28 
BULLETIN 1261, U. S. DEPARTMENT OF AGRICULTURE. 
interest and depreciation, in 1920, for example, totaling over 12 
cents per box, and others which total only 1^ cents per box. With- 
out attempting to assign reasons for these differences, it is apparent 
that a careful study of the relation of investments of the associations 
in buildings and equipment to volume and costs would be of value. 
This subject must be considered in connection with the item of labor 
expense. The capacity of a packing plant must be sufficient to care 
for the maximum number of boxes that will be received during any 
season; otherwise the fruit will not be handled, graded, or packed 
with sufficient care, and labor expense will be increased. 
After allowance is made for factors of expense beyond the control 
of the management, it is still evident that there are a number of 
associations that operate more economically than others, without 
disregarding the proper handling of the fruit. An industry which 
during the past five years has been obliged to face constantly increas- 
ing costs can hardly afford to disregard any opportunities to reduce 
expense. 
GROWERS' RECEIPTS. 
Figure 8 shows the average returns per box, f.o.b. packing house, 
for navel oranges, Valencia oranges, grapefruit, and lemons shipped 
from 1910 to 1922, inclusive. The diagram is based on the average 
returns for all exchange shipments. The average packing-house 
expense must be deducted from the prices shown in order to arrive 
at a figure which indicates the growers' receipts. Out of this net 
amount the grower must pay the expense of harvesting and hauling 
the fruit and all production costs. 
Table 9 presents the lowest and highest receipts disbursed by the 
orange and lemon associations studied during each of the seasons 
ending 1917 to 1921, inclusive, and also the average receipts to the 
growers for each year. 
Table 9. — Comparison of growers' net fruit receipts (in dollars per packed box), 
with total packing-house expense of a group of representative orange and lemon 
associations. 
Net receipts to growers. 
Packing-house expense. 
Low. 
High. : Average. 
Low. High. Average. 
1917: 
Dollars. 
1.34 
2.27 
2.54 
3.85 
2.27 
2.38 
2.21 
.86 
.89 
2.10 
Dollars. 
2.12 
3.29 
5.60 
4.76 
3.70 
3.86 
4.37 
2.19 
2.82 
3.21 
Dollars. 
1.58 
2.58 
3.87 
4.26 
3.06 
2.79 
3.32 
1.73 
1.92 
2.67 
Cents. 
32.0 
58.8 
35.1 
70.4 
35.2 
71.4 
49.5 
79.3 
62.4 
86.9 
Cents. 
51. 1 
96.9 
60.1 
83.3 
65.4 
106.7 
80.4 
126.8 
97.5 
122.0 
Cents. 
37.2 
71.0 
1918: 
Oranges .. 
49.7 
77.5 
1919: 
49.6 
86.1 
1920: 
Oranges. . . . .- 
62.6 
100.9 
1921: 
74.8 
112.5 
The first impression gained from Table 9 is that variations in 
receipts are much greater than the variations in packing-house ex- 
pense. It would appear at first glance that packing-house expense is 
a relatively unimportant item, and that the attention of the associa- 
tion should be directed to increasing the selling price of their ship- 
