FAEMER'S SHAPE OF RETAIL FOOD DOLLAR 

 HIGHEST SINCE 1919 



According to the Bureau of Agricultural Econoiiics, Vin 19^1-3 the f^rmer^E 

 share of the retail dollar spent for farm food products vas ,^7 cents compared with 55 

 cents in 19^2 and the 1935-59 average of U2 cents. In 191Y farmers received en an 

 average 60 cents of the retail food dollar, which is the higi^est on record, but only 

 55 cents in 1952 ( see chart below) . 



x^/Iarketing charges of farm food products in 19^+5* after govemnent pajvTnents 

 to ma.rketing agencies were included, averaged 5 percent higher thrxii the 1955-59 

 level. Wlien government payments to marketing agencies are not included, the market- 

 ing margin of 58 foods for the t;s'pical workingman's family was $192 in 19^5 > $l89 in 

 19i^-2, and averaged $191 in 1955-59 (see chart below). 



However, marketing charges have not increased in proportion to the changes 

 in price of farm foods at retail and farm levels . The retail lorices of farm food 

 products for the year 19^5 averaged 55 percent above prewar 1955-59 levels, while 

 prices paid farmers for equivalent produce averaged 8l percent higher than the 1955-59 

 average. In the past an 8l percent increase in the level of faarro prices would have 

 been accompanied by about a 25 percent increase in mai-keting charges. 



L. F. Stice 



Cents 



Farmer* 8 Share of Consumer's DoIIgjt 

 Spent for 58 Foods 



\ Marketing, distribution, 



75 L transportation and processing 



charges . 



50 



25 







:»:•> 



f^'i;;;::; ;::•;;::;:: Received by farmers i".:;;::;::;;:;.if 



1915 1920 1925 1950 1955 19^0 



Farm Value, J-larketing 



Margin and Retail Value 



of Aver?^e Family 



1935-59 191+2 19^+5 

 av. 



