"E‘RAESFORTATEON TRENDS AND SEASONAL FACTORS 1N THE MARKET [MSTRlBUTION OF MICHIGAN BEANS Thems for the Degree of M. A. MCHEGAN STATE COLLEGE Donald R. Stokes 1939 3w. “it __ _ L" m1 I. «l4 0 All-h. 3 1 .0! vii IUA‘J‘I‘ TRANSPORTATION TRENDS AND SEASONAL FACTORS IN THE MARKET DISTRIBUTION OF MICHIGAN BEANS -..|,. all; fl’lllfiitufi v ,II4 Transportation Trends and Seasonal Factors in the Market Distribution of Michigan Beans A,Thesis Submitted to the Faculty of the Michigan State College in partial fulfillment of the requirements for the Degree of Master of Arts Michigan State College by #( Donald R;}Stokes 1939 h .3‘": 2—17 -." THESIS ACIQIOWIED GMENT S I wish to express grateful acknowledgment to the Michigan Elevator Exchange and to the Michigan Bean Shippers Association who so willingly furnished the primary data for this study, Grateful acknowledgment is due Mr. A. B. Love, Marketing Specialist, Department of Economics, Michigan State College, for his advice and assistance in the preparation of the manuscript, for without his aid this study would not have been possible. The writer also wishes to thank Dr. H. S. Patton, Professor R. V. Gunn and Dr. G. N. Motts, Department of Economics, Michigan State College, and Mr. N. H. Bass, co-manager of the Michigan Elevator Exchange, for the reading of this manuscript and their constructive criticism. 121480 TABLE OF CONTENTS INTRODUCTION . . . . . . . . . . . . . . . . . . . . . . . . Bean Production in Michigan . . . . . . . . . . . . . . . . . . . Trade Channels . . . . . . . . . . . . . . . . . . . . . . . Michigan Bean Shippers Association . . . . . . . . . . . . . . . . Michigan Elevator Exchange . . . . . . . . . . . . . . . . . . . . Purpose of Study . . . . . . . . . . . . . . . . . . . . . . . . . Scope and Methods . . . . . . . . . . . . . . . . . . . . . . . . . sources Of Data 0 O O O O O O O O O O O O O O O O O O O O O O O O 0 Review of Literature . . . . . . . . . . . . . . . . . . . . . . Definition Of Tems O O 0 O O O O O O O I O O O O O O O O O O I O TRANSPORTATION TRENDS IN THE MICHIGAN BEAN INDUSTRY . . . . . . . . Origin of Shipments and Methods of Transportation . . . . . . . . Carlot Shipment s O O O O I O O O O O O O O O O O O O O O C O 0 Truck Shipments . . . . . . . . . . . . . . . . . . . . . . . LeSS‘CBIlOt Shiments o o o o o o o o o o o o o o o o o o o o 10 11 15 15 15 22 Summary of Carlot, Truck and L.C.L. Shipments . . . . . . . Seasonal Distribution of Shipments from Terminal Plant and Local Elevators O O C O O O O O I O C O O O O O O O C O O O O O O O O O 0 Total Shipments from Terminal Plant and Local Elevators . . . . Total Shipments to Canning Trade from Terminal Plant and Local Elevators . . . . . . . . . . . . . . . . . . . . . . . . . . Total Shipments to Dry Bean Trade from Terminal Plant and Local Elevators . O C O O O O . C . C O O O O O C . O O C . C O C O . Carlot Shipments from Terminal Plant and Local Elevators . . . . Truck Shipments from Terminal Plant and Local Elevators . . . . Summary of Shipments Through Terminal Elevator and from Local Elevators to the Canning and Dry Bean Trade . . . . . . . . . . iv. IIV-. ‘0”, I . TABLE or coursnrs (continued) Transportation Methods in Relation to Destination and Distribution between Canning and Dry Bean Trade . . . . . . . . . Destinations of Carlot and Truck Shipments and Distribution between the Canning and Dry Bean Trade . . . . . . . . . . . . Carlot Shipments . . . . . . . . . . . . . . . . . . . . . Truck Shipments . . . . . . . . . . . . . . . . . . . . . Comparison of Carlot and Truck Shipments . . . . . . . . . Destinations and Declining Importance of Less-carlot Shipments . . . . . . . . . . . . . . . . . . . . . . . . . MARKET QUALITY TRENDS AS DETERRINED BY GRADES AND INSPECTIONS . . . Nichigan Bean Grades . . . . . . . . . . . . . . . . . . . . . . Inspection Service . . . . . . . . . . . . . . . . . . . . . . . Relationship of Inspections to Size of Crop . . . . . . . . . . . Inspections by Districts . . . . . . . . . . . . . . . . . . . . Grades of Total Inspected Shipments by Districts . . . . . . . . Grades of Inspected Truck Shipments by Districts . . . . . . . . INTERRELATIONS OF SEASONAL FACTORS, MARKET DISTRIB’TION AND TRANS- PORTATION TRENDS . . . . . . . . . . . . . . . . . . . . . . . . . . Relationship of Inspected Shipments to Method of Transportation . Relationship of Seasonal Quality of Crop to Origin of Bean Shiment S . . 0 C Q Q . C . O C O . . O O C . . C . O O C . O C . Relationship of Processing for Market Quality to Volume Handled by Terminal Plant and Local Elevators . . . . . . . . . . . . . . . Relationship of Seasonal Quality to the Distribution of Terminal Plant and Local Elevator Shipments between the Canning and Dry Been Trp‘de . C O C O O C O O O O O O O O O O O C O O O O O O O 0 Relationship of Seasonal Quality of Crop to Sales Outlets . . . . 58 59 59 64 64 67 67 67 69 69 7O n c O n e n I . . n . . . . c . c . . , . . . o . u . q a i . c t . . . . . . y . . . v , . i A . A . . . . . . i . t . ..lv:!l .Lle a II {y'flio‘IF I «Illl'nr I LI? 1 .O J . J- TABLE OF CONTL SUMMARY AND CONCLUSIONS . N 1"” is (continued) Assembling Michigan Beans for Market . . . . . . . . . . Destinations and Sales to Canners and the Dry Bean Quality of Michigan Beans REC OM} EENDAT I ON APPENDIX . SELECTED BIBLIOGRAPHY . . Trade 71 71 72 74 75 77 92 vi. ,v ‘Err‘tiv .l'.’ I'III'PI' I I 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. IJST OF TABLES Acreage of Beans Harvested in Principal States, 1924-1937 . . . . Production of Dry Edible Beans in Principal States, 1922-1938 . . Farm Price of Michigan Beans, 1928-29 to 1937-38 . . . . . . . . Total Bean Shipments from Terminal Plant and Local Elevators, 1932‘33,1936.37811d1937-38 coo-00000000000000. Total Bean Shipments to Canning Trade from Terminal Plant and Local Elevators, 1932-33, 1936-37 and 1937-38 . . . . . . . . . . Total Bean Shipments to Dry Bean Trade from Terminal Plant and Local Elevators. 1932-33, 1936-37 and 1937-38 . . . . . . . . . . Carlot Shipments from Terminal Plant and Local Elevators 1932-33, 1936-37and1937‘38000000oooooooocoo-0.... Truck Shipments from Terminal Plant and Local Elevators, 1932-33, 1936-37and1937.38000000000000o.coo0000.0 Carlot Shipments to Canners and Dry Bean Trade, 1932-33, 1936-37 and1937-38....o......o............... Truck Shipments to Canners and Dry Bean Trade, 1932-33, 1936-37 anal-937-380.000.000.00.00000000000000 Total Rail and Truck Shipments, 1932-33, 1936-37 and 1937-38 . . Proportions of Total Rail and Total Truck Shipments to Canners and Dry Bean Trade, 1932-33, 1936-37 and 1937-38 . . . . . . . . Total Truck and Less-earlot Shipments, 1932-33, 1936-37 and 1937-38.00.000000000000o.00000000... Relationship of Total Yearly Inspections by Michigan Bean Shippers Association to Size of Annual Crop Movement, 1932-1937 . Total Bags Shipped by Districts, Crop Years 1932-33 to 1937-38 . Total Bags Inspected by Districts, Crop Years 1932-33 to 1937-38 Per Cent of Crop Movement Inspected by Michigan Bean Shippers Association, Crop Years 1932-33 to 1937-38 , , , , , , , , , , , Grades of Inspected Truck and Rail Shipments, 1936-37 and 1937-38 Comparison of Crop Movement and Proportions of Crop Inspected for Rail and Trudk Shipments, 1936-37 and 1937-38 . . . . . . . . . . vii. Page 78 79 81 82 83 84 85 86 87 88 89 9O 91 68 12. 13. 14. Distribution of Michigan Bean Acreage, 1934 Sources Sources Sources Sources Sources Sources Sources Sources Sources A. Monthly Percentage Distribution of Total Shipments for Season, 1932-33, 1936-37 and 1937-38 B, Comparative Monthly Percentage Distribution of Total Ship- ments from Terminal Plant and from Local Elevators, 1932-3 , and 1937-38 . . . . 1936-3 A. Monthly Percentage Distribution of Total Shipments to Canning Trade, 1932-33, 1936-37 and 1937-38 . . . . . . . . . . B, Comparative Monthly Percentage Distribution of Total Ship- ments to Canners from Terminal Plant and from Local Elevators, 1932-33, 1936-37 and 1937-38 A. Monthly Percentage Distribution of Total Shipments to Dry Bean Trade, 1932-33, B. Comparative Monthly Percentage Distribution of Total Ship- ments to Dry Bean Trade from Terminal Plant and from Local Elevators, 1932-33, 1936-37 and 1937-38 . . A, Monthly Percentage Distribution of Carlot Shipments, 1932-33, of of of of of LIST OF FIGURES Carlot Shipments, 1932-33 Carlot Shipments, 1936-37 Carlot Shipments, 1937-38 Truck Shipments, 1932-33 . Truck Shipments, 1938-37 . Truck Shipments, 1937-38 . Less-Carlot Shipments, 1 32-33 Less-carlot Shipments, 1936-37 Less-carlot Shipments, 1937-38 hf," B, Comparative Monthly Percentage Distribution of Carlot Ship- ments from Terminal Plant and from Local Elevators, 1936-37 and 1937-38 . . . . O O 0 viii. 1936-37 and 1937-38 0 O 1076 Ad L34" 0 Page 16 17 18 19 2O 21 23 24 EB 31 (33 DJ 33 l LIL Figure 15. 24. LIST OF FIGURES (continued) .A. Monthly Percentage Distribution of Truck Shipments, 1932- 3 , 1V3 0-37 C‘n(1 1937- 38. C O O O O O O O C O O O O O O O O O I O O . B. Comparative Monthly Percentage Distribution of Truck Ship- ments from Terminal Plant and from Local Elevators, 1932-33, 1936‘s? and 1957-58 0 O C C O O O O O C C C O O O C O O O O O O O Destinations of Total Carlot Shipments, 1932-33 . . . . . . . . . Destinations of Total Carlot Shipments, 1936-37 . . . . . . . . . Destinations of Total Carlot Shipments, 1937-38 . . . . . . . . . A, Monthly Percentage Distribution of Carlot Shipments, 1932-33, 1936.37 and 1937-38 0 o c o o o o o o u o o o o o o o o o o o o o B. Comparative Monthly Percentage Distribution of Carlot Ship- ments between Canners and the Dry Bean Trade, 1932-33, 1936-37 1937-38 0 o o o o o o o o o o o o o o o o o o o o o o o o o o o o Destinations of Total Truck Ship? ments, 1932-33 . . . . . . . . . Destinations of Total Truck Shipments, 1936-37 . . . . . . . . . Destinations of Total Truck Shipments, 19 31- -38 . . . . . . . . . A. Monthly Percentage Distribution of Truck Shipments, 1932-33, 1936-37 8.116- 1957-38 0 o o o o o o o o o o o o o o o o a o a o o o B. Comparative! ionthly Percenta fie Distribution of Truck Ship- ments between Canners and the Dry Bean Trade, 1932- -33, 1936-37 and 19 37-38 0 o o o o o o o o o o o o o o o o o o o o o o o o o o A. Monthly Percentage Distribution of Total Truck and Rail Ship- ments, 1932-38, 1986-37 and 1937.28 0 o o o o o o o o o o B. Comparative Monthly Percentage Distribution of Truc‘ an d M 11 Shipments, 1932- 33, 1936-37 and 1937-38 . . . . . . . . . . . . . Destinations of Less-carlot Shipments, 1932-33 . . . . . . . . . Destinations of Less-carlot Shipments, 1936-37 . . . . . . . . . Destinations of Less-carlot Shipments 1937-38 . . . . . . . . . A. Monthly Percentac e Distribution of Truck and Less-carlot Shipments, 1932-31936-37 and 1937-38 . . . . . . . . . . . . . B. Comparative Monthly Percentage Distribution of Truck and Less- carlot Shipments, 1932-33, 1936-37 and 1937-38 . . . . . . . . . Page 49 49 52 53 54 56 56 Figure 29. 30. 