Aggregation of purchases is not feasible 
for smaller processing cooperatives located 
throughout the area because these cooperatives 
are either geographically separated from each 
other or do not process a similar type of 
product. 
Cooperative Manufacture.--Manufacture of 
metal cans or fabrication of corrugated cartons 
appears to offer the greatest opportunity to a 
large cooperative processor such as National 
Grape or Pro-Fac. Some consideration has 
been given to can manufacture by Pro-Fac, but 
little opportunity was seen by the management 
of National Grape because of the specialized 
types of containers used for grape juice and 
grape products and existing purchasing ar- 
rangements. The latter indicated, however, that 
an opportunity for savings may exist in the fab- 
rication of corrugated cardboard containers. 
Suggestions 
Based on opportunities existing among co- 
operative fruit and vegetable processors for 
the cooperative procurement of containers and 
other packaging supplies, the following sug- 
gestions are offered to directors and man- 
agers: 
Manufacturing 
Opportunities for the cooperative manu- 
facture of containers are greatest inthe fabri- 
cation of metal cans and corrugated paper- 
board shipping cases. 
1. Can Manufacture 
a. A minimum volume of approximately 
40 to 50 million cans for commonly 
used sizes, Such as 12-ounce or Nos, 
202, 303, and 401, is necessary to 
ensure profitable operation, For 46- 
ounce or l-gallon sizes, a volume 
of 10 to 12 million cans would be 
needed. Possibly 30 million made up 
of mixed sizes would be required, 
b. Only those can types and sizes packed 
in greatest volume should be fabri- 
cated. Other sizes and types should 
be purchased direct from major 
manufacturers. 
c. Because of the year-to-year varia=- 
tion in volume of fruits and vege- 
tables packed, the cooperative can 
plant should be designed to manu- 
facture at a level below total esti- 
mated member requirements and 
should be planned for multishift op-= 
erations when required. Can require= 
ments beyond manufacturing capacity 
should be purchased direct from 
manufacturers. 
d. The can-manufacturing season should 
be extended as much as possible by 
encouraging member cooperatives to 
accept and store cans in off-season 
months. Off-season discounts or stor= 
age allowances may be necessary to 
induce these purchases. The can plant 
itself should maintain only minimum 
inventories of completed cans. 
e. Cans should be priced to members 
at industry list prices minus normal 
discounts for prompt payment. 
f. Possibilities of leasing can-manu- 
facturing equipment from metals sup- 
pliers should be explored. 
g. Membership patronage should be as- 
sured through self-renewing purchas- 
ing contracts. 
35 
