356 



CITY MILK SUPPLY 



That is to say, 70 per cent, of the dealers handled milk for less than 3 cts. 

 per quart. 



These tremendous variations are due to a variety of causes. 



1. It is only evident that the methods of distributing milk are not 

 standardized. There is no agreement as to the size of plant and equip- 

 ment necessary to handle 500 to 1,000 or 1,500 qt. of milk per day. 

 Some dealers have a very efficient plant with small operating costs and 

 sell good milk at a good profit. Others by their own inefficiency, ill- 

 proportioned equipment and out-of-date methods are making little or 

 nothing at the expense of the consumer. 



The fact that 51 per cent, of the distributors could do business, and 

 pay themselves wages, interest on the plant, depreciation and all losses and 

 expenses for less than 2J^ cts. per quart is evidence that milk can be 

 retailed economically. 



2. Delivery costs are in many cases very high. An analysis of costs 

 into " Preparation for Delivery," " Deli very" and " Overhead Expenses" 

 by groups, is as follows: 



In all cases delivery is a large item, more than 50 per cent, of the total. 

 In group II it amounts to nearly 58 per cent. 



3. Long hauls and small loads per wagon are two causes for high 

 delivery costs. In some instances the long hauls are necessary but often 

 duplication of routes and long distances between customers are responsi- 

 ble for miles of useless travel and waste of both men and horse labor. 



The small load is sometimes the result of the long haul since the long 

 haul decreases the number of deliveries a driver can make in a given time. 

 It is obvious that one man can deliver more milk if he delivers 1 qt. 

 at every house than if he delivers a quart at every fifth or every tenth 

 house. 



On the other hand, loads are often smaller than necessary, even under 

 the circumstances, sometimes because of poor horse and wagon equip- 

 ment, sometimes because of the inefficiency of the driver, sometimes for 

 no apparent reason. 



4. Many losses occur because of the competition of many small 

 dealers. Surplus milk- is a very grave problem, especially for a small 



