OCR Text |
Show I Are Milk Prices Too High? Newspaper Investigates What is Your Solution? The Standard-Examiner has made an investigation of wholesale whole-sale and retail milk prices in Ogden. We find that there is an abundance of good clean milk : throughout the county districts at 20 cents a; gallon and that 3ome farmers cannot sell their entire output to the dealers at this price. We abo find that the price of butter fat has decreased to : clo3e to 40 cents a pound and that a gallon of milk containing 3V2 ! per cent butter fat (average milk) will only bring the milk pro-1 pro-1 ducer 11.6 cents a gallon if 6old on a butter fat basis. The price of butter fat regulates the price of milk. The wholesale price of butter fat is way down and the retail price of butter has dropped 40 per cent in the past year or from 80 cents to 50 cents and less a pound. The wholesale price of milk is rapidly seeking the level set by the butter fat market but the retail price of milk 3tays tho same namely eight quarts for a dollar PROBLEM Good milk can be bought for 20 cents a gallon. To this the , retailer must add: Cost of collecting the milk ? Cost of bottling the milk ? Cost of delivering the milk . .? We find that one milk collector can collect his milk from the producers for 3 cents a gallon or 3-4 cent a quart. Also that one milk retailer can deliver milk for cents a. quart. Also that a certain wholesaler bottles milk for a retailer at 40 cents a hundred bottles. We now have: Cost of milk per quart, 5 cents. Cost of collecting per quart, 3-4 cents. Cost of bottling per quart, 2-5 cent. Cost of delivering per quart., 2i2 cents. Total cost of milk, 8.65 cents. This 8,65 cents represents the cost of a quart of milk delivered deliv-ered to your home. For this quart of milk you pay the retailer 12l2 cents, his profit being 3 86 cents a quart. Without accusing anybody of making exorbitant profits The Standard-Examiner believes there is an unwarranted loss between the producer's 5 cents a quart and the consumer's 12 cents or more per quart. We invite all who are interested producers, retailers ami consumers to comment on the situation to see if some remedy may not bo had whereby the consumer may procure milk nt less cost than at present. |