falls in this grade .
The following table summarizes the change :
Present Grade New Grade Description

Prime
Excellent quality beef , with a
Prime wide selection of cuts suitable
Choice for broiling and roasting .
Most popular grade now . High

quality beef , usually leaner
Good Choice than new Prime . Cuts are juicy
and tender with a desirable fla
vor .
From higher quality young ani

mals now graded Commercial . Rel
Good atively tender and cuts will be
smaller in size than in other
grades .
Commercial
Mostly from older animals . Has
a beefy flavor . Will provide ec
Commercial onomical dishes . Cuts will re
quire different cooking methods
because of less natural tender
ness .
Utility Utility seldom found in

Lower grades
Cutter Cutter retail stores are unchanged .
Canner Canner
Imprint on Most Cuts
These identifying grade marks will continue to appear on beef in

a ribbon like purple stamp , as in the past, and the imprint should be
on most retail cuts . The purple fluid used is a harmless and pure vege
table color that usually disappears in cooking . Not to be confused with
the grade stamp is the Federal inspection stamp put on meat by the Bureau
of Animal Industry . This round purple stamp shows that the beef has been
inspected and passed as wholesome food . The grade stamp indicates qual
ity identification .
In determining grades of meat , Federal graders take into considera
tion three factors -- conformation , finish and quality . Conformation is
the general shape or contour of the carcass or wholesale cut . Finish
is the degree of fatness on the outside and interior of the carcass .
Quality is determined by the texture , color , firmness of the flesh and
degree of marbling which is the fat intermingled throughout the lean .
In making this examination and identifying the proper grade on the car
cass , the grader provides consumers with an expert evaluation of meat
quality .
As pointed out earlier , grading is on a voluntary basis . The ser
vice is self- supporting and the cost is borne by the individual or con
December 1950 7
cern having the grad
ing performed . The cost
per pound is only a
small fraction of a
cent .
Also federally
graded in addition to
beef , are calf , veal ,
lamb and mutton . Grade
changes corresponding
to those for steer ,
heifer and cow carcas
ses discussed in this
article are con tem
plated for calf and
veal . A proposal has
also been made to change
slaughter steer , heif
er and Cow grades in Here is the new grade of beef now called
line with the carcass Good .It is from young animals , and as a result ,
changes . These changes is relatively tender . Because it has a high
in grades for live ani ratio of lean to fat and provides economical
mals will be discussed meat dishes , many consumers now prefer this kind
in a future MARKETING of beef . Another feature of this beef that
ACTIVITIES article , appeals to many homemakers is the small size
roasts and steaks that come in this grade .
* * * Large quantities of this kind of beef are regu
larly being sold through retail channels although
the former grade standards did not provide for adequate identification .
With the change , consumers now have an opportunity to buy this beef ,
by grade .
Summarizing , it is impossible to say that one grade of beef is

better than another one . Each grade provides meat that is best for a
purpose . For that reason , consumers should buy beef with its eventual
use in mind .
GREATER PORK PRODUCTION INCREASES TOTAL OUTPUT
Production of commercial meat for the ll -month period January -November

totaled 2 percent above production for the comparable period last year ,
reports the Bureau of Agricultural Economics . The 6 percent increase in
pork production for the ll months this year more than offset an 8 per
cent decline in veal production and the unchanged rate of beef output .
Lamb and mutton production increased l percent . A comparison of numbers
slaughtered in the two periods shows a decline for all species except
hogs , which were up 8 percent . The declines were : cattle l percent ,
calves 8 percent , and sheep and lambs 3 percent , the BAE reports ,
The Flaxseed Picture
By George L. Prichard
A year ago the available stocks of linseed oil and flaxseed were
labeled by many as a burdensome surplus. This outlook was based on the
large stocks owned by the Commodity Credit Corporation and the additional
quantities of flaxseed to be acquired from the 1949 crop .
Today , those labels have changed. The big stores of linseed oil and
the present 1950 crop of flaxseed may be looked upon as a desirable re
serve , adequate to meet almost any emergency . Our program of building
up and maintaining production in the United States has made us independ
ent of uncertain imports in addition to serving its original purpose .
Total supply of flaxseed for the crop year 1950-51 beginning July 1
was estimated at about 52,199,000 bushels , which included the 1950 - crop
of 35,224,000 bushels the Bureau of Agricultural Economics estimates will
be harvested this year , and a carry - over of 16,975,000 bushels . Total
stocks of linseed oil on July l amounting, to 579 million pounds , were
equivalent to an additional 29 million bushels of flaxseed , making a
grand total supply equivalent to 81 million bushels ,
Stocks Approximate Year's Requirements
As of December 1 , 1950 , CCC had an inventory of approximately 3.2