31. LIST OF FIGURES (continued) Page Districts of Michigan Bean Shippers Association . . O O O O O O 60 Relationship of Total Yearly Inspections by Michigan Bean Shippers Association to Size of Annual Crop Movement, 1932-1937 61 Proportion of Bean Crop Movement Annually Inspected by Districts, 1932-1937 . . . . . . . . . . . . . . . . . . . . . 63 A. Grades of Inspected Truck Shipments by Districts, 1956 and- 1957 O C C C O O O O O I O O O O O O O O O O O O I O O 65 B. Grades of Total Inspected Shipments by Districts, 1936 and 19 37 C O O O O O . O O O C O O O O O O C O O O O O C O 65 INTRODUCTION Bean Production in Michigan. The white pea bean, commonly called navy bean, is one of Michigan's most important cash crops. The average annual production for the ten-year period 1929-1938 was 3,973,800 bags of 100 pounds with an average annual value of $10,214,600. The average annual Michigan acreage of beans harvested during this period was 560,600.1. According to the 1935 Census of Agriculture, 56,775 farmers, representing 30 per cent of the farms in the state, grew beans. Since 1934 the yearly farm cash income from beans has averaged approximately 12 per cent of the total annual cash income from all crops in Michigan. Beans are grown in practically every county in the lower peninsula of Michigan with the heaviest concentration in the Saginaw Valley and "Thumb" district. In 1934 Huron county had the largest acreage of beans with 75,731 acres. and Sanilac, Tuscola and Saginaw counties ranked next in importance. The bean crop is unimportant north of the Saginaw Valley with the exception of Arenac county but is fairly well distributed over the south- central and eastern part of the state, as shown in.Figure 1. From 1932 to 1937 Michigan produced approximately 88 per cent of the total pea bean production in the United States and 35 per cent of the total domestic crop of all varieties of field beans. The other important commercial varieties are the Lima, Pinto, Great Northern, and Red Kidney which are respectively grown chiefly in California, Colorado, Idaho and Michigan. Of these four varieties the only real competitor of Michigan pea beans is 1. ”Michigan Crop Report: Annual Crop Summary.” Div. of Crop and Livestock Estimates, Bur. of Agr. Econ., U.S.D.A. 1938. 1. ”my: I “'"M’twfl . ‘ H— Figure 1. - Distribution of Michigan Bean Acreage, 1934. 2. the Great Northern which competes to some extent in the dry bean trade but only to a slight degree in the canning trade.1. For the crop year 1937-38 Michigan ranked first among the states in acreage of beans and second only to California in production. The acreage and production of dry edible beans in the more important states since 1924 are shown in Tables 1 and 2. Farm prices of Michigan beans fluctuate more widely than either acreage or yield. Table 3 shows the farm price of Michigan field beans as of the l5th of each month from 1929 to 1938. Trade Channels. The marketing system for beans is similar to those employed for other field crops. The farmers sell their beans to local elevators, who in turn usually sell them to Jobbers or ship them to a terminal plant for further processing and conditioning. Less frequently some local elevator sales are made through a broker or direct to the dry bean trade. The large shippers or Jobbers usually purchase their beans direct from local elevators but to some extent through brokers. The bean shippers have a variety of outlets: canning plants, wholesale grocers, chain stores, brokers and even direct to retailers. The canners, as a rule, purchase their beans from the shippers either for future delivery or immediate shipment, as the storing qualities of beans permit the canning of this product during the "off season" for perishable fruits and vegetables. The dry bean Jobbers, however, usually purchase their beans for immediate Shipment whenever they consider the price favorable and market them accord- ing’to the demands of the dry bean trade. Michigan Bean ShiDDQ£§né§§Q£i§£iQ§. The Michigan Bean Shippers ASsociation was organized December 7, 1892, and reorganized and incorporated K __._‘ 1. Gunn, R. V. "Some Economic Aspects of the Bean Situation." Mich. Aer. Ext. Bul. 107. 1930. 1. Table 1. - Acreage of Beans Harvested in Principal States, 1924-1937 : : : : : Other : Total : Percentage Year : Michigan : Colorado : Idaho :California: State§;_ ULSL_: in Michigan; Thousands of_Agres 1924 625 286 65 206 402 1,584 39.5 1925 650 332 72 240 321 1,615 40.2 1926 637 398 72 305 328 1,740 36.6 1927 567 322 95 296 332 1,612 35.2 1928 521 374 114 307 335 1,651 31.6 1929 575 376 134 339 416 1,840 31.3 1930 690 450 168 363 488 2.159 32.0 1931 635 351 176 334 451 1.947 32.6 1932 552 221 75 225 358 1.431 38.6 1933 567 365 102 275 420 1,729 32.8 1934 632 174 92 299 263 1.460 43.3 1935 562 435 110 339 439 1,885 29.8 1936 466 287 104 347 390 1,594 29.2 19 37 485 244 140 386 466 l. 721 28. 2 1. ”Economic Data for Dry Beans, 1922-1937.“ A.A.A., U.S.D.A. March, 1938. Table 2. - Production of 1 Dry Edible Beans in Principal States, 1922-1938 : : : 1“California : :—Percentafle Year :Michigan:Colorado: Idaho : All Other . Other : Total : in : _‘ : : :Limas :Varieties:States : U.S. 3 ichigan Thousands of Bags of 100 Poundg 1922 3,023 318 238 1,508 1,592 1,222 7,901 38.3 1923 3,859 763 454 1,050 1.691 1,770 9,587 40.3 1924 4,125 583 624 705 864 2,198 9,099 45.3 1925 5,265 1,394 778 1,100 1,567 1,603 11,709 45.0 1926 4,586 860 756 1,830 1,484 1,508 11,024 41.6 1927 3,062 1,063 1,054 1,320 1,485 1,753 9,737 31.4 1928 3,439 1,010 1,163 1,291 1,841 1,830 10,574 32.5 1929 3,220 1.316 1,608 1,473 1,918 2,743 12,278 26.2 1930 2,898 2,475 1,915 1,798 2,466 2,581 14,133 20.5 1931 3,556 906 2,024 1,727 1,740 2,961 12,914 27.5 1932 5,078 453 1,020 1,194 1,290 1,970 11,005 46.1 1933 4,139 1,204 1,408 1,573 1,947 2,500 12,771 32.4 1934 4,178 376 1,205 1,780 1,904 1,950 11,393 36.7 1935 5,114 1,174 1,265 1,525 2,440 2,805 14,323 35.7 1936 2,656 1,091 1,373 1,995 2,086 2,204 11,405 23.3 1937 4,559 781 1,932 2,561 2,808 3,198 15,839 28.8 1938"I 4,738 1,015 1,482 2,050 2,128 2,796 14,209 33.3 .1. ”Economic Data for Dry Beans, 1922-1938." ,A.A.A., U.S.D.A. October, 1938. Table 3. - Farm Price of Michigan Beans, 1928-29 to 1937-38 (Price on 15th of each month) md erm Dollar 7 32452385 2 140344502 0.0.0.0000 8581122352 masaaaamaa 8531222442 ssnasssms mfi3122235 5mmeasa. ma 0 O 0 8531122262 mmmmmwmamw 0000000000 8531222262 m 0500050 7560809 . . . O . . . . . . 8531122262 5 O5 mwsmlzmwmw . $fl31122172 $0555 1969 o a o o o 9631 22272 mamas 55 o 8631 .&&L&& wm%%mm%0 &£1. 221621 0 ab. 0 0 "(0421221521 wwwwm wmwm coo-coo... 8521232531 exams mmw 0.. .0... 862123243 amaaaaaam 5aa555aa5 magssa 55 llllllwww 19 :37-38 2. 3.66 Average 3.40 3.15 3.00 3.70 3.92 3.74 3.66 3.78 3.65 3.71 3.77 Div. of Crop and Livestock 1938. Annual Crop Summa ..” Estimates, Bur. of Agr. Econ., U.S.D.A. "Michigan Crop Report: L January 28, 1913. Its membership consists largely of independent and co- operative elevators and bean Jobbers who are regular members; bean dealers, canners, wholesale grocers, brokers and trade Journals who are associate members; and honorary members who are elected to the association in the same manner as regular members but are exempt from payment of dues and have no voting privileges. Its chief functions are the publication of daily bean prices and the supervision of bean grading throughout the state, but it also serves as a conventional trade association, supplying current trade information, sponsoring improvements in the marketing processes and other activities for the general trade betterment. As the association has been chiefly responsible for the grading of Michigan beans (the Federal government maintained one or two inspectors in the state for a short period) the inspection records of this organization were used in this study as the basis of determining the quality of Michigan bean shipments. Some inspections have been made by the Federal government, but the great majority of all inspections of Michigan beans were made by the association and were considered representative of the Michigan bean industry for the purposes of this study. _gichigan Elevator Exchange. The Michigan Elevator Exchange is a federated type of cooperative with eightybthree local cooperative elevator associations comprising its membership. The Exchange was organized in 1920 tesfunction as a sales agency on behalf of its members and since the date of 11:3 organization has proven to be a successful enterprise; its volume of 'business steadily increasing from 1,574 carloads of grain and beans in 1921 1. to 6,102 carloads in 1936. n 1. Hedrick W. 0. “A Decade of Michigan Cooperative Elevators.“ Mich. Aer. Exp. Sta. spec. Bul. 291. 1938. The Exchange deals with its member elevators on a “sale and purchase” basis; that is, it takes title to the commodity when purchased and, when sold, receives the profit or loss of the transaction. Although organized to act as a central sales agency for its member elevators, the Exchange deals with non-members as well, thus being able to act in the same capacity as other grain and bean jobbers. Patronage dividends (cash or stock) have been paid to members each year since the organization of the Exchange, the . total distributions being in excess of $500,000. Additional services have been provided for its member elevators by its acquisition of a large terminal elevator located at Port Huron. This terminal plant with its facilities for processing, conditioning and storing of beans enables the organization to provide an integrated marketing service from the farmer to the canning and grocery trade. Other benefits which the member elevators derive from the Exchange include assistance in their traffic problems, price quotations, market advice and general trade information. The operations of the Exchange extend over practically the entire state and are of particular importance in the bean producing area. It is estimated that the Exchange moves 25 to 30 per cent of the total Michigan bean crop; the exact proportion depends upon the size and quality of the crop and competitive factors in the market. Purpose of Study. The purpose of this study is to examine certain trends existing in the marketing processes of the Michigan bean industry, an important factor in Michigan's agricultural economy. New problems are Canstantly arising. Changing methods of transporting Michigan beans are causing widespread difficulties affecting the whole industry. Problems Con1?ronting members of the trade are caused by the interrelating effects Of changing transportation methods, market quality variations. and l.