14 BULLETIN 1414, U. S. DEPARTMENT OE AGRICULTURE 



Future contracts, (2) sales f. o. b. shipping points, in transit, and in 

 other circumstances where the buyer can not exercise the privilege 

 of inspection, (3) Government inspection, adjustments, and claims, 

 and (4) the intelligent comparison of market prices. 



In addition to these benefits which obtain by reason of a com- 

 plete understanding between buyers and sellers as to the precise 

 character of the product, there are other advantages which result 

 from the actual sorting of the commodity, in so far as this is 

 practicable, into classes which meet the particular requirements of 

 the trade. Grading permits wider distribution because: (1) The 

 more perishable lots may be sold without waste in near-by markets 

 or utilized for by-products purposes, leaving the remainder for 

 shipment to more remote points, (2) when properly graded some 

 products may be held safely in storage, thus extending the mar- 

 keting season, (3) certain classes of buyers are attracted who do not 

 handle products of indeterminate quality, and (4) any sound ad- 

 vertising program must be based on uniform, dependable products. 



An important benefit of standardization is the good will which it 

 creates. Confidence in the products of a cooperative organization, 

 and in its general business methods makes financing easier, increases 

 demand for the organization's products, and reduces the margins of 

 middlemen. Furthermore, the enforcement of standard grades at 

 the point of production not only directs the attention of the grower 

 to his mistakes in production and harvesting, thus setting him to 

 correct them, but insures him proper remuneration for more careful 

 and effective methods. 



The necessity for standards in the marketing of agricultural prod- 

 ucts can no longer be regarded as a debatable point. For the pres- 

 ent the great problems relate to their effective application. Cooper- 

 ative associations have in the past been foremost in realizing the 

 need of better grading of farm products. Groups of growers work- 

 ing for their mutual benefit have often maintained voluntarily 

 standards which would have been entirely impracticable had the 

 trade attempted their imposition. However, the large number of 

 commodities involved, the development of many systems of grad- 

 ing and packing, and the great variety of packages used in various 

 parts of the country, have tended to increase the problems of 

 standardization. 



The United States Department of Agriculture is engaged in pre- 

 paring grade standards for farm products. At present such grades 

 have been formulated for the following fruits and vegetables: 

 Barreled apples, asparagus, string beans, bunch beets, cabbage, 

 cantaloupes, bunch carrots, cauliflower, celery, cucumbers, Florida 

 citrus fruit, eggplant, Eastern-type bunch grapes, juice grapes, table 

 grapes, grapes in sawdust or other packing material, lettuce, Ber- 

 muda onions, northern onions, peaches, farmers' stock Spanish 

 peanuts, runner peanuts, shelled white Spanish peanuts, pears, fresh 

 plums and prunes, sweet peppers, pineapples, potatoes, sweet pota- 

 toes, spinach, strawberries, cannery tomatoes, fresh tomatoes, bunch 

 turnips, and watermelons. 



Many of these grades, for example, the United States grades for 

 potatoes, are established throughout the country. Grades for other 

 products are rapidly being adopted. The adoption and use of Fed- 



