THE MARKETING OF FARM PRODUCTS 855 



which the farmer . gets per kilo for the butter. The creamery 

 utilizes the skim milk for making casein and then uses the whey 

 for feeding hogs, of which it owns about 900. This creamery 

 sells its butter wherever it can find a market to Bordeaux, An- 

 gouleme, Paris, and other cities. Butter sold to Paris is sent 

 by parcel post directly to the retailer at Paris, the retailer pav- 

 ing all expenses. By selling in this way the creamery could 

 clear 2.80 francs per kilo. The baskets in which the butter is 

 sent are paid for by the grocer (25 centimes apiece) but he can 

 sell them for 5 centimes. Thus they cost him 20 centimes. 



A list of the items of expense that go to the making of the 

 consumer's price is as follows : 



Francs per Kii.o of Butter 



Payment of milk to farmer minus value of skim milk . 



Cost of making (not including packing) .60 



Packing .025 



Freight to Paris .125 



Cartage in Paris .025 



Octroi or city tax in Paris 1 .140 



Price grocer pays 

 Grocer's margin 



785 



Price consumer pays : 3-900 



It will be seen from this table that the grocer pays more than 

 did the grocer who bought the St. Christophe butter, while he 

 sold it for about the same price. It is less trouble for him to 

 buy the butter this way, however, than to buy it at the auction 

 sale in the market. 



These two creameries serve as types for the two methods of 

 marketing we found. For the most part the organization of the 

 creameries was like one or the other of those discussed. We 

 found one creamery, however, that differed somewhat in that it 

 was gradually limiting its membership by increasing the entrance 

 fee. Last year it was 10 francs a cow ; next year it will be 

 12 francs a cow, and so on. 



