28 
Professor Hunziker, who has made detailed investigations into 
the cost of production, arrives at the following figures for the 
years 1918 and 1917, evidencing the increase due to war con- 
ditions ; 
1913 _ 1917 Increase 
Sweetened Condensed Milk 
Cost per case of 48 cans containing 46.4 
pounds of condensed milk, net....... 4.015 7.23 80% 
Evaporated Milk 
Cost per case of 48 tall size cans con- 
taining 54 pounds of evaporated milk, 
Net G saves sae veniawa web ews 3.080 5.73 86% 
The condensed milk market has in the past been subject 
to very wide fluctuations. At times the milk has accumulated 
at the plants and at others manufacturers were not able to 
fill orders. As until now the consumption as well as the pro- 
duction have been in the state of rapid expansion, supply and 
demand have not yet adjusted themselves evenly. Most of the. 
condensed milk is marketed through jobbers and brokers. If 
the buyers look forward to a large demand and a rise in prices, 
they will buy all they can possibly get hold of; if the contrary 
is expected they buy very short. This is, of course, the case 
in any kind of business; but for the reasons indicated reliable 
forecasts are not always easy to make in this one. A very dis- 
turbing feature was naturally introduced by the European + 
war. With the increase of foreign importations after 1913,: 
en account of the removal of the U.S. duty, domestic prices 
suffered a great slump in 1914, causing enormous losses and 
bankruptcy of numerous financially limited concerns. Some 
stores were unloaded at sacrifice prices as low as $2.50 per 
case of sweetened condensed milk and $1.90 for evayorated 
milk. With the coming of the war orders the situation ~ 
changed and prices were boosted to a level not attained since 
the Civil War. The following were wholesale prices quoted in 
1916 (January) and 1917 (June): 
Sweetened condensed milk ...... $6.50 $8.75 
Evaporated milk . .............. 3.85 5.75 
Not war orders only caused the great boom, but United 
States and Canadian milk captured many of the markets that . 
were formerly served almost wholly from European sources. | 
Thus, for instance, the imports to Hong Kong from the United 
