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Cooperatives were reltively less important in processing vegetables 
than fruits. They handled about 9 percent of the total U. S. pack of 
canned vegetables and vegetable juices in 1964 (table 12). The coop- 
eratives' canned green and wax bean pack was the most significant. 
The two dominating areas were the Pacific and Middle Atlantic regions. 
Output of these areas represented 58 and 29 percent, respecitvely, of 
the 1964 packs. 
Although. the 1964 cooperative frozen vegetable pack was only 9 percent 
of the U. S. total, cooperatives accounted for a much larger share of 
several major items, For example, cooperatives processed approximately 
21 percent of the U. S, frozen corn pack. Likewise, cooperatives! fro- 
zen packs of green and wax beans and green peas were 18 and 14 percent, 
respectively, of U.S. totals. 
The Pacific region accounted for 77 percent of the frozen vegetable 
pack handled by cooperatives. A breakdown by packs by regions indi- 
cates that 76 percent of the green and wax beans, 82 percent of the 
corn, and 87 percent of the green peas processed by cooperatives came 
from the Pacific region. 
Operating Methods 
Fruit and vegetable processing cooperatives generally employ marketing 
contracts with their members, The contract is an agreement between 
the association and a member stipulating the rights, duties, and obli- 
gations of each party in marketing a member's products through the 
association. The basic purpose of the contract is to assure the asso- 
ciation a definite volume of the member's business, with provisions 
for deducting operating and other costs. 
The management of 49 of 56 processing cooperatives responding to 
the 1965 survey stated they had marketing contracts with members (ap- 
pendix table 20). + Contracts of 34 associations required members to 
market all of their products through the cooperative. Thirty-two of 
those reporting handled only processed fruits or fruit fuices, with 
28 operating through market contracts with their members. Fourteen 
of 15 cooperatives marketing both fruits and vegetables had contracts, 
as did 7 of the 9 reporting cooperatives processing only vegetables. 
Cooperatives in the Pacific region--dominant in cooperative fruit and 
vegetable processing--reported 27 of 28 firms using marketing agree- 
ments. Twenty-one of these required that all members' production be 
marketed through the association, 
Method of Payment 
The 56 reporting cooperatives used four basic methods of payments to 
growers (appendix table 21). The pooling method was used by 78 per- 
cent of the firms, 14 percent employed the individual account method, 