|lullld‘ changing sales outlets. An attempt has been made in this study to reveal and analyze these trends and interrelated effects in order to suggest possible Changes in the marketing practices employed by farmers, local elevators, jobbers and other members of the trade. Although the word ”trends“ usually refers to a downward or upward movement over a consecutive number of years, it was used in this study to indicate the directional move- ment ofvcertain variables revealed by the data. l§ggpe and Methgdg. Due to the importance of the Michigan Elevator Exchange in the bean industry of the state, the transactions of this organization were considered representative of the industry for the purposes of this study. All records concerning the points of origin, processing and destinations of Michigan bean shipments were secured from the Exchange, The crop years of 1932-33, 1936-87 and 1937—38 were selected for use in this study. Data for the months of July and August in 1938 were not avail- able. The reasons for the selection of these three seasons are: (l) the crop year of 1932~33 was characterized by heavy production, low prices per unit and a wide distribution; (2) the season of 1936-37, a short crop, was characterized by'a high ”pidk" due to wet weather, thus presenting an opportunity to study certain processing trends; (3) the crop year of 1937-38 brings the trends up to date; and (4) such a six year period provides a more complete perspective of the existing trends. The crop years of 1932-33 to 1937-38, inclusive, were used in the quality section of this study. It seemed desirable to use the complete six year period in order to achieve a more accurate analysis of the quality trends. Sources of Data. The primary data used in this study were obtained through the courtesy of the Michigan Elevator Exchange and the Mdchigan 10. Bean Shippers Association. All records concerning purchases and sales of the Exchange were obtained from its central sales office at Lansing, and records concerning the origin and amount of shipments by the terminal plant were secured from the Exchange terminal elevator at Port Huron. The data concerning inspections and quality were obtained from the Secretary of the Michigan Bean Shippers.Association at Saginaw. The secondary data were secured from publications of the United States Department of Agriculture, the United States Census, Annual Crop Summaries of the Michigan Crop Reporting Service and bulletins of the Michigan Agri- cultural Experiment Station concerned with the bean industry of the state. Review of Literature. Previous studies published by the Michigan .Agricultural Experiment Stationl. have considered production and marketing problems and also the general economic aspects of the Michigan bean industry. The bulletin by Hedrick, “l keting Michigan Beans,“ was largely concerned with a description of the general marketing procedure employed in the Michigan bean industry, while a later bulletin by the same author, "A Decade of Michigan Cooperative Elevators," was primarily concerned with type of organization and the financial structure of local cooperative elevators. The publication by Gunn, "Some Economic Aspects of the Bean Situation," presented the general economic outlodk for the Michigan bean industry in 1930. The study by Wright, "The Economics of Bean Production in Michigan," dealt with the farm costs of producing beans in Michigan. A discussion of _‘ A 1. Gunn, B, V. "Some Economic Aspects of the Bean Situation.” Mich. Agr. Ext. Bul. 107. 1980. Hedrick, W. O. "A.Decade of Michigan Cooperative Elevators." Mich, Agr. Exp. Sta. Spec. Bul. 291. 1938. _A_, "marketing Michigan Beans." Mich. Agr. Exp. Sta. Spec. Bul. 217, 1931. Motts, G. N. "The Production-Consumption Balance of Agricultural Products in Michigan." ich. Agr. Exp. Sta. Bul. 278. 1936. ‘Wrighm, K. T. “The Economics of Bean Production in.Nfichigan.” Mich. Agr. Exp. Sta. Spec. Bul. 270. 1936. 11. the balance of the interstate movements of field beans in relation to the Michigan.production and consumption was included in a study by Motts, "The Production-Consumption Balance of Agricultural Products in.Michigan." In Montana and New York, studies by Renne and Young were primarily concerned with the marketing procedure and economic aspects of bean production in their respective states.l. A.m0re recent publication, "Major Economic Trends in the Dry Edible Bean Industry" issued by the United States Depart- ment of Agriculture treated the whole domestic dry bean industry in respect to production trends, prices, crop movements, foreign trade, and freight rates.2. This study is primarily concerned with the interrelating effects of changing transportation methods, seasonal and market quality variations and changing sales outlets upon the Michigan bean industry. Although most attention was given to the trend in transportation, it was necessary to correlate market quality, market distribution, and seasonal variations in the size and condition of the crop with the transportation trend in order to arrive at the interrelating effects of these factors upon the Michigan bean industry. Definition of Termg. In order to avoid possible misunderstanding some of the terms employed in this study are defined as follows: Congpming trade refers to those distributing agencies in the market which include canneries, wholesale grocers, chain stores, brokers, commission agents and retailers by which beans reach the ultimate consumer. 1. Renne, R, R, ”The Economics of Bean Production and Marketing in Montana.” Mbnt. Agr. Exp. Sta. Bul. 858. 1932. Young, R, N, "Production and Marketing of Field Beans in New York." New York A61. Exp. Sta. Bul. 532. 1931. 2. Pond, R, K. "MaJor Economic Trends in the Dry Edible Bean Industry." Div. of Marketing and Marketing Agreements, A.A,A., U.S.D.A. 1938. :1 12. Jobbers are those middlemen acting as intermediary agents between the local elevators and the consuming trade. These Jobbers may either act as commission agents, own or control local elevators, or deal with local elevatars on a "purchase and sale. basis; that is, take title to the commodity when pur- chased and receive the profits of the transaction when sold. chal elevators assemble beans from the farmers and are the points of primary origin of bean purchases, sales and shipments by the jobbers to the consuming trade. ,ggrminalAplangg are elevators primarily engaged in processing and conditioning beans purchased from local elevators and are usually owned by sales agencies as an accessory to their purchase and sales servi ce. Point§_of origin of beansshipments refer to the assembling points of beans in the first instance for market movement from the area of production. M,B,S,A, refers to Michigan Bean Shippers Association. Exchange refers to Michigan Elevator Exchange. Prgcessipg represents those operations involved in preparing merchantable grades of beans such as mechanical and handpicking Operations. Conditionigg includes those operations involved in fitting subnormal beans for market, such as drying and polishing. .232; is a term employed by the bean industry to represent the percentage of deviation in quality from the highest grade, Michigan Choice Hand Pick; e.g., a two per cent pick indicates that two pounds per hundredweight are of lower grade than C.H.P. 13. Carlot or carload of beans consists of 500 bags or its equivae lent bulk weight. Less-carlot or_ngLl. refers to freight shipments in quantities less than the amount on which railway companies permit a carlot freight rate. Truckload is normally 200 bags or less. .ggggg. refers to Michigan Choice Hand Picked grade of navy beans. .ELELP. refers to Michigan.Prime Hand Picked grade of navy beans. .QLBLQ. refers to Michigan Choice Recleaned grade of navy beans. Crop year includes the months September to August, inclusive. 'nF TRANSPORTATION TRENDS IN THE MICHIGAN BEAN INDUSTRY During the last few years motor truck transportation of agricultural products has increased considerably, but not until recently has an appreciable tonnage of Michigan beans moved to market by truck. This change in the method of transportation has given rise to various problems, among which are its effects on: (1) the size of the bean assembling area, (2) the extent of the area of distribution, (3) the sales outlets utilized, (4) the quality of the product marketed.‘ To determine the transportation trends and their influence on the Michigan.bean.industry, an analysis is presented of the sources or points of origin of the bean shipments by the Michigan.Elevator Exchange and their ultimate destination to the canning and dry bean trade. To compare the methods of transportation this study is divided into three parts: carlot, truck, and less-carlot shipments of beans. After noting the relationship of transportation methods to the sources of bean shipments, it seemed advisable to consider methods of transportation in respect to influence upon the processing of beans for market distribution. Thus a comparison of shipments through the terminal elevator to those shipped direct from the local elevators was made in respect to method of trans- portation and distribution between the canning and dry bean trade. Although some local elevators have complete facilities for processing, they usually lack the capacity to perform this function during periods of heavy movement. Consequently, shipments of beans from the terminal plant were considered representative of processed beans in this study. 15. Origins of Shipments and Methods of Transportation _Qg;lot Shipmengg. The sources of carlot shipments of beans by counties for the crop years of 1932-33, 1936-37 and 1937-38 are shown in Figures 2, 8 and 4, respectively. The wide distribution of points of origin of bean shipments in the 1982 season compared with the 1936 and 1937 seasons is largely due to the greater production in that year. St. Clair county appears to be the largest source of carlot shipments of beans due to the location of the Michigan Elevator Exchange terminal elevator in this county. many local elevators ship their beans direct to the terminal plant for processing, further conditioning, or storing from which they are later moved to the consuming trade. The distribution of the points of origin of carlot shipments of beans was more restricted in 1936-37 than in 1932-33. There was very little difference between the two years in the amount shipped from St. Clair county although the total carlot shipments in 1932 were nearly double those in 1936. Evidently a much greater proportion of carlot shipments went through the terminal elevator during the latter year. The poor quality crop of 1936 due to wet conditions at harvest time necessitated the processing V of a larger proportion of the crop before marketing. The crop year of 1937-38 was again characterized by a wide distribution of the points of origin of carlot shipments. The high quality 1937 crop wdth only a three per cent pidk made possible a larger proportion of ship- ~ments direct from local elevators to the consuming trade and less from the terminal elevator. Trugk Shipments. Figures 5, 6 and 7 show the sources of truck ship- ments of beans for the crop years of 1932-83, 1936-37 and 1937-88. The 16. . = 1 Carlot Figure 2. - Sources of Carlot Shipments, 1932-83 17. “ , ‘Ffifii "aaTz&5—' 4:12. _“”‘f"*’°”1 1“” T'“ Mam—km +— mic—«m 'ru ‘ won? Milt Tau“; mat—L151}; u:~Jx—; “new? is; J TJiJ .. L +-- ”J“; l Hfi‘tJ‘rL” ”m u. .hTarl a... a Jj mi‘ Jr “7*" FIT" Tm— W __l__ ..1_- __L —L _L-_- . : l Carlot Figure 8. - Sources of Carlot Shipments, 1936-87 18. 