million bushels of flaxseed and about 528 million pounds of linseed oil ,
including quantities yet to be delivered under toll crushing arrangements .
This is equivalent to about one year's domestic requirements even at the
current high rate of consumption , This inventory resulted from support
price purchases from the large 1948 and 1949 crops ,
CCC acquired 24,563,247 bushels of 1948- crop flaxseed and about 312
million pounds of linseed oil produced from the 1948 crop under the 1948
price support program . The 1949 crop also exceeded immediate require
ments and under the loan and purchase agreement program CCC acquired
8,926,677 bushels of flaxseed .
Under negotiated toll -crushing contracts , CCC has converted 13.3 mil
lion bushels of flaxseed to linseed oil by concurrently selling the seed
to domestic crushers and purchasing the resulting oil . This policy of
entering into crushing contracts was adopted because it permitted CCC to
dispose of the meal content of the flaxseed when meal prices appeared
favorable , and it made more storage space available for other grains and
enabled COC to move some of its flaxseed which had been temporarily stored
in ships . Moreover , linseed oil can be stored more cheaply and with less
danger of deterioration than flaxseed . Finally, it made possible the
December 1950
operation of seaboard crushing mills which normally received imported
flaxseed for crushing , as well as interior mills when other flaxseed was
not available .
Outright sales of flaxseed to December 1 , 1950, particularly in the

last six months , were large , leaving the CCC stocks of flaxseed at a low
level . The major part of these sales was to domestic crushers . Some
linseed oil also has been sold , but ample stocks are still held by the
Corporation .
For December , CCC is offering flaxseed for export at $3.50 per net
bushel basis in store at Minneapolis , or other points of storage, and is
offering linseed oil for export at 14 cents per pound , f.o.b. tankcars
at storage locations . For domestic sales , flaxseed is offered at mar
ket price , but not less than $ 3.52 per net bushel basis in store Minne
apolis , and linseed oil at market price , but not less than 13.75 cents
per pound basis f.o.b. tankcars Minneapolis .
Minimum Price Policy
It was announced when the domestic sales price list for September was
issued that domestic prices would not be reduced below these minimum
prices through January 31 , 1951. It was believed that this announcement
of minimum price policy for flaxseed and linseed oil for several months
in advance would be beneficial to farmers , dealers, crushers and users
of linseed oil . The minimum prices , which are considerably above the
support price for 1950 , were at a level which would permit linseed oil
to remain in a favorable competitive position with a lower soybean oil
price should there have been any substantial decline in soybean oil prices
after the announcement was made ,
It has been announced that the 1951 flaxseed crop will be supported
at an average price of $2.65 per bushel to farmers, or about $2.90 per
bushel Minneapolis basis . This support price will be implemented by
loans and purchase agreements similar to those in effect for the 1949 and
1950 crops . Direct purchases from farmers will again be made in the des
ignated Texas counties if necessary . It is hoped that this support price
guarantee plus the market prices for the last two crops will result in an
adequate acreage in the U. S. for 1951 .
Consumption Increasing
Beginning in May , consumption of linseed oil increased sharply.
Stepped up industrial activity and the increases in price of competing
oils resulted in a consumption of over 193 million pounds of linseed oil
during July -September 1950 , as compared with 156 million pounds during
the same period last year . It is anticipated that consumption of linseed
oil will remain at a high level throughout the year . For the period
July 1 , 1950 , through June 30 , 1951 , it should be between 700 and 800
million pounds, as compared with about 526 million pounds during 1949-50 .
Although the use of linseed oil has declined from 70 percent of total
drying oil consumption during 1935-39 , it still accounts for more than
50 percent of the total and we may expect this percentage to increase
this year .
The linseed oil market picture is not complete without considera
tion of the principal competitive oils : soybean , tung , castor , and fish
oils .
Practically all of our castor oil supplies are imported , princi

