plans for a change from cans. This 

 was generally confirmed by the deal- 

 ers themselves. 



When posed the question as to 



what they would do if the dealei 

 changed to bulk handling and re- 

 quired that farmers invest in a farm 

 tank, the reactions were as follows: 



Table 10. Proposed Action on Farms Using Cans if the Dealer 

 Should Convert to Tank 



The action of changing to another 

 dealer would be dependent on a pro- 

 ducer's ability to find another dealer 

 willing to buy his milk in cans. Some 

 cooperatives have been willing to take 

 on these producers in the past. This 

 can only be regarded as a temporary 

 expedient, however. The handling 

 problems and costs associated with 

 receiving cans may force cooperatives 

 themselves to change. Further press- 

 ure on farmers to make a decision 

 with this outlet closed to them would 

 result in their making the investment 

 or going out of business. If the pro- 

 portion of those proposing to change 

 dealers were divided equally between 

 those making the investment and 

 those going out of business, one 

 could estimate (on the basis of the 

 opinions recorded) that approxi- 

 mately a third of the dairy farmers 

 would go out of business if tank 

 assembly was their only alternative. 

 This should not be interpreted to 



mean, however, the required tank in- 

 vestment would be the sole cause for 

 their going out of business or that 

 it would mean a loss of one-third of 

 the milk supply. 



7. Cost of Change-over 



To the cost of the farm tank 1 must 

 be added the cost of needed changes 

 on the farm. An enlarged or re- 

 modeled milk house, adequate ven- 

 tilation for air cooled compressors, 

 the provisions of hot water for clean- 

 ing, concrete or tile floors and in- 

 sulated ceilings and improvement in 

 farm driveways are examples of ad- 

 ditional costs. These will vary among 

 producers. 



The producers' estimates of the 

 additional dollar cost required for 

 change-over is shown in Table 11. 

 These were advance estimates by 

 farmers who were still using can 

 assembly. 



15 



