No. (5. DEPARTMENT OF AGRICULTURE. 873 



FERTILIZER VALUATIONS— 1903. 



Tbe object of an oflicial valuation of commercial fertilizers is to 

 enable tbe consumer to judge approximately wbetber be bas been 

 asked to pay for a given brand more tban tbe fertilizing ingredients 

 it centains and market conditions prevailing at tbe time would war- 

 rant. It is clear, tberefore, tbat no attempt is made in tbis valua- 

 tion to indicate wbetber tbe fertilizer valued possesses a greater or 

 less crop-producing capacity tban anotber fertilizer; but only 

 wbetber it is bigber priced tban anotber of tbe same general com- 

 position. 



For tbis purpose it must be sp computed as to include all tbe ele- 

 ments entering into tbe cost of a fertilizer as it is delivered to tbe 

 consumer. Tbese elements may be conveniently grouped as fol- 

 lows : 



1. Tbe wholesale cost of tbe ingredients. 



2. Tbe jobbers' gross profit on tbe sale of tbe ingredients; tbis 

 includes office expenses, advertising, losses, etc.; for tbe purpose of 

 tbe present computation it may be assumed tbat tbe sum of tbis 

 gross profit and tbe wbolesale cost of tbe ingredients, is equivalent 

 to tbe retail price of the single ingredients near tbe wbolesale 

 markets in ton lots of original packages for casb. 



3. Tbe expense and profit of mixing: Tbis item applies only to 

 complete fertilizers, rock and potash, and ammoniated rock; not to 

 dissolved or ground bone, or to dissolved rock. 



4. Tbe expense and profit of bagging. 



5. Agents' commission: This item includes not only the commis- 

 sion proper, but every advance in price due to the sale of tbe goods 

 through an agent in small quantities on time, rather than directly 

 to tbe consumer in ton lots for casb, 



6. Freight from tbe wholesale market to the point of delivery. 

 The valuations for 1902 were based: 



1. Upon the wbolesale prices from September 1, 1901, to March 1, 

 1902, of the raw materials used in fertilizer manufacture, tbe quota- 

 tions of the New York market being adopted for all materials ex- 

 cept acidulated i^bospbatc rock and ground bone. 



2. Upon an allowance of 20 per cent, of the wholesale prices, above 

 mentioned, to cover jobbers' profits. 



By adding the 20 per cent, allowed for jobbers' gross profit to the 

 wholesale price of tbe several raw materials, tbe retail price in 

 original packages at tbe jobbers' warehouse is obtained. 

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