pally from Brazil , where this year's crop is estimated at about 143,000
tons , as compared with 219,000 tons last year . In addition to the smaller
import availabilities , increased defense and industrial activities re
quire larger quantities of castor oil for other than drying oil purposes ,
particularly in the chemical field , During the last few years there has
been renewed interest in the production of castor beans in the United
States , and in view of the strategic importance of this oil , domestic
production is most desirable ,
While production of fish oil continues at about the same level as

last year , U. S. exports of fish oil from January - September of this year
were much higher and totaled about 53 million pounds, of this quantity ,
38.0 million pounds were exported during the July - September period , which
is almost equivalent to the 38.6 million pounds exported during the en
tire year 1949. Except for a relatively small technical usage , fish oil
can be replaced by linseed oil .
Normally , linseed oil price levels are relatively higher than those
for soybean oil . However , a recent change in this price relationship
has decreased the relative demand for soybean oil for drying uses , a
factor which will likely favor a moderately lower disappearance of soy
bean oil for drying oil purposes during this crop year .
Trung Production Down
Import supplies of tung oil are uncertain and the domestic crop is
reduced because of a freeze last Spring. U. S. production of tung oil
from the 1950 crop is estimated at a little over 15 million pounds , or
over one- third less than last year . The price of 1950 tung nuts is being
supported at $ 3.00 per ton and tung oil at 25.1 cents per pound , f.0.b.
tankcar at producing mills . Price support is available only to tung nut
producers and has been fixed at 60 percent of parity, the minimum per
mitted by law .
Indications are that the 1950 flaxseed crop will not produce enough
linseed oil to meet U. S. demands and thus further . drains will be made
upon CCC oil inventories . However , CCC will still have a substantial
carry - over at the end of the current crop year . So , unless the 1951 crop
of flaxseed is unusually small , supplies of linseed oil should be ample
for all purposes through the 1951-52 crop year and leave at least a nor
mal carry -over into the 1952-53 crop year .
Latest estimates of world production of flaxseed for 1950 indicate
a total of about 140 million bushels or about the same as in 1949 . Can
ada's production of flaxseed for 1950 is currently estimated at about
4.5 million bushels compared with 2,300,000 bushels produced in 1949 .
Uruguayan production is estimated at 3 million bushels in 1950 , which is
approximately the same as last year's production , Mexican production in
11
December 1950
1950 apparently declined to 1,575,000 bushels compared with 2 million
bushels produced in 1949. Production of flaxseed in French Morocco has
been sharply reduced to only 551,000 bushels in 1950 from the 2,400,000
bushels produced in 1949 .
Last March, Argentina farmers were requested to increase their 1950-51
flaxseed plantings to a total of 4.9 million acres for 1950-51 . This
request was followed by an announcement that the new official producer
price for flaxseed would be increased by 21 percent to the equivalent
of $3.10 per bushel delivered in bags on track Buenos Aires . Apparently
farmers thought the new wheat price of $2.27 per bushel was more favor
able and flaxseed acreage was not expanded as requested. Plantings are
now estimated at about 3.0 only 8 percent above the
million acres or
1949-50 acreage . Production of Argentine flaxseed from the 1950-51 crop
is estimated at about 35.5 million bushels as compared with 25.6 million
bushels produced in 1949-50 . This is still much less than prewar pro
duction which averaged 59.6 million bushels during 1935-39 . Argentine
stocks of flaxseed and linseed oil remain at high levels . Stocks of
flaxseed and linseed oil held by the Argentine Trade Promotion Institute
on June 30 , 1950 , are estimated at about 12 million bushels and 300,000
metric tons , respectively .
Argentina may again resume the commanding flaxseed position held by

