xt7qv97zn506 https://exploreuk.uky.edu/dips/xt7qv97zn506/data/mets.xml   Kentucky Agricultural Experiment Station. 1960 journals 098 English Lexington : Agricultural Experiment Station, University of Kentucky Contact the Special Collections Research Center for information regarding rights and use of this collection. Kentucky Agricultural Experiment Station Progress report (Kentucky Agricultural Experiment Station) n.98 text Progress report (Kentucky Agricultural Experiment Station) n.98 1960 2014 true xt7qv97zn506 section xt7qv97zn506 I STRAWBERRY MARKETING IN KENTUCKY - I%O
BY WILLARD H. MINTON
DEPARTMENT OF AGRICULTURAL ECONOMICS
. Twelve local assembly markets served Kentucky strawberry farmers in 1960.
These markets were:
I (1) Cincinnati Produce Growers' Association, Cincinnati, Ohio
_ (2) Fern Creek Strawberry Growers, Fern Creek, Ky.
` (
(3) Greenup Cotmty Strawberry Growers, Greenup, Ky.
I ` (4) Hunt's Strawberry Market, Franklin, Ky.
(5) Independent Strawberry Growers' Association, Bowling Green, Ky.
I
I` (6) Johnson County Strawberry Growers, Paintsville, Ky.
I (7) Kentucky Mountain Growers' Cooperative Association, Morehead, Ky.
(8) Logan County Fruit and Vegetable Market, Russellville, Ky.
(9) McCracken County Strawberry Growers' Association, Paducah, Ky.
(10) Oakland Strawberry Growers' Association, Oakland, Ky.
(11) Queen City Sales, Somerset, Ky.
(12) Trimble County Growers' Association, Bedford, Ky.
_ Seven of these assembly markets dealt in fresh market strawberries only.
Four serviced both the fresh and process strawberry markets, while one reported
sales exclusively to processors. (See map showing location and type of berry
marketed. ) Although most of these local markets have served Kentucky strawberry
· growers for a number of years, one has served as an organized market for only two
years. However, three local assembly markets that operated in 1959 did not operate
in 1960.
I PROGRESS REPORT 98
_ (FILING CODE: 7· 1)
UNIVERSITY OF KENTUCKY I
AGRICULTURAL EXPERIMENT STATION
Lexington

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FRESH MARKET STRAWBERRIES
During the past few years a distinct shift in size of shipping containers has
r taken place. The 16—quart crate was used for 90. 6 percent of the fresh market
berries shipped in 1960. The 24-quart crate continued to decline in importance
as a shipping container and accounted for 7. 6 percent of the fresh market berries
in 1960. The 8—quart flat was introduced by one local market as a shipping con-
tainer and accounted for 1. 8 percent of the fresh market berries. Because of the
relative insignificance of the 8—quart and the 24-quart shipping containers, the
discussion will be in terms of 16—quart equivalent crates. _
A total of 34, 560 crates (16—quart equivalent) was sold for a gross value of
$155, 313 through the local markets in 1960. The grades for these berries were
89. 4 percent U. S. No. I, 10. 4 percent U. sg No. II} and 0. 2 percent unclassified.
Quality as indicated by these percentages was considerably higher in 1960 than has
been true for the past few years (Table 1).
» Table 1. ·— Percentages of Fresh Market Berries Grading U. S.
No. I, U. S. No. II, and Unclassified, 1956-60
V  
1956 1957 1958 1959 1960
S % % _ % % %
 
U.S. .No. I 77.7 82.6 82.5 80.2 89.4
U. S. No. II 21. 4 15. 9 16. 7 17. 8 10. 4
Unclassified 0. 9 1. 5 0. 8 2.0 0.2
` 100. 0 100. 0 100. 0 100. 0 100.0
All marketing costs. including costs of crates, were deducted from gross sales
figures to give the grower a.take—home price for fresh market strawberries. The take-
home price for U. S. No. I fresh market strawberries (16—quart crate equivalent) aver- -
aged $3. 61 with a range of $3. 12 to $5. 16 for local markets in the state. The take-
home price for U. S. No. II fresh market strawberries (16-quart crate equivalent)
‘ averaged $2. 70 with a range of $1. 67 to $4. 19 for local markets in the state. The
f take-home price for unclassified fresh market strawberries (16—quart crate equivalent)
averaged $1. 93 with•a range of $1. O3 to $2. 37 for local markets in the state. The take-
home price on a 16—quart crate equivalent for all fresh market strawberries averaged
$3. 51 with a range of $2. 72 to $4. 89 for local markets in the state (Table 2).
Marketing costs at the local level were made up of the following items; manager's
compensation, shed labor, office labor, telephone. supplies. rent or shed payments,
inspection fees, license fees, insurance, and taxes. The marketing costs at the local
assembly market for fresh market strawberries (16—quart crate equivalent) averaged 23
cents per crate with a range of 9 cents to 36 cents per crate for local markets in the
state.

