Some of our fruit and vegetable marketing order programs reg- 

 ulate quanti ty of a commodity marketed -- by rate of flow -- or by 

 total quantity marketed during the season. Rate of flow regula- 

 tions are concerned primarily with maintaining an orderly flow of 

 the commodity moving to market during the normal marketing season. 

 A good example of this type of regulation is our California-Arizona 

 lemon order under which an industry committee each week recommends 

 to the Secretary the number of carloads of lemons which should 

 move to market each week. 



Under the total seasonal type of quantity regulation, market- 

 ings are limited for the season to a specified percentage of the 

 total crop. The residue is usually placed in a pool to be exported 

 or utilized in some non-commercial outlet designated by the indus- 

 try committee, or in the case of red tart cherries to be marketed 

 in some subsequent season. 



Some other types of regulation are container and pack regula- 

 tions to standardize containers and make packs more uniform. 



Marketing research and development projects designed to pro- 

 mote the marketing, distribution, and consumption of the commodity 

 are also authorized. Advertising and sales promotion programs may 

 also be included under this program if advertising authority for 

 the particular commodity has been provided in the act. This has 

 been done for many commodities to date. 



These are the most common of the many provisions which may be 

 included in a Federal marketing agreement and order. 



As I indicated earlier. Federal marketing orders are adminis- 

 tered by a committee of growers or both growers and shippers. 

 Such committees are nominated by the industries concerned and ap- 

 pointed by the Secretary of Agriculture. The committee employs 

 a manager and a staff to carry out the necessary day-to-day work. 

 The expenses of the committee are financed by assessments on ship- 

 pers. Many of the Federal orders cost less than a cent per box or 

 bushel to operate. 



What can a Federal marketing order do? 



Marketing orders, although versatile in many respects for aid 

 ing growers in meeting their marketing problems, are not "cure- 

 alls." THEY CAN'T CHANGE THE LAW OF SUPPLY AND DEMAND. THEY CAN ' 

 FIX PRICES. THEY CAN'T CONTROL PRODUCTION AT THE GROWER LEVEL. 

 THEY CAN'T MAKE GOOD FRUIT OUT OF POOR FRUIT -- AND -- THEY DON'T 

 JUST APPLY TO THE OTHER FELLOW. 



T 



THEY CAN IMPROVE MARKETS BY MAKING THEM MORE ORDERLY MARKETS 

 BY REGULATING THE QUALITY, GRADE, SIZE, AND MATURITY OF FRUIT MOV- 

 ING TO MARKET. THEY CAN REGULATE THE VOLUME OF A COMMODITY MOVING 

 TO THE MARKET EITHER WEEKLY OR FOR A WHOLE MARKETING SEASON. THEY 

 CAN AFFORD GROWERS AND SHIPPERS A MEANS FOR WORKING TOGETHER TO 