that country in the two decades preceding World War II when she supplied
about 80 percent of the world requirements of flaxseed . About 1945 Ar
gentina reversed its former practice and began expanding its oilseed
crushing industry and exporting linseed oil instead of flaxseed . Until
recently flaxseed exports were prohibited . A change in Argentina's policy
regarding exports of flaxseed began with the Argentina - United Kingdom
Trade Agreement in 1949. Under this contract , the United Kingdom agreed
to purchase certain quantities of flaxseed and linseed oil . Argentina
has recently enetered into trade agreements with other nations by con
tracting to exchange agricultural commodities , particularly flaxseed and
linseed oil , for industrial goods and other essential products .
In September 1950, the Argentina Trade Promotion Institute announced
that linseed oil exported for U. S. dollars would be at the rate ( U. S.
equivalent ) of about 13.8 cents per pound, compared with the U.S. equiv
alent of about 15.2 cents per pound , f.0.b. Buenos Aires for other foreign
exchange . However , the export rate for flaxseed , regardless of exchange
offered , is at the U. S. equivalent of $ 4.06 per bushel , f.0.b. Buenos
Aires .
GRADE A MILK MORE PROFITABLE
Farmers who can sell milk to dairies that distribute Grade A milk
may get all the way from 50 cents to $1.30 per hundred pounds more if
their product is grade A rather than manufacturing grade , points out
Iowa State's BETTER IOWA . This increased return should make it possible
for a producer with 10 cows to recapture in one year 90 percent of the
necessary outlay for additional equipment needed for Grade A production .
Sample Sheller Developed for Rice
By Walter McCrea , Jr.
An experimental device -- an electrically
operated portable rice
huller is now paving the way for swift and more efficient handling of
-
rice taken directly from the combine or thresher . Designed to hull rice
with the high moisture content which it contains at harvest , the machine
enables handlers to blend lots of like quality and condition before the
rice must be put through the necessary but time consuming drying process .
The new gadget has not been engineered to improve upon the rice
hulli ng now performed by the standard commercial machines , but simply to
do the job anywhere on a small , representative sample of any lot of rice ,
The high moisture condition frequently above 20 percent in rice at
harvest --
prohibits hulling with conventional equipment . The new de
vice shells such rice easily .
Identification Speeds Drying
Because some of the characteristics which distinguish one lot from

another are not apparent until the rice is hulled , most of the crop has
been dried lot by lot , and then bulked with other comparable rice . The
necessity for keeping each lot separate slows down the drying operation
by at least one third , since all grain of a lot must be run out of the
drier before the next lot is admitted .
Since rice processing is essentially a precision operation , such lot

characteristics as brittleness , grain size , regularity of shape , and per
centage of red rice must be known , The earlier these characteristics can
be determined , the less the waste of time and labor in the preparation of
rice for milling .
This whole procedure , incidentally, differs fundamentally from that

for wheat , because the end result is not flour , but polished whole grains
of one size and color . In order to keep breakage to a minimum , the pro
cessing machinery must be set precisely for each lot to suit the charac
teristics of the grain handled .
Knowing these facts about rice at harvest holds still another advan
tage for producers and purchasers it gives a particular lot a "handle"
and serves as a basis for grade and price .
The principle of the new sheller differs from that of commercial
hullers or shellers in that the conventional horizontal stones which
dislodge the hulls from the kernels have been replaced by a rubber and a
ribbed- steel roller combination . Almost touching , these rollers rotate
13
December 1950
at different , critical speeds a twist which serves to eject the grain
from its tight jacket . A sample of 1,000 grams , about 2 pounds, is ade
quate to produce a cleaned , representative sample of the lot of rice in
question . Time required for the entire test may not exceed five min
utes .
Useful for Checking Seed
Because of the simplicity of the operation of the sheller , its rela

tively low cost , and mobility , ( the machine weighs between 35-40 lbs . )
it is adaptable to other uses in rice seed houses . Here , lots of un
hulled rice , marked for seed purposes , may be checked quickly for puri
ty as well as its general characteristics . Rice driers too , should find
the device useful to properly identify lots of rice which have accumu
lated for drying.
The new device was developed by a commercial firm to meet the ser
vice requirements of equipment needed in a rough rice standardization
project of the USDA . The project is financed under authority of the
Research and Marketing Act of 1946 . Further information concerning the
huller may be obtained upon request to the Grain Branch, Production and
Marketing Administration , U.S. Department of Agriculture , Washington 25 ,
D. C.
NEW AUTOMATIC COTTON SAMPLER DEVELOPED
A mechanical cotton sampler that automatically collects lint during

