8 



Five thousand five hundred and forty pounds of milk equals 2,462 

 quarts, or, in other words, it costs 1121.19 to produce 2,462 quarts 

 of milk, or J!i..92 cents per quart. 



At a seUing price of milk ranging between 30 to 40 cents per can, 

 or 3.7 to 4.7 cents a quart, the farmer, no doubt, is selling milk below 

 the actual cost of production. 



Comparison of Increase in Cost of Production with Increase 

 IN Price obtained by Farmer. 



The following table shows the increase in the cost of the most common 

 feeds, the increase in price of milk to the farmer and the increase in 

 price to the consumer, 1904 and 1912. 



Prices for hay have been obtained from reports of the Boston 

 Chamber of Commerce. Prices for grain have been obtained from a 

 table compiled by J. B. Lindsey, Massachusetts Agricultural Experi- 

 ment Station. The price of milk per quart to the farmer is the price 

 paid in the middle zone by one of the largest milk contractors in 

 Boston, The price paid by the consumer is the price paid for milk 

 delivered in glass for family use in Boston. 



Since the food cost per cow per year is one-half, and with high- 

 producing cows more than one-half of the total cost of keeping a cow, 

 it can readily be seen from the above table that, although the price 

 of milk to-day is higher to the farmer, it is not in proportion to the 

 increase in the cost of feed, and consequently the farmer in 1912 had 

 less income from his cows than he had in 1904. 



Add to this the increased cost of cows which in the same period will 

 amount to 30 per cent, the increase in wages from 25 to 30 per cent, 

 and the additional labor required, due to more stringent regulations, 

 and it can readily be seen that at the present time the farmer is pro- 

 ducing milk below the cost of production, even to a greater extent 

 than in 1904. 