1 I - I O O a . o I“ C .Téfi;$i13mu [“4" I“ jwfj‘mqwl— . - fl " A. “ W ml; . ._L'_J_,' ”Trump . ’ 1 Carlot Figure 4. - Sources of Carlot Shipments, 1937-38 19. nil-Tm ”A.” WIF‘T’O (nun A-u-A War/WI ca—mu Kan-I VVJ’IL' I?” ' _— mfln‘l "(l/ND W! o—m oath-w I'm . ””45qu Ioiuu IM-I-J cum Mun: ' Jim—L... 1m ago} “I" rd W ”L" 173;. +W—+-—er r741... '_l_';l l VJ- Iii-.51.... = 200 Bags W ‘Iw::‘I:Tm1::.. ii—rli—als—L—I—‘m Emil. m- WP #551” fJTu‘ 17.1.7,- ____J ._L_._L. _L _L_.‘I'w NWO Figure 5. - Sources of Truck Shipments, 1932-33 Mas-.4 ' A. .m:.-.mr ~ umm MI cur/MD “on 71”: “MT“ mt _- WU"! ”Um. WI 0w «(AC-b;- u a a ,J. «ri— ire—Ln” 1—« +51 wI—H a W ‘L J:"“J T‘ff' FL, I! . '” Lilo—I + aim—”TH . = 200 Bags LP" "ml—I .~ .u'erAMICTl—w +4.4”... Inn». »T‘: ' mi: “Fri" rJT mm [W .._J_ _1_. _L _L .L-_..‘ Figure 6. - Sources of Truck Shipments, 1936—37 rum-Fianna 1A.” WIW‘, llAMW aunt meI W moi-II N“ T.“ : “wart: avg/any {Jug—«T ‘IfiMIo‘tmw—I—I IN mou'I‘m 'onw m ’ a I—p‘m: anfiu: ' NW Figure 7. - Sources of Truck Shipments, 1937-38 21. 22. large crop of 1982-33 resulted in more truck shipments than in 1936-37. The points of origin of the truck shipments were widely distributed over the whole bean producing area in the 1932 season, whereas in the 1936 and 1937 seasons there was a tendency toward the restriction of the sources of truck shipments to more definite areas. There was a great increase in the number of truck shipments in the crop year of 1937 although they were largely concentrated in the southecentral part of the bean producing region. .A hirge part of the truCK shipments in 1937 originated in the border counties of the bean producing area, namely, Barry, Ingham, Livingston, Clinton, Shiawassee and Genessee counties. Saginaw county, although lying in the center of the bean producing region, was also the source of a large number of truCk shipments. It appears that truck shipments of beans are of primary importance in the border counties, but there is a tendency for the penetra- tion of this method of shipment into the heart of the bean region. The quantities of beans sold to and by the local elevators in the border counties are considerably less than those handled by elevators in the heart of the bean production area; consequently, holding for carlot accumulations involves greater risks from price changes. The usual 200 bag truck load allows a more rapid turnover of bean stocks than the regular 500 bag carload. Local elevator managers who observe this method of reducing risks will be making increased truck shipments. “Lg§§:carlot Shipmentg. The sources of less-carlot shipments of beans in 1932-33, 1936-37 and 1937-38 are presented in.Figures 8, 9 and 10. A great number of 1.0.1. shipments were made in 1932-33. These less-carlot shipments vary in size from 5 to 200 bags, usually less than 100 bags, and thus constitute only a small portion of the crop moved. The points of origin of l.c.l. shipments in 1982-83 were well distributed throughout the 23. o = 200 38.38 Figure 8. - Sources of Less-carlot Shipments, 1932-33 24. ‘Nl”! ~‘ u a * m - .Irw‘.‘ 1’? l m out elm-.- p- _L! was! .1 4.1;..- a». T amu- 1 WM “ml .1.—Ta. .mmarhmm574:u=3"t ((4.040 v am: I“ - . a m ._l_. moot»- ._L. ' .L.. «an»; «an: Tex-4am I “H- Figure 9. - Sources of Less-carlot Shipments, 1936-37 .srtuin O 51 . A N min I uam’u - Ann I 1 Into; x . ._ .— 0“ “new I'M as out 4! MAC ' '00 0 O m - IAfllllitA IhfiDLAND I . - Iwmr . NWT suawTaufiriuwzzj. . rra‘ . n r . Orv-'4»: I l :17 - uh I urn-Eco ,l Ali-mu I 3v I . _ - anal; cum any“!!! I I _,l __J__l 4'» figs W -.,-..Tr.-..J..—..la—i~.- -!7.L:.7— Isa... 200 Bags W ”pr 1 Fun—wt ' _L “Tim“ .mk‘ —Is't'.nuu :' —~ 'rIJxFu'u’IH'm! ._J__..J_.J_. —L._'L-_.-' Figure 10. - Sources of Less-carlot Shipments, 1937-88 26. bean producing area. There were very few less-carlot shipments in the 1936 and 1937 seasons since members of the trade who formerly used the l.c,l. method of sale are now employing trucks for such shipments. Summary of CarlotL TruCk and L.C.L. Shipments. Carlot shipments originate over the entire bean producing region, the concentration in certain areas depending upon the size and quality of the crop. Truck ship- ments originate largely in the border counties of the been producing area but with a tendency to gradually extend over the whole region. Less-carlot shipments are becoming a thing of the past as truck transportation has practically replaced this type of shipment. Seasonal Distribution of Shipments from_Terminal Plant and Local Elevators Total Shipments from Terminal Plant and Local Elevators. The graph at the top of the page in.Figure 11 (Table 4,.Appendix)1. indicates the seasonal distribution of the total shipments of beans from the terminal plant and the local elevators for the seasons of 1932, 1936 and 1937. In each of the three selected crop years the heaviest movement occurred during the first three months of the season. The monthly movement becomes more regular though smaller during the remainder of the crop year. The poor quality 1936 crop necessitated the processing of a large proportion of Michigan beans and resulted in a more irregular monthly movement. The chart below the graph in Figure 11 shows the comparative distri- bution of total shipments from the terminal plant and from the local elevators. The proportion of shipments from the terminal plant and local elevators varies from year to year. During the 1932 crop year nearly 1. To avoid a cumbersome presentation of data a number of tables are Placed in the Appendix rather than in the body of the text. V flirts "‘ ..::-_ i1 / .. JJT‘JIII it"? > u r ,, f mnemafl i .. ll u“! H... 3.7.I..;..... eeflnuwpw Pu. .L'MVJ. .rrudflxd I: 'Jh. thealxfl oIHEU 4-5.1.5....11l Haida.“ qua—[.1 ‘ 4 w. Jar :m .- M m a c m a H. . M W Harm m “E J a - w. t. 4 .m. ~ _ . . . _ ~ In» H45 0 . .. . . - .. r. . s .m .4 t m u q E 0 ml .4 h. m. E 4 m m .p. Q ma 0 me. a H. h. E «_w E m h. Q 2 o m. _ . . m * _ _ . 0H . M nhOwdb 9H3 H600...“ Humvdwofiu HdfiGH aopdbmfiu H3004 ON a . .a 5. c \‘2 a m .1/ Gang 4 3 _ on _ U. . _ // 1. i... . a x/ \a . . \v. 0s 0 r a m . . _ . / L a a a a. J a. . a _ a has 1 .. . . K. W. \Jlr a . ail; _ . . . #\\, Ommw a a . . . . r . h Em“. . A! - ‘ - _ ~ _ M” J3 ,, Eilfsfifi . . _ _ _ _ . A .r . . V a t _ . . . . . . . _ . _ . . _ w . i \Zx..\\~ i 7 m . . . . _ . _ . . . . i . . . _ _ _ . _JJ. . . _ _ . Z on .u _ .. . ril‘ _ . . _ . _ _ _ . . _ _ . . . . . _ . . . om.4 Quad“: Anathema . . . . «mama .Hnmfifi ma " _ _ _ “puma 358.» me _ _ s . . a _ _ . . . . . . a u . . . _ . H _ . . _ . — _ . — . . H . ‘ _ . _ . . . . - u . . — om J ..........;Wn..1..¢m&fl.r .48.»... .r —I .1 .38th a — — — .. 41...”:pr .IumrrirvaHVH—LHBML . L _ . _ p P . ~ ~ com 333on Have; 595 use #233 assesses Scam 3:2.me aspen. mo modemflunm E mmapemuaem 35.83 as 33.3800 .m J /\/ \/ a iii/f. /\ a, /\/\ x... / \\ _ \/\/\/ \ ,/.\\. , \ 0H // .w magma Manages «consow n Aa-.-‘-.-‘i-— Md .. a .. oflmwmmu no.“ mucosmzm deuce mo 993.3 «ppm .3 emspaoouom 53302 .« unmm .- eqmemdtus £11891 30 925193 ‘85 HM masfiwm three-fourths of the total shipments were from the local elevators and only one-fourth from the terminal plant. As the average pick for this year was only 3.5 per cent it would be expected that a larger proportion of the beans could be shipped from the local elevators since less processing would be necessary. In 1986-37 the proportion of beans shipped from the terminal plant was 52 per cent while that shipped direct to the trade from the local elevators amounted to 48 per cent. Wet weather conditions at harvest time which resulted in a 10 per cent average pick that year necessitated the processing of a larger proportion of the crop. The 1937-38 crop was of high quality with an average pick of three per cent, and consequently nearly 62 per cent moved direct to the trade from the local elevators. Total Shipments to Canning Trade from Terminal and Local Elevators. The seasonal distribution of total shipments of beans to the canning trade for the three selected crop years is shown in the graph in Figure 12 (Table 5, Appendix). The monthly movement to canners in 1938-33 was heaviest during the last few months of the crop year, quite irregular throughout the 1936-37 season and very heavy during the first few months of the 1937—88 crop year. In each.of the three years the canners secured their heaviest shipments during different periods of the marketing season. Most canners follow the policy of concentrating their purchases of beans when they consider the price most favorable. Their freedom in this respect is enhanced, as the storing qualities of the pea bean permit the canning of this product during the "off season” for fruits and vegetables. The chart in.Figure 12 shows the comparative importance of terminal plant and local elevator shipments to the canning trade for the three selected years. The canners secured 23 per cent of their beans from the o 413...... ha 29. I‘I .‘lg‘ll'l Q Hu‘ 0 min \ ' .1 V w .1 Evil . .. ., .4. N. .... . ... ah. ._. _ _ . l . OJ : \ I if...) G. 3%,.» . , . . TI. . s M _ _m l.. u., ax] , . _ ., , J . _ u l .. a C. _ l _ r q . ._ t m M — ml m a . . l _ ’ . ..... i l , _ / a m m l . a _ _ “if" c . d _ . \x I} m m . . . . - y ._..,-,...,i .T.1-n.\l.ir -14; .7 m w l l . l l l l l/ a. .\ J. M \ . . r! \u . m . _ M M M m / M /. .0. m1 f m »\ _ //M\ .w ‘ M _ M M /. (I, _/ . .. a _ ..\\ ., M . m a M _. . _ _ t II»! all . _ . 1. _ _ . .. _ l _ T l LAIILI . . l _ _ _ . m .. l l _ _ l _ _ . . M _ _ / _ _ M. . n m . .. . _ _ . _ _ a _ l . _ _ . l . _ _ m _ . _ l : M _. y _ _ _ _ m m _ m . l u _ _ l l _ m, _ _ _ . _ l ..1. we. a...» on. . l _ m m . _ JANE ...,.......m....:..m9_ _ _ w _ _ _pnflm is“? .. :auetieliittilll. ..,......It.i. m miniairasiizcw - _e _. a: .m .. .. M. _ _ _ . . meaning“... #3on Comm 3...: mafia: .mm-e.m.&.39 Eek.“ my 053.0 3. m...fi....:.....En as“... m. ....h......\..em...ofl.§..§wAn 9.335294. mango: opapeLaQEOQ .m \ l - at i- -1 3 1m ,4. In \ , .. / \ s I.) “V .\; W M / \ / . . I... ”v \. «I It I. \ .. ., »r\ f. x xx, x x a i- - a - a .2. l . 4 _. ._ _ -..—.‘-C—.a a... .--.-- ..~ —. n‘_— __-. \II F0 .1 H... C nu h 11n- rh.‘ .11.!» 14“ i.‘.‘ A n... _ J z m m m M o. W p a M. m . m m w Rum . v. .u r. I .\. rt ,ngru‘QQ". pl LII. PIE ln’..01$I r» \V I .~|.( ”I. I ’ .IxE' ‘ _ IJ|M h . . . u .7 .. s - .. , .. s, 3 . a v a. . M ., - ... , _.. at. C. n w , . _ . .. . _ . a u M . _ n m w. __ v H _ m r _ l . u _ _ _ _ _ _ . .M . . , _ . to . .‘J IL- ! it! I w. . . m so were .. .. News.» _ . . . M M . r '4: q .- _ . n u . . a. . i _ V M a m . 5,! i A .f..4'0 n; '7 g. o p I ‘L .3 “4‘ *- .l Iée‘n”. sail“. IlliPcl|ltfi )‘ a? 9 .l , . r. . \. r . V,» IM- .( s\.n. . _ am a .F .u w; _ a m . V . . l _ _ . ., m n... e as». u. a} .. - c! 5.... _ amp‘ -—m .-. m n _ _ .# .w / //\x/ 1|» / r ova; «a. u :59 7.an o l... / x I! .. ._ f... . .m gamma Nausea“? ”monsom \/ < . 33943.? 