ginning and packages a cross section of the bale into a true sample , has
been developed at the USDA's Stoneville , Mississippi , cotton laboratory.
The sampler diverts small amounts of cotton flowing through the gin
lint flue at six periodic intervals during the ginning of a bale and
presses and packages this cross section of the bale contents into an ac
tual sample , which carries the same identification as the bale from which
it was taken . The device is entirely automatic and resets itself to re
peat the process for each bale ginned .
The uniform size and preparation of samples taken by the new machine
are favorable to accurate classification . The sample is long enough and
contains enough cotton to allow it to be divided into duplicate samples.
This eliminates the need for a later cutting of samples, Under present
sampling methods several are usually cut from each bale , resulting in se
vere mutilation of the bale covering , and appreciable loss of cotton and
a high over-all cost . Present methods also do not furnish a representa
tive sample of a bale unless it contains the same quality of cotton
throughout . Samples collected by the new machine are valuable in deter
mining presence of mixed qualities in a bale and should be of special
benefit to spinners , since they can evaluate the actual contents of a
bale without opening it and can select bales of uniform quality.
Marketing Briefs
marized below are more completely covered in press releases
the code number given at the end of each item. )
Cotton .-- Export allocations for both hard and soft cotton wastes
have been established by joint action of the U. S. Departments of Agri
culture and Commerce . Action is in line with control on cotton exports
taken earlier to conserve essential domestic stocks of the product . (USDA
2877-50 ) ... Price support for the 1951 upland cotton crop has been estab
lished at 90 percent of parity as of August 1 , 1951 . There will be NO
marketing quotas or acreage allotments in effect . In making announcement,
Secretary of Agriculture Charles F. Brannan reiterated that a crop " of
at least 16 million bales " is needed next year . ( USDA 2825-50 )
Dairy .-- Deadline for interested parties to file their views and
comme nts on propo sed U.S. standards for grades of MILK used in the manu
facture of dairy products has been extended until June 30 , 1951 . ( USDA
2971-50 ) ... Official standards for grades of CHEDDAR CHEESE , replacing
tentative standards in effect since 1943 , have been announced , effective
January 2 , 1951. Based on flavor and odor , body and texture , color , and
finish and appearance , the standards establish the following grades : U.S.
Grade AA ; U.S. Grade A ; U.S. Grade B ; and U. S. Grade C. ( USDA 2914-50 )
... Sale of 4.4 million pounds of CHEDDAR CHEESE and 15 million pounds of
NON FAT DRY MILK SOLIDS to the U. N. International Children's Emergency
Fund , has been announced . ( USDA 2729-50 ) ... An additional sale of 4 mil
lion pounds of CHEDDAR CHEESE in December brought the total amount sold
to this organization up to 13.4 million pounds . ( USDA 2952-50 )
Fats and Oils.--Bids for the purchase of substantial quantities of
refined or unrefined lard for delivery during November , December and Jan
uary have been invited by the Department of Agriculture , ( USDA 2791-50
and 2874-50 ... Removal of several fats and oils from import controls has
been announced . These were : lard , edible and inedible tallow , oleo oil
and stearine , palm oil , fatty acids , soap and soap powder . ( USDA 2832
50 )
Fruits.--An export payment program to encourage exports of fresh and

processed ORANGES and GRAPEFRUIT , effective November 15 , 1950 , has been
announced . (USDA 2739-50 ) ...A referendum is to be held during the latter
part of January 1951 , among California growers of Bartlett PEARS , PLUMS
and Elberta PEACHES to decide if they wish to continue the Federal mar
keting agreement and order regulating the interstate shipment of these
three California fruits . ( USDA 3008-50 )
Grains and Oilseeds.--A national RICE acreage allotment of 1,867,998

