handling predominant in New Hampshire, several operations are eliminated 

 as compared to the most common method of handling bagged feed. 



Not all of the advantages and disadvantages of bulk feed can be ascer- 

 tained with reference to such a marketing channels chart. Cases in point 

 relate to plant and equipment costs. 



Obviously, the cost of facilities at the mill to handle bulk feed will 

 vary with volume. The system may be installed rather simply in new mills, 

 but costs of remodelling some of the older mills may be considerable. 



One source reported a range of $1,300-35,000 in costs of converting 

 mills to accommodate bulk feed.* Another study reported data for 3 mills, 

 with a range in costs of installing bulk facilities of .$11,821-55,000. f Annual 

 charges for these mills ranged from $2,100-6,150, and costs per ton, with 

 bulk volumes at that time from $117-493. The same study reported little 

 additional investment for a New England mill which installed a by-pass 

 from the second floor to divert feed from the sacking scale out through the 

 side of the mill to a spot where trucks were loaded. Here, bulk feed was 

 available by appointment only and had to be hauled in farmers' trucks or 

 by local haulers. 



Table 29. Number of Animal Units Required for Minimum Deliveries 

 of Bulk-Feed under Assumed Conditions 



* Benson, H. J., op. cit. 

 tRickey, L. F., op. cit., p. 6-7, 16, 19, 22. 



55 