1".on mo «Howdamnwwuwufla defiBoaom hangs ..... :a .. o .. magisfia S. . 3 I?) If 1“ '0 "Tu- L l ‘._. e a. Eli.‘ . ‘}Lil'l» r ‘5?“ v .u I tt.l 1| terminal plant during the season of 1932 compared with 49 per cent in 1936 and 32 per cent in 1937. Thus with a poor quality crop, as in 1936-37, the canners demand a more uniform quality of processed.beans. With the better quality crop in 1937 the canners again secured a larger proportion of their beans direct from the local elevators, but over the six year period there appears to be an upward trend in purchases of processed beans from the terminal elevator by the canning trade. Total Shipments to Dry Beantgpade from Terminal Plant and Local Elevators. The graph in Figure 13 (Table 6, Appendix) shows the seasonal distribution of total shipments to the dry bean trade for the seasons of 1932, 1936 and 1937. In each of the three crop years the heaviest movement to the dry bean trade occurred during the early months of the season with a relatively light movement during the remainder of the crop year. Despite the poor quality crop in 1936 the dry been trade secured the bulk of their shipments during the early part of the crop yea . As the demand for beans by the canning trade is relatively inelastic, Michigan bean jobbers tend to push sales to the dry bean trade during the fall months which is the period of heavy deliveries to the local elevators. The comparative monthly movement from the terminal plant and from the local elevators to the dry bean trade for the three years is shown in Figure 18. ing' he crop year of 1932-33 approximately 30 per cent of the shipments to the dry bean trade were from the terminal plant compared with nearly 60 per cent in 1936-37. The dry bean trade demanded more terminal plant shipments in 1936-37 to secure a more uniform quality product. The high quality crop of 1937-58 resulted in the dry bean trade securing nearly 60 per cent of their beans direct from the local elevators. Thus the relative importance of the terminal plant and local elevator 51. )....u s)». a «5.... x: . -i - ".l .L!.l L. 2.,an It litur .M ”, 74-4.1? $4--..,,.M:,..,-,l,,-,...,-i_$1,! . .. , . _ _ . . _ 1..--.3], p. H.” a .5 MM h. Q m o 3 4 m .w h m H o J 4 H H E .42 .m M. Q m o m M i M M . _ M M M M M . . _ .. M _ M M M M . . . .M _ . . :, M McM maomgeiMnn 4.83 . showereflm deco- _ M unaware? H33 M : _ _ _ M n _l M M _ . a M M . _ J. M M . M M r M _ M l M m M M M M M, M M . M. M M M _/> M >_ _. m M 1 _ . _ _ M M A - . . MM M M M\ M M M /\ M _ M . M. l _ _ . . _ _, 111/ M \ / M _ M . _ a — , M I/JM/f‘. _ _ _ // M _ M M l _ . . . . M .. _ M M u I!) h M _ . _ . . _ _ _ , _ . . _ _ . \_ . M M _ M l _ M M _ _ _ _ _ _ a . _ . _ .. _ _ . _ ,M _ . M _ M M _ . M M. . M . . _ _ _ m . p.32 adage M . E33 Santos _ . . . p52. Sashes _ , _ _ . _ M _ _ M l l l a . M _ l _ _ _ _ _ _ _ _ . _ _ _ . . __ M _ _ .t ........ _ a M _ _ M _ . _ M . _ . M _. M M . 33393 H33 nos.“ 25 pang defiance sou.“ oedue .89” , bug o» answer an 389 Mo confinflpmwa 0333an 358: cleavages .m .. .///.\\ /\ /\/ M. . . . .\ /<> - \ / . _. 1, MM /\ MM .m Spas , 898nm . < MM owns? m be 3 upsoafinn H309 mo soapsefiung omeaawouom 55:3... .4 ~13“! \ :...-wé-,.-:ll-li:lm.. S - M . 3.. mafia o 3 Ju 8 m. . a on m. m. 3 a ,o. m. cm. a. m co m. Tr d 2. m. m. 3 cm om o3 .d 9 J m o m 0 To . 1.. 3 m n. m. Tr a .m m A... O» shipments to the dry bean trade varies with the quality of the crop. _Qarlot Shipments from Terminal Plant and_Local Elevators. The graph in Figure 14 (Table 7, Appendix) indicates the seasonal distribution of car- lot shipments from the terminal plant and from the local elevators for the seasons of 1932, 1936 and 1987. In the crop years of 1933-37 and 1937-38 the heaviest monthly movement occurred during the fall with a less variable movement during the remainder of the year. During the 1936-37 crop year the monthly carlot movement was quite irregular throughout the season, although the heavier shipments were made during the first half of the year. The chart in.Figure 14 shows the comparative distribution of carlot shipments from the terminal plant and from the local elevators for the three selected crop years. Approximately 29 per cent of the total carlot shipments were from the terminal plant in 1932-33 compared with 53 per cent in 1936-37. The larger proportion of carlot shipments from the terminal elevator in 1936-37 was largely due to the poor quality crop with a resulting demand for a greater proportion of processed beans. Approximately two-fifths of the carlot shipments were from the terminal plant in 1937-38. There is an upward trend in the proportion of carlot shipments from the terminal plant. _Truck Shipments from Terminal Plant and Local Elevators. The seasonal distribution of truCk shipments for the seasons of 1932. 1936 and 1937 is shown by the graph in Figure 15 (Table 8, Appendix). As indicated by the graph the seasonal movement of truck shipments was very irregular during each of the three years. Regardless of the quality or the size of the crop, truck shipments of beans move to market intermittently during the crop year. II it . a M u a s . _ _ u h M Ma «M m 5 Q 2 o M M _ _ _ _ muovm>oam Hmoon M M arr M 3.: _. M «V. . t. . I . . . _ .//.\ _ M . _ M . _ ._ . - _ — ll. _ _ . _ _ _ . _ _ . . _ . _ _ . _ _ . M _ _ _ . M . _ _ _ M . _ . M u _ M M _ _pmmfim.dmmdchoe M . M . M — M _ M M . M M M — , _ a. . . _ . . l . _ ws0p6>oam Hmoog mesh was pccHA Hdcfinsee Eoum mumomaanm »0tho mo modefifinuwwn mfldpfioohom hfigpco: mbapmhfibuoo Bufimnmfi naimnma M M M a . . . _ . _ M _ . _ . _ . . . . 4 h. 6 dm M Mn 4 W w B O % w h H 4M 4 E 3 % Q bu O m _ . M whoaflpoam Hmoog mnoumbbflm Hmoon M — _ . . . M . . MIMM M M « w\\H/K . MTI£\ M M . _ _ Mil. _ . _ _ _ . _ H .// M . _ . M . . M . . _ . . _ _ M . . . M / IIJ _ M _ H M . . . M . n V/ \\/! \‘Ji\J/ . _ _ _ _ . . . _ M . _ /u\1\ _ /(\M . .1/ _ _ _ . . _ . _ . . . . . _ . . M r\\ _ _ M u u _ _ . . M . . M . . M . . _ . M _ . _ c . . . M M .. 0.:de dosing _ . M . . _ p55 magma M M . _ M . . . M . _ . . . . w M . . . . . . _ . _ . . . . _ . _ M _ . M . _ . . M u . ~ _ _ . . M M M .m / x . /\/\ M _ \ .. /\\/\/\l/.I,/ I / drom . / .4, s. OH m a.“ ;, .HH OHPCH Kinda 1 "00.590“ 3 C. l .II‘i‘ .f‘WHmI 19.: .431 _....||||. t... 2. .4. .— .:.. Ht..d4l.?1.nu‘...‘. .anLFr .1...v~a.fl.l.w.‘flr\ntald‘1uws|ufi‘ ‘ {II ||I1 3H .nMW , tn a\ I! 7 ' I I 11 ‘ I \ 1 I ll ‘1 |l 7 II. III I I 7 until lllllllll {III I -1.].5.‘ «I .. \n. . l. l I 1" I 1 ._ L 7 l |\ “(IL‘II ' I . WYNUOHH mm . f... -mtéhllnx Artful. 33452.5“: arc... turn lat-3.14 .s at... ungaidmfld4.11.4.3.13....24‘11391J1u111d1... “Slag. , pad \JIIV : in: .. w . . l . . . . a a n w . a . _ . . h . a . a . . s . _ . l a . a “_o w.- u . ‘ t . ... C a} 41%.! .. . II n t u . u I a... c J . .v .Q - v . w a» w“ 4 am a h w a o m. .u H h “a ,w w“ h a. a. b o an "m H ht an a h» m .n nH a 0 mm “ _ 0 w l , Q . C A m.m"m' —--v —--u'_‘ .~—_ ‘\1‘ 03‘ u '1. .unwmw‘m'xllx Twat f"! v: , Hflem t.” 1’" J‘af. L’s diet". .0- Il‘. xii-u!“ u-r - R." .--—— duntulau.—- W -.~~ovv—o\0- '0‘ w. a ‘4". ‘ . \i 213mm; 21‘th E'BIITJIIR mwmmrx-m-;i ' a 1A .317} R . 5.? a..- -_ G. » V... _ aid?” .- h J N‘? F P .. ~ "If .~\ 0 - I“. NV ff.) _ a . .32. _ . a: a. .. 17.1.thxa'znrmrztmmnmzvnmm VII.-oo-~. o 0-” . A .- - ..‘...-' .1' a! “mm-mu!" an“: _ - (A) m . _. m _ ”0595 Jkia m , .. . i w m n u . . . .n-utfuxu ‘ . . (at _ ml. . .9. \ . _ . .7} t. .11: . - in _ \ 14.. ix} . _ . . . a a . . n .l._ Tndxflhauzxi . .. 71...? {4.77.11.va a \AVH t HT: Jr}?! nut .. . v -..r.e--..-d 2‘4. . i L .n . Anathlfifial... 3.154“. 4‘ “this. i. Wfiuhnrrnnlfidzhrfléahnfionc 3., ‘ .. M... u lufigfiugttk . .:1..J.H.o o 00“: 3.: {1E L.rc.nrHB .. .. gaeenCazm Hana use haste we ecaaspaaammq emeueeoeem manage: m>aaeaeaaoo .m ‘4’.‘ . . I! ’“V’ q‘ 9 A? 5‘) K. J...” m .«\.. r uttsx‘ ///a\ ,w [/1 k? i . .. /\ i.:. I... c .. r l:\ .// \ . . J. a .Hfi oapma Nwemmhkq ”ecaSom 4w :9" ““) k u. ‘ " $.53“ ‘ " ‘ mung“ us .., Eu}- 5. .,;mmww:. J .-;.,. t. a. . . a m+rxc§w£v chm ms... $259. a....:.tn.4 «Ho sogfipfiaumfim mermpcooarm .mdmuccz :q a. LA 0.?H’ . L .— an l : 43V r .H «5‘ 0‘ J V I w D¢u~qof '.‘l-. O 1. the Exchange alone. The seasonal distribution of truck shipments is very irregular throughe out the entire year, whereas the monthly movement of rail shipments is heavy during the fall and lighter and somewhat less variable during the remainder of the year. The comparative prOportion of truCk shipments to canners and the dry bean trade varies more widely from month to month than is true of rail shipments. Table 12 shows the proportion of the total rail and total truck shipments to the canning and dry bean trade for the three selected crop years. Table 12. - Proportions of Total Rail and Total Truck Shipments to Canners and Dry Bean Trade, 1932-33, 1936-37 and 1937-38. : A1932-33 : 1936-37 : 1937-38 : Per Cent Taken by : Per Cent Taken by, : Per Cent_Taken by Class of : : Dry Bean : : Dry Bean : : Dry Bean ,_§hipment : Canners : Trade : Canners : Trade : Canners : Trade Rail 33.3 66.7 54.5 45.5 37.7 62.3 Truck 32.7 57. .3 29. 9 7o. 1 52. 4 47. 6 1. The following table shows the volume of the total crop movement as estimated by the M.B.S.A. moved by truck and less-carlot and by carlot for 1932-33 to 1937-38. Crop Truck Per Cent Per Cent Total Crop Years and L C L of Total Carlot of Total Movement; (bags; (bags; (bags) 1932-33 498,743 11.8 3,717, 560 88.2 4,216,303 1933-34 475,568 16.4 2,427, 279 83.6 2,902,847 1934-35 615,493 18.0 2,809,099 82.0 3,424,592 1935-36 711,101 17.1 3,440, 995 82.9 4,152,096 1936-37 421,901 19.2 1,770, 713 80.8 2,192,614 1937-38 833,058 25.1 2, 482, 514 74.9 3,315,572 This table clearly indicates the steadily increasing trend in truck shipments with a corresponding decrease in the proportion of the crop moving as carlot shipments. 'IJq 51. It appears from Table 12 that during the season of 1932-33 the canners received approximately equal proportionsof both the rail and truCk ship- ments (33 per cent) and the dry bean trade similarly received equal pro- portions of each type of shipment (67 per cent). In the poor quality season 1936-37 with a 10 per cent pick the canners received 54 per cent of the rail shipments but only 30 per cent of those by truck. The relatively inelastic demand for navy beans by canneries as compared to the dry bean v trade resulted in a.high proportion of the carlot shipments of the small crop of 1936 being taken.by the canning trade. Only 30 per cent of the truck shipments were taken by the canners as they are reluctant to purchase beans of variable quality and high moisture content. The dry bean trade on the other hand has small and widely scattered storage facilities and thus purchases a smaller proportion of the carlot shipments and a larger pro- portion of the truck lots. With the larger and higher quality crop of 1937-38 the canning trade secured 52 per cent of the truCk shipments and only 38 per cent of the rail shipments. The dry bean trade received the greater proportion of carlot shipments largely due to the greater production and because the higher quality and low moisture content assured little diffi- culty in storage. It appears that the proportions of both truck and rail shipments taken by either the canning or dry bean1:rade will tend to vary directly with the size of the crop. Destinations and Declining_Importance of Eggs-carlot Shipments. The destinations of all l.c.1. shipments for the three selectedczrop years are shown in Figures 25, 26 and 27. .A relatively large number of l.c.1. shiph ments were made in 1932-33 and were largely distributed in the eastern and mid-western states. Very few l.c.1. shipments were made in 1936-37 and I Canada Tenn L51 BB 0 Ala ° Ark. Lao . -'- 200 Bags "-~ Fla. / if E North Dakota _ I ‘2 South Dakota [ I Hebraeka L_____| Kansas I I Oklahoma I I Texas 1figure 25. - Destinations of Less-carlot Shipments, 1932-3:3 :1 1:1 Canada Nerth Dakota South Dakota Debraska Kansas Oklahoma Texas Figure 26. - Destinations of Less-carlot Shipments, 1936-3'7 L Canada [:::::::] North Dakota I I South Dakota I I Hebraska I I Kansas 1:1 Oklahoma l ' Texas Figure 27. - Destination: of Less-carlot Shipments, 1937-38 54. 