acres for the 1951 crop , an increase of approximately 15 percent over the
December 1950 15
acreage planted in 1950 , has been As in 1950 , NO marketing
announced .
quotas will apply to the 1951 crop . ( USDA 2915-50 ) ... Informal public
hearings to consider proposed changes in U. S. SOYBEAN Standards will be
held during January and February 1951 , in midwestern cities . The pro
posals , made by the American Soybean Association and the National Soybean
Processors ' Association , would decrease by 1 percent the maximum limits
for foreign material and moisture content permitted in each of the nu
merical grades in the official U. S. grain standards for the commodity .
( USDA 2957-50 ) ...Similar hearings will be held to consider proposed
changes in U. S. RYE Standards . This change , proposed by the Chicago
Board of Trade , would decrease the maximum limits of thin rye permitted
in Grades Nos . 1 , 2 , and 3 , in the official U. S. grain standards for
the product . ( USDA 2958–50 ) ... Purchase of 21,055,000 pounds of enriched
FLOUR for export to Formosa has been announced . ( USDA 2968-50 )
Meat and Livestock .-- Revision of Federal Beef Grade Standards for
steer , heifer and cow carcasses, effective December 29 , 1950 , have been
announced . ( USDA 2841-50 ) ... See story elsewhere in this issue. Announce
ment has been made that a substantial quantity of smoked PORK shoulder
picnics will be purchased for distribution to schools under the National
School Lunch Program . ( USDA 2787-50 ) ...Additional purchases were announced
in requests for offers issued December 5 ( USDA 2906-50 ) and December 15
( USDA 3012-50 ). Under the first two announcements approximately 8,400,000
pounds of the product were purchased .
Nuts .-- Salable percentage of merchantable in- shell WALNUTS for the
1950-51 marketing year has been increased from 80 to 90 percent , it has
been announced . ( USDA 27644-50 ) ... Increase in the salable percentage of
merchantable in - shell FILBERTS from 92.5 to 100 percent also has been
announced . ( USDA 2765-50 )
Poultry and Eggs.-- Announcement has been made that there will be NO
EGG price support program in effect during 1951 , Purchases of dried eggs
under the current program will terminate December 31 , 1950. At the same
time it was announced that possibilities for limited price-stabilization
help in local areas through the use of surplus- removal purchases of shell
eggs would be explored if the need arises and if immediate disposal out
lets are available for the eggs . ( USDA 2814-50 ) ... Time for compliance
with the voluntary dressed poultry ( New York dressed ) grading and inspec
tion program of the U. S. Department of Agriculture has been extended .
Under previous programs no sanitary requirements have applied to "New
York dressed " poultry . The Department proposes to extend the deadline
for compliance from January 1 to May 1 , 1951 . ( USDA 2948-50 )
Sugar and Molasses .-- Announcement has been made that a deficit
1,000 tons in the 1950 sugar quota for the domestic beet sugar area has
been prorated to the Virgin Islands , the only domestic area having sugar
available for marketing in excess of existing quotas . ( USDA 2975-50 ) ...
Changes in sugarcane marketing practices in Puerto Rico have been sug
gested as the result of a study of the sugar industry there conducted
under the Research and Marketing Act of 1946. The changes would increase
marketing efficiency and provide the same treatment for all growers and
processors , it was stated. ( USDA 2944-50 )... Arrangements are being made
to start an experimental market news service on cane blackstrap molasses
and beet molasses , It will be conducted cooperatively by PMA and the
Louisiana State Market Commission under the Research and Marketing Act .
Plans call for weekly reports , beginning sometime in December 1950 .
( USDA 2867-50 )
Wool.-- A program to purchase approximately 30 million pounds of raw

wool, clean basis , for a part of the Armed Services ' emergency reserve
requirements has been announced . Offers will be received by the Depart
ment on Tuesday, Wednesday , and Thursday of each week , ( USDA 2917-50 ) .
Tobacco.-- Marketing quotas for the following types of tobacco in
1951 have been announced : All continental types of cigar - filler and
cigar-binder tobacco . A referendum is to be held December 20 , 1950 in
which growers may vote for ( 1 ) quotas for 3 years beginning with the 1951
crop , ( 2 ) quotas for 1951 , only , or ( 3 ) against quotas . Quotas cannot
be put into effect unless approved by at least two - thirds of the growers
voting in referenda . Cigar leaf tobacco is proposed for marketing quotas
for the first time in 1951. ( USDA 2851-50 ) ... The flue - cured tobacco mar
keting quota for 1951 has been proclaimed at 1,235,000 pounds , compared
with 1,097,000 pounds this year . ( USDA 2852-50 )... A national marketing
quota for 1951 of 542,000,000 pounds of Burley tobacco has been pro
claimed . This is about 5 percent over 1950 farm acreage allotments .
( USDA 2853-50 )...Marketing quotas for 1951 crops of fire - cured , dark air
cured , and Virginia sun - cured tobacco also have been proclaimed . ( USDA
2864-50 ) ... Price support loan rates for the 1950 crops of the following
tobaccos have been announced : Burley , Fire-Cured, Dark Air - Cured , and
Virginia Sun-Cured . ( USDA 2736-50 ) ...Maryland and Cigar Filler and Binder .
( USDA 2902-50 ) Wisconsin , Types 54 and 55 . ( USDA 2959-50 ) ... Unsorted
Connecticut Broadleaf and Connecticut Valley Havana Seed , Types 51 and
52 ( USDA 3017-50 )
PMA GRAIN BRANCH GETS NEW DIRECTOR
Drexel D. Watson , assistant director of the PMA Commodity Office

