for regulating supplies to prevent overloading of markets, to maintain 

 quality, and, in turn, to retain some control over the price. A marketing 

 agreement is feasible to the extent that producers wish to co-operate for 

 these ends. It is unfortunate that consideration of marketing agreements 

 should be conditioned on the participation or nonparticipation in price sup- 

 port programs. 1 Decisions made under these conditions are not apt to 

 be made on the merits of agreements as such. 



If consumers and handlers are to indentify New Hampshire potatoes 

 and demand them, the uniformity of grades and quality will then be a 

 worthwhile objective. Considering the location of producers in the state 

 and assuming the desire of individual jiroducers to maintain their identity 

 a-, growers, then state-wide control through a marketing agreement may have 

 limited benefits. If one objective of agreements is to control supply, (be- 

 cause New Hampshire receives supplies from Maine, Idaho, and Boston in 

 addition to local production) such an objective would be uneconomic. The 

 only apparent benefit would be the improvement in quality of the potatoes 

 marketed through more rigid inspection. This would provide greater com- 

 petition for imported potatoes, thus diverting more income to local growers 

 and supplementing any state grading system in force. 



One thing is clear; the adoption of uniform market procedures must 

 be the result of voluntary producer co-operation, which means that benefits 

 must be apparent in terms of increased incomes to growers. 



CONSUMPTION 

 Increased Competition 



The consumption of potatoes in the United States has been declining 

 .steadily since the turn of the century. From an estimated 195 pounds per 

 person per year in 1910, it shrank to 108 pounds in 1948. Production, on 

 the other hand, has shown no comparable change. This is chiefly due to 

 an increased yield per acre on reduced acreage, grown by specialized com- 

 mercial growers. 



A continued supply in the face of a reduced demand must lead to de- 

 creased returns per bushel produced and a readjustment of production, 

 unless artificial price stimulus is offered by the Federal Government. 



Competition for the sale of potatoes has increased the adoption of 

 methods for increasing sales. Grading is one such method, as are washing, 

 brushing, packing in standard bags, and the use of attractive displays. 

 Great attention has been to give the merchandising features of potato sales 

 and to the catering to consumer preferences. Many methods, short of re- 

 ducing price, have been tried to attract consumers to the value of potatoes 

 as a nutritious, economic food, without an apparent increase in consumption. 



As the result of consumer surveys in the United States,- the following 

 are some of the preferences: 



(1) Potatoes of medium size. 



(2) Potatoes that are white and mealy, will hold their shape, and will 

 not get watery or soggy when cooked. 



iThe continued emphasis by The Congress and the U. S. Department of Agriculture that supply con- 

 trols are necessary if support prices are to be continu'-d serves to emphasize the close relation between 

 marketing agreements and orders and market price manipulation. 



^Potato Preference Among Household Consumers (U. S. Department of Agriculture Misc. Publication 

 6678, 1948). 



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