55. 1937-38, as this method of transportation has been largely replaced by the trucks. The graph in.Figure 28 (Table 13, Appendix) shows the monthly distribution of trudk and l.c.1. shipments to be very irregular during each of the three selected years. The comparative monthly distribution of l.c.1. shipments and truck shipments is shown.by the chart in Figure 28 for the crop years of 1932, 1936 and 1937. This chart reveals the rapid disappearance of l.c.1. ship- ments in contrast to the increasing importance of truck shipments of Michigan beans. 0f the total truck and less-carlot shipments, approximately 31 per cent in 1932-33, nine per cent in 1936-37 and three per cent in 1937-38 were l.c.1. shipments. 56. h > \ .1./\”/ a) =. bwimnm...“ nnlmmma ..__:_..., ...._..:_ dflhhnao.m :hhz4flhhnho has ”noun—Ha— /./z... thrv . L III _ p . \\. ./ ngnsl \. . .II. . flux . . n . . ... .mbdm...m. ..... ._.. -.. ... afloawgw uoahsolmmma and Mega mo moafipflfia> 332393» 5238:... 05383500 .n >7D;/l \. /\/\ :5 .nH oHpoa Nag-K .oohaom 3832a “biasing as has; no 8332339 $3583 .2555 .4 83g I'm. 57. MARKET QUAIJTY TRENDS AS DETERMINED BY GRADES AND INSPECTIONS The market quality of Michigan beans is measured in this study by two indices; namely, the proportion of the crop movement inspected by the Michigan Bean Shippers Association and the distribution by grades of these inspected shipments. Although the proportion of the crop movement inspected is not a direct index of the quality of the product marketed, it serves as an indication of an effort to improve the marketability of a particular season's crop. Following the presentation of Michigan bean grades and a description of the inspection service, the relationship of the number of annual inspections to size of crops and the inspections by districts is discussed. The most accurate index of the market quality of Michigan beans is to be found in the percentage distribution by grades of inspected shipments. Although these data were available for only 1936 and 1937 the percentage grade distribution of inspected shipments is presented in relation to method of transportation and by district of origin. _Mighigan Bean Gradeg. The grades for Michigan beans used by the M.B.S.A. and later established as official state grades by the Commissioner of Agriculture are:' Michigan Choice Hand Picked,§ayyf§g§p§ must be good average color of crop year, sound, dry, well screened, and well hand picked, and must not contain more than one and one-half per cent of large or medium beans, trace of foreign material not to exceed 1/100 of 1% allowed. '“An Order to Provide for Standard Michigan Grades for Dry Edible Beans." Michigan State Department of Agriculture, September 1, 1938. ‘0. 58. Michigan Prime Hand Picked Navy Bean; must be fairly good average color of crop year, sound, dry, well screened and well hand picked, and must not contain more than three per cent of discolored ans split beans, and not more than seven per cent of large or medium beans; trace of foreign material not to exceed 1/100 of 1% allowed. gulchigag Choice Recleaggglfigxyg§g§g§ must be good average color of crop year, sound, dry, well screened and must not contain more than a total of two per cent of discolored or split beans and foreign substance. and not more than seven per cent of large or medium beans. Michigan 3am Sgreened m _B;_e__a__n_§ must be of fair average color, sound, dry, well screened and must not contain more than three per cent of discolored beans, splits, or foreign substance, and not more than ten per cent of large or medium beans. Michiggg Pidking,§tocg Bean; to be of no established grade, with regulations limiting the movement of piCking stock between plants within the state. These above grades have long been used by the Michigan Bean Shippers Association but not until September, 1938, was the use of these grades made compulsory by the State Department of Agriculture. Ingpgctign Service. Records of inspections by the Michigan Bean I Shippers.Association were used in this study as the basis for determining the quality'of’Nfichigan beans. Although the Federal government had main- tained a voluntary bean inspection program in Michigan in recent years, its operations were limited to the districts of Grand Rapids and Port Huron where they had cooperative agreements with the Chambers of Commerce. 59. As the Association has maintained inspectors in the entire bean producing area, they have been largely responsible for the inspection of Michigan beans. The records of the Association were, therefore, considered adequate for determining the quality of Michigan bean shipments. The M.B.S.A. in cooperation with the state employs several inspectors who secure repre- sentative samples of bean shipments, determine the grade of each lot and issue inspection certificates for use by the trade. Records of the total number of annual inspections since 1932 were secured but grades of the inspections were available for only 1936 and 1987. The M.B.S.A. is a trade association with.the voting powers of its members distributed by districts which are weighted according to the number of elevators located within each area. These districts are shown in Figure 29. The inspections are neither made nor reported strictly on a district basis, as it is often more convenient for an inspector to Operate in the area near his residence. Two or three inspectors may Operate cooperatively in their respective districts. To secure uniformity and comparability, however, this study of quality is made on the district basis. 'figlationship of Ingpections to Size of Crop. An analysis of the inspection records from 1932 to 1937 indicates that an increasing proportion of the crop movement is being inspected, as shown in Figure 30 (Table 14, Appendix). Although the crops moved during the last five years were smaller than in 1932-33, the proportion inspected has increased. An extraordinarily large proportion of the crop movement in 1936-37 was inspected because of the very poor quality which always encourages an increased use of the inspection service by both shippers and buyers. Inspections p1 Digtricts. The proportion of the crop movement from each district inspected annually by the M.B.S.A. inspection service from .55.... 1| .r ]/~6MU law I u . ' ' - . _ ' “I?” 'lwuarrbuw Rout r .I . . . n 1 F435" Inland-Av Tynan ' luau-4r 1.13m": ma: . ' I Figure 29. - Districts of Michigan Bean Shippers Association 60. 61. e:ea amdfl waam mama «(Cr a a a a M. r M... a uucschoz menu a . uncapoommnH \ \ I a. . I f I ,U I x I consumed. 996 .HO 9.3m 0a \ aeefiuaaada co 039a seed .3. _... ltT/ J. ts. . a + \ . m / .1 + .3“ 0.239 chucad "condom . “l. /x\ 88 n ”mamas 3 x Ema 0» mama .anoEchoE moan Hanna «0 exam 3 m dfiaucfloomm< mucaEEw doom 5%.“:an hp mnowpoommmH anHscM Haven. .«0 Rquoafifiwm om om o¢ on on." 0.3” can ouu cmtdmmmaa 3a. 62. 1932 to 1937 is presented in Figure 31 (Tables 15, 16 and 17, Appendix). In every district except No. V. an increasing proportion of the shipments are being inspected. As members of the trade recognize the value of the inspection service in improving the market quality of Michigan beans such an increase would be expected in each district. A greater proportion of the 1936 crop was inspected than in the 1937-38 season due to the exceed- ingly poor quality in the former year and unusually high quality in the latter. As indicated in Figure 31 there are more beans inspected in District II than originate in that area. Beans from other districts are shipped to the terminal plant at Port Huron for further conditioning or processing and are inspected as they move from this elevator. As there is no method of arriving at the actual amount of “overflow” which originated in other districts and is inspected in District II, the proportion of beans moved from this district that are inspected by the Association cannot be determined. The chart indicates that in 1937 District I also had more beans inspected than moved out of that area, which is probably due to a duplication of inspections, since shipments of picking stock are often inspected more than once as they move from plant to plant within that area. The only district with a declining proportion of its crop movement inspected is District V. As was pointed out in the section entitled “Origin of Shipments and Transportation Methods," District V is the area with the greatest increase of truck shipments of beans. ' As the 14.3.5.1)» has offered warehouse inspection service since May, 1935, it would be expected that an increasing proportion of the truck shipments from this area would be inspected. In 1935-36 this district had 77 per cent of its crop movement inspected compared with 56 per cent and 43 per cent in 1936-37 and 1937-38, ‘5 '5', I.’ 65. ... M _. ”Mu—_ffi,“ 1 35 . flea Hm» gunman H... «Gunman nowaumun 5L .1. 1.38 maowflmfi 5M usfiafimfipo unmatched...“ no.5 Haven. mo ammo 9cm” VH.HH mg: mg: . QAH m.m.n 8.... HHH uoukvm .5 uofiuvw «a ))I« .5 as 3 .3 sedans sadness? ”sense mwnbmma on nwammma dufipmwm he. $8.30,“: 5m caveman»; hHHaEEQ 2955.02 998 :dom mo degaogchm Hm magnum 2.118;) .19.; . .