at Portland, Oregon , has been named director of the PMA Grain Branch . He
succeeds Leroy K. Smith , who resigned last September .
Born in Kansas , Mr. Watson was raised on farms there and in Okla
homa , He attended the University of Oklahoma . During the late thirties
he moved to Idaho and operated a grain and dairy farm .
Mr. Watson joined the field staff of PMA as secretary of his county
Agricultural Conservation Association Committee in 1939 . He was a Farmer
Fieldman with the Idaho State PMA Committee before serving as a member
of this State Committee from 1942 to 1946 . Mr. Watson has been on the
staff of the PMA Commodity Office at Portland since 1946 . He has served
since 1949 as the Assistant Director of the Portland Office .
December 1950 17
ABOUT MARKETING
The following statements , addresses , and publications , issued re

cently, may be obtained upon request. To order , check on this page the
PMA Responsibility in National Defense , a talk by Ralph S. Trige ,

Administrator of PMA and President of CCC at the Annual Conference of the
Production and Marketing Administration , Chicago, Ill . , Dec. ll , 1950
An address by Ralph S. Trigg , Administrator of PMA and President of

CCC at the annual meeting of Grocery Manufacturers of America , New York
City , Nov. 14 , 1950. 10 pp . ( Processed )
An address by Frank K. Woolley , Deputy Administrator , PMA , at the

Annual PMA Conference , Chicago , Ill . , Dec. ll , 1950 . 8 pp . ( Processed)
CCC --What it is--What it does -- Whom it Benefits , remarks by Elmer
F. Kruse , Assistant Administrator for Commodity Operations, PMA , before
the Connecticut State PMA Meeting , at Farmington , Conn . , Nov. 28 , 1950
The Poultry Grading and Inspection Program of the U. S. Department

of Agriculture , a statement by W. D. Termohlen , Director of the Poultry
Branch , PMA , before the Annual Convention of the U. S. Livestock Sanitary
Association , Phoenix , Arizona , Nov. 2 , 1950. 17 pp . ( Processed )
Publications :
Charts . Providing a Graphic Summary of Operations, 1933 - June 30 ,

1950 . December 1950 . 26 Charts . ( PMA ) ( Processed )
Important Facts Concerning Materials and Facilities for Cotton Pro

duction in 1951 . 18 pp . ( PMA ) ( Processed )
The Sampling of Cotton Bales as Related to Marketing . November
Cottonseed Quality in the United States , 1949. November 1950 . 30

pp . ( PMA ) ( Processed )
Revised Micronaire Fiber- Fineness Scale for use in Testing American
Upland Cottons . October 1950. 2 pp . ( PMA ) ( Processed )
Certain Color Changes in Cotton Under Artificial Lighting . October

26-28 , 1950. 10 pp . ( PMA ) ( Processed )
ABOUT MARKETING (Cont'd )
Relation of Appearance of Long -Draft Processed Carded Yarn to Six
Elements of Raw Cotton Quality and Yarn Size . November 1950 . 53 pp .
Fiber and Spinning Test Results for some Cotton Varieties Grown by
Selected Cotton Improvement Groups , Crop of 1950 . ( Supplement No. 1 )
October 1950. 7 pp . ( PMA ) ( Processed )
Fiber and Spinning Test Results for some Cotton Varieties Grown by
Selected Cotton Improvement Groups , Crop of 1950. ( Supplement No. 2 )
November 1950. 9 pp . ( PMA ) ( Processed )
Purchases and Sales of Dairy Products by U. S. Department of Agri