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Table 2. — Local Market Strawberry Sales, Kentucky, 1960 I
Fresh Market, 16-Quart Total (Converted)
Gross Local
Number Price Market- Return Return Return
Local of (Shipping ing Cost at Shed Less Cost to Farmer _
Market Crates point) Per Crate . Per Crate of Crate Per Pound
dollars dollars do ji lars dol lars cen  
A 2, 405 4. 36 0. 29 4. 07 3. 30 16. 5
B 889 3.83 0.36 3.47 2.72 13.6
C 2, 759 5. 50 0.12 5. 38 4. 89 24. 5
D 924 4.00 0.30 3.70 2.98 14.9
E 7,000 4.69 0.20 4.49 3.71 18.6
F 1, 519 4. 42 0.25 4. 17 3. 37 16. 9
G 4,013 4.51 0.25 4.26 3.48 17.4
H 2,287.5 3.80 0.30 3.50 2.75 13.8
I 5,711 4.52 0.20 4.32 3.54 17.7
J 4,829 4.31 0.30 4.01 3.21 16.1
K 2,223.5 4.29 -0.09 4.20 3.47 17.3
Total 34, 560 4. 49 _ 0.23 4. 26 3. 51 17. 6

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PROCESSING STRAWBERRIES
Processing outlets used by Kentucky farmers in 1960 were:
(a) Breyer Ice Cream Company, Celina and Livingston, Tenn.
(b) Colonial Frozen Foods, Franklin, Ky.
(c) Frost King Foods, Paducah, Ky. l/
. These plants bought berries direct from farmers at the plants. In addition,
one plant maintained pick—up~points in outlying areas. Too, these plants bought berries
from the local assembly markets that handled processing berries. Two processing plants
that operated in Kentucky in 1959 were inactive in 1960 because of a shortage of berries
, in their areas.
Approximately 1, 031, 700 pounds of Kentucky strawberries were sold to these
processing plants for a gross value of $158, 078 in 1960. The average take-home price
to the grower was 14. 3 cents per pound with a range of 13. 8 cents to 14. 5 cents for
V ' individual markets. Handling costs for processing berries averaged about 1 cent a
pound.
'TOTAL STRAWBERRIES2/
A total of 86, 145 16—quart crates of strawberries (converted) were marketed
through the aforementioned local assembly markets and processing plants by Kentucky
farmers in 1960 for a gross value of $313, 391. Those berries that were sold through
fresh market channels returned an average of 17. 6 cents per pound to the grower, while
those berries that were sold through processing marketing channels returned an aver-
age of 14. 3 cents per pound to the grower. These figures indicate a higher return to
the grower from fresh market sales than from processing market sales.
According to the U. S. D A. , 1956 was the most recent year of high acreage for  
strawberries in Kentucky. The 1956 harvested acreage of 6. 200 acres had declined
to 5,200 acres in 1957. 4,400 acres in 1958, 2. 400 acres in 1959, and 1, 700 acres in
1960. This represents a decrease of about 70 percent in harvested acreage over the
four—year period. Preliminary reports indicate that harvested acreage for 1961 will
be 1,800 acres.
Although this is only a slight increase over 1960, it appears that the low point
_ in this production cycle has been rea.ched. »
l The most recent year for low prices for strawberries in Kentucky was 1957.
Average return to the farmer by the local assembly markets and the processing plants
increased from the 1957 low of 11. 7 cents per pound to 13. 1 cents/per pound in 1958,
14. 9 cents per pound in 1959. and 15. 7 cents per pound in 1960. i With the upturn
of the production cycle. prices should continue to increase slightly for the next two
or three years before reaching a peak. _
L/SF2? N13]? {`*’ lC7'a` ')"
E/Sé= _I`a°`~ 3 for de’ailed comparisons among fwzsli ma l~r·1 s.1l··s pocussing nw.rl