‘B. 64. respectively. Evidently, as the prOportion of the crop movement shipped by truck increases and the proportion shipped by rail decreases, a smaller percentage of the crop is inspected. A higher proportion of truck shipments move out uninspected than of rail shipments. The proportion of the crop movement’inspected in District VI dropped from 97 per cent in 1936—37 to 54 per cent in 1937-38. A great number of truck shipments in 1937 originated in that area; and again, the higher pro- portion of truck shipments moving out uninspected explains this rapid decline. Gradg§;of Total Inspected Shipmentglbz Districts. The grades shown by the total rail and truck inspections in each district for 1936 and 1937 are presented in the lower chart in Figure 82 (Table 18, Appendix). A.much greater proportion of inspected beans in 1937-88 were of C.H.P. grade than in 1936-37. Every district except No. I showed this marked increase in C.H,P. shipments of beans. The poor quality crop in 1936 resulted in a large pr0portion of picking stock and ”other” grades and a smaller pro- portion of C.H.P. grade. With the excellent quality 1937 crop a larger proportion of inspected beans were C.H.P. grade and a smaller proportion of piCking stock and "other“ grades. District I, unlike the other five districts, shipped over eighty per cent of its inspected beans as C.H.P. grade for both years. This district also had an unusually high proportion of its crop movement inspected, as shown in Figure 31. This district shipped a high proportion of its crop as the highest grade regardless of the seasonal condition of the crop which serves as an indication that it is also possible in other districts. _andes of Inspected:gggck Shipments byiDistricts. The upper chart in .Figure 32 (Table 18, Appendix) shows the grades of trucklot inspections by districts for 1936-37 and 1937-38. Approximately 22 per cent of the total lidos of Inspected Truck Shipments by Districts ............... \\\\\\\\\\\\\\\ ......x ...aaa.§\\\\\\§ .............. ....T\\\\\\\\\\\h ...”..H mwn§\ . ..... _a\\\\\\\\\\\\\\\ _ _........H\\\\\\\\\\\\\\\\\ V VI stricts Pi rking _ (as a, 98? .I fix III . \ II III IV V \VI m .'-';-‘: \' \iML‘ \Q \I\ so coed . a as etc ...... .00” chances. use ‘00.... $090“ least-co . 00 cousccou‘oocIOcV coco... coon-0c 9!QQQ~OII!.OUQO\ 0 Grades of Total Inspected Shipments by Di .. - ............ +“mwmmwmwn\x\\x _mam\\\\\\\\\\\\\\\\\\\\ ‘VI 11 :1: Iv v _ v1 1936 C U‘ ..... 5;}:1‘3 L} 1: III IV v v1\ Ex" , . ma no mw MN “w mm “w mw m. MW Ma n. peso em 66. inspections of beans were on truck shipments during the 1937 season compared with 16 per cent during the previous crop year. Every district except No. V showed an increase of truck inspections during the latter year. Approximately 50 per cent of the total inspections in District V were on truck shipments in 1936, which explains in part the fact that 60 per cent of the beans inspected in this area were shipped as "other" grades. During the season of 1937-38 truck inspections of beans in this district amounted to only 15 per cent of the total inspections, although the total truCk shipments increased considerably during the latter year. It is evident that only a small pro- portion of the truck shipments from District V were inspected in 1937. District VI, on the other hand, increased its proportion of truck inspections from approximately 10 per cent in 1936 to over 50 per cent in 1937. Trudk shipments of beans increased considerably during the latter year in this area which effected the greater proportion of trudk inspections. A greater proportion of the truck shipments were of C.H.P. grade in 1937 than in 1936. The inspection records indicate than an appreciably greater proportion of ”other" grades are found in truck shipments than in carlots. Thus it appears that a higher quality product tends to be shipped _by rail and the poorer quality by truck. There is, however, an indication of improvement in the grade of beans shipped by truck, as the proportion of C.H.P. truck shipments was greater in 1937-38 than during the previous season. 67. INTERRELATIONS OF SEASONAL FACTORS, MARKET DISTRIBUTION AND TRANSPORTATION TRENDS Relationship of Inspected_Shipmeg;§;to Method of Transporgatiqp. A comparison of the volume of crop movements and the proportions of the tonnage inspected for rail and truck shipments in 1986-37 and 1937-88 is presented in Table 19, page 68. Approximately 78 per cent of the crop moved in 1936-37 was inspected by the M.B.S.A. inspection service compared with 66 per cent in 1937-38. The decline in the proportion of the crop movement inspected is largely due to the high quality of the 1937 crop, which resulted in a larger pro- portion of uninspected bean shipments. Approximately 87 per cent of the rail shipments were inspected in 1936 compared with 72 per cent in 1937. The proportion of inspected truck shipments increased from 42 per cent in 1936 to 48 per cent in 1937. It is obvious that the inspected proportion of rail shipments is much greater than that of truck shipments. The pro- portion of inspected truck shipments, however, is increasing while that of rail shipments fluctuates with the quality of the crop. The proportion of the total crop moved by truck amounted to 21 per cent in 1936-37 and 24 per cent in 1937-38. Approximately 12 per cent of the total inspections were for truck shipments in 1936-37 compared with 18 per cent in 1937-38. While the percentage of the total crop movement shipped by truck is increasing, the proportion of truck shipments which are inspected is increasing at a more rapid rate. _Relationship of Seasonal Quality ofgCropAto Origingofghean Shipments. Weather conditions during the growing and harvesting season is the most important single factor determining the quality of the Michigan bean crop. 68. Table 19. - Comparison of Crop Movement and Proportions of Crop Inspected for Rail and Truck Shipments, 1936-37 and 1937-38‘ ‘PerSCent of—_ Increase of _ ._ 1936-37 1937-88 1937 ove241936 Crop Movement Rail Shipments (Bags) 1,417,405 2,208,309 55.8 Rail Shipments (Per Cent of Total Crop Moved) 78.8 75.5 Truck Shipments (Bags) 381,576 718,100 88.2 Truck Shipments (Per Cent of Total Crop Moved) 21.2 24.5 Total Crop Movement (Bags) 1,798,981 2,926,409 62.7 Inspected by M.B.S.A. Rail Shipments (Bags) 1,288,500 1,598,500 29.1 Rail Shipments (Per Cent of Total Inspection) 88.4 82.4 , Trudk Shipments (Bags) 161,729 341,782 111.3 Truck Shipments (Per Cent of Total Inspection) 11.6 17.6 Total Inspection (Bags) 1,400,229 1,940,282 88.6 Per Cent of Crop Movement Inspected 77.8 66.3 Ratio of Truck Inspection to Truck Movement 42.4 47.6 Ratio of Rail Inspections to Rail Movement 87.4 72.4 l"Exclusive of September and October, 1936 and July and August, 1937. 69. The marketing procedure is usually more seriously affected under adverse conditions in the border counties of the bean producing area than in the heart of the region. Consequently, with a small and poor quality crop the distribution of the points of origin of bean shipments is somewhat more restricted than during a year of a large and high quality crop. The distri- bution of the points of origin of both carlot and truck shipments was more restricted in 1936-87 compared with the rather wide distribution in 1932-33 and 1937-38. Relationship of Procggging for Market Quality to Volume Handled by Terming;_Plant and Loca1;Elevatqgg. The comparative volume of terminal plant and local elevator shipments is largely dependent upon the quality of the crop produced. .A poor quality crop and a high moisture content such as the 1936 crop, necessitates the processing of a larger proportion of the beans before sale. With a low quality crop a larger proportion of both carlot and truck shipments go through the terminal elevator, and with a high quality crop the proportion shipped direct from the local elevators increases. Consequently, if a superior and more uniform quality of Michigan beans is to be placed on the market, either shipments through the terminal plant will increase or there must be an expansion of the use of facilities for processing beans at the local elevators. Relationship of Seaggnalwgpality to Distribution of TerminalPlant and Local Elevator Shipments between the Gagging_and Dry Bean Trade. The pro- portion of shipments from the local elevators and terminal plant to either the canning or dry bean trade is largely dependent on the quality of the crop. During a poor quality crop year the tonnage going through the terminal plant increases, as both the canning and dry bean trade desire to secure a more uniform quality product. Although both groups of the trade increase their 70. purchases from the terminal elevator in a year of poor quality and high moisture content, a greater proportion of the terminal plant shipments is taken by the dry bean trade. During high quality seasons the greater pro- portion of the terminal plant shipments are to the canning trade. Both groups object to beans of high moisture content, particularly the dry bean trade as they generally leek the adequate storage facilities which the canneries main- tain. A poor quality crop changes the normal crop movement to both the canning and dry bean trade due to the lag between farmer deliveries and deliveries to the consuming trade caused by processing. Relationship of Seasonal Quality of Ceréto Sales Outlet . The quality of the crop considerably affects the sales outlets for Midhigmi beans. ,A high quality crop results in a larger proportion of the beans shipped direct to the consuming trade from the local elevators with a corresponding restricted distribution of terminal plant shipments. The opposite situation arises during years of poor quality crops; namely, contraction of the marketing territory of shipments direct from local elevators. In years of large production, high quality and low moisture content the dry bean trade takes the greater proportion of Michigan beans. During such years there is a considerable expansion in the marketing territory for dry beans, usually west of the Mississippi and in the southwest. With years of small crops, poor quality and high moisture content, the canning trade receives the greater proportion of Michigan bean shipments. During these years there is considerable restriction of the marketing territory, as the canneries are localized at fewer points. 