culture , January September , 1950. November 1950 , 11 pp. ( PMA ) ( Pro
cessed )
Consumer Purchases of Selected Fresh Fruits , Canned and Frozen Juices ,
and Dried Fruits in October 1950 . November 1950 , 5 pp . ( PMA ) ( Pro
cessed )
Consumer Purchases of Selected Fresh Fruits , Canned and Frozen Juices ,
and Dried Fruits in September 1950 . October 1950. 4 pp . ( PMA ) ( Pro
cessed )
Check List of U. S. Standards Issued by the Fruit and vegetable
Branch ( Other Than for Processed Products ) October 26 , 1950. 3 pp .
Veal Chart 1950 , ( Lamb Chart, and Beef Chart ) 1950. 3 separate pp .
( PMA ) ( Printed )
The Marketing of Sugarcane in Puerto Rico , November 1950. ( PMA )
( Printed )
Tobacco . Price Support , Marketing Quotas , and Federal Grading .
PA - 140 15 pp . ( PMA ) ( Printed )
desire .-- Editor )
NAME
ADDRESS
CITY ZONE STATE
December 1950 19
Stanford University Libraries
TUTUTUNUTTON
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MIDDLEMEN AND HIGH FOOD PRICES

STATES ATTACK MARKETING PROBLEMS

TURPENTINE ACIDITY CHECKED

Too much aoid in gum turpentine causes discoloration in storage-

Price support , at best , is a complex subjeot . This digest of the

MARKETING BRIEFS • . Page 17

ABOUT MARKETING Page 19

Address all inquiries to Material in Marketing Activities

In the second quarter of 1948 an average family had to pay only 21

Marketing Charges Have Deolined Proportionally

While a good proportion of present retailing costs refloot nocas sary

Retailing Greatest Marketing Charge

At one time it was thought that little could be done to reduce ro

Better farm produots for oonsumers , reduoed spoilage in marketing

The Oklahoma State Department of Agriculture has assigned a poultry

Oklahoma fruit and vegetable

West Virginia is pioneering in the establishment of area or region

Specialists in the Virginia State Department of Agrioulture , working

The Maine Department of Agrioulture , working under an RMA program,

Utah's State Board of Agrioulture has developed a program to stimu

In North Carolina , spooialists of the State Department of Agriculture

Indiana is oarrying on its RMA work through Purdue University's

The Kansas State Board of Agrioulture colleoted information on

The Michigan State Department of Agrioulture is surveying fruit and

The benefits to the turpentine farmers of more effioient oentral

As the result of a periodic testing program carried out by the Naval

Most turpentine, and particularly gum spirits of turpentine made

Rapid Distillation Causes Greater Aoid Carryover

High aoid turpentine deteriorates more rapidly than normal turpen

Periodio tests. on gum turpentine pro duoed at about 25 of the con

Shell Color Does Not Affect quality

Shell color has no relation to interior quality but in some sections

In dishes where eggs are not apparent as units , appearance is of no

Whatever quality of eggs selected , the thrifty housewife protects

Wartime price support legislation expired December 31 , 1948 .

Wheat, corn , rice , peanuts for nuts , and cotton marketed :

Before June 30 , 1950 ( 1949 crops ) -- 90 percent of parity .

Through December 31 , 1949--at 90 percent of parity or the comparable

After December 31 , 1949 --at any level from zero to 90 percent of

( Note : If prices of chickens or turkeys are supported after Decem

On or before December 31 , 1948 and marketed through December 31 ,

After December 31 , 1948 and marketed through December 31 , 1949 --not

After December 31 , 1949--not less than 60 nor more than 90 percent

(Note : In the case of all Steagall commodities marketed in 1949 the

Wool ( A non - basic non -Steagall commodity ) marketed :

(Note : The act provides two possibly conflicting levels of support

All Other Commodities

Through December 31 , 1949--Price support may be carried out if funds

After December 31 , 1949 --at any level from zero to 90 percent of

This special provision applies to basic and non - basio commodities

Effective January 1 , 1949 :

Effective January 1 , 1950 :

January 1 , 1949- June 30 , 1950 (1949 crops) :

If producers disapprove marketing quotas for a commodity , the price

If marketing quotes are in effect for a commodity , prices to coop

July 1 , 1950 and after (beginning with 1950 crops ) :

( In the case of corn , prices will be supported to cooperators outside

If producers disapprove marketing quotas for any commodity , prices

If acreage allotments are in effect for a commodity at the beginning

Marketing quotas shall be proclaimed for corn , wheat , and rice if

Cotton . --The cotton export program is to be continued with the cur

Tobacco .-- Secretary of Agriculture Charles F. Brannan announoed De