71. SIDMAARY AND CONCLUSIONS Assembling Michigangfieans for Mazket The bulk of the Michigan.bean cr0p has long been transported to market by rail and not until the last few years has an appreciable proportion of the crop moved to market by truck. Naturally, the railroads have been vitally concerned with the advent of the motor truck into the field of transporting beans. The competition of the motor truck was at first limited to the transporting of the smaller lots which had formerly moved as less- carlot shipments. Although trudk shipments are rapidly increasing, the bulk of the crop is still being moved by the railroads. Carlot shipments of beans originate over the entire bean producing area, while truck shipments originate chiefly in the border counties of this region. There is, however, a definite indication that the use of the truck is rapidly increasing and will undoubtedly be used throughout the entire been producing region within the next few years. As the preportion of the crop moving by motor truck increases, the railroads are likely to adopt measures of some type to curb or impede rapid developments of their competitor. Another important trend is that truck shipments are likely to increase as managers of local elevators observe the opportunity to reduce their . economic risks by moving their bean stocks more frequently. The increasing use of motor truck transportation may result in a larger proportion of the crop moving to the consuming trade direct from the local elevators. thus tending to eliminate the functions performed by the jobbing agencies. If a larger proportion of the crop were moved to market direct from the local elevators without the use of Jobber services, the bargaining power of 1“ 72. the growers would be considerably weakened, especially in years of heavy production, as such a development would clearly result in a buyers' market for Michigan beans. Efficient sales organizations, particularly of a cooperative type, such as the Michigan Elevator Exchange, that concentrate the sales volume of individual producers are necessary to maintain the farmers' bargaining power if the ill effects of a buyers' market are to be mitigated. The proportion of the total annual crop movement going through either the terminal elevators or direct to the consuming trade from the local elevators tends to vary with the size, quality and moisture content of the crop. An inferior quality crop needs considerable processing and condition- ing before it is marketable. Since compulsory inspection of been shipments is now enforced by the Michigan State Department of Agriculture it is probable that a greater proportion of the crop will be processed at the terminal elevators than in previous years unless local elevators expand their own facilities for processing in order to maintain or increase their sales direct to the consuming trade. ,Dgstinationsgand Salgg to Cannepggand'the Dry Bean Trade The data in this study indicate that approximately 60 per cent of the Ruchigan production is sold to the dry bean trade and 40 per cent to canners. It appears from this study that the dry bean trade secures the bulk of their shipments during the early part of the crop year, while the canning trade follows no consistent policy as to the period of making their heavy purchases but buy more or less intermittently whenever they consider the price most favorable. For this reason the canners probably exert a 73. stronger influence in affecting the price of beans than the dry bean trade, although the greater proportion of the Michigan production is purchased by the latter group. .As the canners process, pack and sell under their own brands. the per capita consumption of canned beans is dependent largely upon the sales and advertising campaigns of the canning companies. Thus it seems probable that the greatest possibility of increasing the per capita consumption of beans lies in an increased sale of dry beans. Trudk shipments to both the canning and dry bean trade are increasing. Unless an increase in consumption occurs this situation will inevitably result in a decrease of carlot shipments. At the present time efficient truck transportation of Michigan beans seems to be limited to a 400 to 600 mile radius. Over half of the truck shipments during the three years selected for this study were taken by the dry bean trade. Wholesale grocers of dry beans have preferred the truck-lot shipments to enable them to reduce their economic risks by a more frequent turnover of stock. These trudk ship— ments to the dry bean trade have been frequently considered to be of inferior quality, as very few of the truCk shipments were inspected compared to rail shipments. Since the installation of compulsory inspection of Michigan beans, truck shipments should be of higher quality and result in a greater demand for dry beans because the dry bean trade will necessarily receive a higher and more uniform quality product. The variation in the proportion of carlot shipments to the canning and dry bean trade appears to be dependent on the quality and moisture content of the crop. The dry bean trade particularly objects to beans of high moisture content and with such crops the greater proportion of the shipments are to the canneries. It is likely that the canneries will continue to receive in the future a greater proportion of their beans by rail than by 74. truck as their large purchases are more economically transported by rail. Several of the large canneries are also located at distances too far to be easily reached by motor truCk transportation. Future truck shipments to both canners and the dry bean trade will increase only within economical trucking distance. Aguality of Michigan Beang For the last few years there has been a definite upward trend in the proportion of the crop movement inspected before moving to market. In order to make this inspection program more complete the Michigan Bean Shippers Association began offering warehouse inspections of beans in 1935. Although a smaller proportion of truck shipments of beans have been inspected than rail shipments, the proportion of total truck shipments which were inspected has rapidly increased. The offering of warehouse inspections was an indication that the Michigan.bean industry was already recognizing the value of shipping a high quality product by truck. The greatest step to date in this direction was consumated in September, 1958, when the grading and inspection of all Michigan beans for market distribution was made compulsory. With mandatory grading of beans there is little doubt that the higher grade product which is marketed will encourage the consumption of Michigan beans, enable it to compete even more successfully with other varieties of commercial importance, and create a more vigorous, healthful condition of the Michigan bean industry. ma TI: 75. RECOISMENDATI ON S Marketing agencies within the bean industry need to recognize the trend of increasing truck shipments and adjust their marketing policies to conform with this development. The trend in direct truck shipments from local elevators to the cone suming trade is curtailing the bargaining power of the cooperative sales organization. The organization needs to develop new procedures to maintain and strengthen its bargaining power if it is to continue to be of service to bean growers. A combination.of present trucking operations of local elevator associations into a state-wide cooperative trucking service might increase the bargaining power of the cooperatives through at least partial control of transportation costs. Every possible effort toward increasing the sales outlets for Michigan beans should be utilized by the Michigan bean industry. The placing of a more uniform and higher quality product upon the market will materially aid Michigan beans to compete with other beanwvarieties and other food products. Farmers, Jobbing agencies, trade associations and members of the dry bean trade could advantageously promote a continuous cooperative advertising campaign to increase navy bean sales. The market quality of Michigan beans should be raised to the greatest possible extent by increasing the proportion of the Choice Hand Picked grade which moves to market. Approximately only half of the beans marketed during the last two years were of C.H.P. grade. The grade of ..irtzf 76. Michigan Fancy Screened Navy beans is of too inferior quality for commercial purposes and could well be abolished. Local elevator associations lacking adequate processing facilities could improve their financial condition by shipping their beans to terminal plants for sale by the cooperative sales organization. This would materially strengthen the bargaining power of bean growers and local elevators and make a more stabilized industry. APPENDIX Table 4. - Total Bean shipments from Terminal Plant and Local Elevators, 1952-55, 1956-57 and 1957-58 (carlot, truck and less-carlot) 1952-55 1956-57 1957-58 :Terminal Plant :Local Elevators: Total :Tenminal Plant :Local Elevators: ’Total :Tenninal Plant :Local Eflevators: Total :Carlot :Monthly: Carlot :Monthlyxcarlot-iYEarly zGarlot IMonthlyscarlot {Monthlyscarlot : Yearly :Garlot M3Mbnthly35 lot :Monthlyxo arlot : Tharly :Equiva-x Per :Equiva-i Per :Equivae: Per quuiva-: Per squiva-: Per :Equiva-x Per :Equiva-: Per :Equiva-: Per :Equiva-z Per Months: lent : Cent‘ : lent 1 Cent‘ : lent : Cent“ : lent : Cent' : lent : Cent‘ : lent : Gent“ : lent : Cent‘ : lent : Cent* : lent : GentH 25.51 52.1 49.80 67.9 75.51 7.5 58.18 56.5 66.58 65.5 104.56 9.9 57.00 45.2 44.85 54.8 81.85 8.5 60.40 50.7 156.62 69.5 197.02 18.6 60.58 42.9 80.50 57.1 140.88 14.5 54.67 59.4 85.96 60.6 158.65 15.1 Sept- 50.00 21.5 109.76 78.5 159.76 Oct. 57.00 20.4 222.01 79.6 279.01 NOV. 54000 5101 119 o“ 68.9 173 .44 ...: O O 0 Dec. 47.05 50.5 108.18 69.7 155.21 . 72.01 59.8 48.40 40.2 120.41 12.2 59.02 59.6 59.42 60.4 98.44 9.5 Jan. 46,80 29.6 111.29 70.4 158.09 . 52.67 52.5 47.97 47.7 100.64 10.2 49.59 42.9 65.95 57.1 115.54 10.9 Feb. 54.00 25.1 101.66 74.9 155.66 . 72.55 61.7 45.07 58.5 117.62 12.0 58.45 59.8 58.26 60.2 96.71 9.1 “Er. 47.00 50.9 105.17 69.1 152.17 45.41 70.6 18.87 29.4 64.28 6.5 28.61 51.4 62.65 68.6 91.26 8.6 hp . 27.06 24.1 85.10 75.9 112.16 . 55.12 68.4 16.25 51.6 51.57 5.2 25.80 59.0 40.42 61.0 66.22 6.4 May 54.11 25.5 112.12 76.7 146.25 . 56.88 44.6 45.71 55.4 82.59 8.4 22.45 51.9 47.92 68.1 70.55 6.6 June 42.26 54.5 80.54 65.5 122.60 . 25.72 46.4 29.65 55.6 55.57 5.6 55.08 41.8 46.09 58.2 79.17 7.5 57.05 60.5 24.19 59.5 61.22 6.2 15.62 45.9 19.95 56.1 55.55 5.6 July 45.11 34.9 84.12 65.1 129.23 Ans. 35.32 30.1 81.84 69.9 117.16 wimmmmqmmwmu O #Huomkmflmmu"! Total 499.69 1521.05 1820.72 515.90 471.19 985.09 590.25 667.67 1057.90 Yearly Per Cent 27.4 72.6 100.0 52.2 47.8 100.0 36.9 i 63.1 100.0 1 ‘Per cent of total monthly sales. “Per cent of total yearly sales. ‘84 F1 . A! .¥_h .L*_ Table 5. - Total Bean Shipments to Canning Trade from Terminal Plant and Local Elevators, 1932-33, 1936-37 and 1937-38 huhhtmfiafllurmflfl) 8 1952-55 8 1956-37 3 1937-33 :Terminal Plant :Local Elevators: Total :Terminal Plant :Loeal Elevators: ’Total :Terminal Plant :Loeafjibevatore: Total :Garlot :fibnthlyzcarlot :Monthly:Carlot : Yearly searlot :Monthly:Carlot fifionthly:Csrlot :‘Ybarly : arlot :HSnthly:Csrlot :ESntEIy308rlot : ‘Ybarly :Equiva-: Per :Equiva-z Per :Equiva-a Per :Equiva-: Per :Equiva-x Per :Equiva-a Per :Equiva-: Per :Equiva-x Per :Equiva-z Per Months: lent : Cent? 1 lent : Cent‘ : lent : Cent“ : legt : Cent‘ : lent : Cent‘ : lent : Cent“ : lent : Cent‘ : lent : Cent : lent : Cent“ Sept. 6.00 30.5 13.66 69.5 19.66 3.2 9.00 22.4 31.14 77.6 40.14 7.6 19.80 50.6 19.32 49.4 39.12 9.3 Oct. 10.00 24.6 30.65 75.4 40.65 6.6 12.00 32.4 25.00 67.6 37.00 7.0 15.00 21.4 55.16 78.6 70.16 16.7 now. 5.00 12.0 36.74 88.0 41.74 6.8 23.00 33.8 45.00 66.2 68.00 12.9 20.50 ‘35.8 36.80 64.2 57.30 13.6 Dec. 7.00 21.9 25.02 78.1 32.02 5.2 35.00 53.8 30.00 46.2 65.00 12.4 13.02 31.8 27.95 68.2 40.97 9.7 Jan. 8.00 19.5 33.40 80.7 41.40 6.7 23.42 56.5 18.00 43.5 41.42 7.9 16.42 33.8 32.11 66.2 48.53 11.6 Feb. 8.00 24.4 24.73 75.6 32.73 5.3 43.10 57.9 31.40 42.1 74.50 14.2 12.00 29.7 28.47 70.3 40.47 9.6 Mar. 15.00 30.9 33.55 69.1 48.55 7.9 33.00 77.5 9.60 22.5 42.60 8.1 6.00 21.9 21.38 78.1 27.38 6.5 Apr. 9.06 15.5 49.44 84.5 58.50 9.5 10.00 76.9 3.00 23.1 13.00 2.5 10.00 38.6 15.92 61.4 25.92 6.3 May 20.00 19.7 81.29 80.5 101.29 16.4 20.00 50.0 20.00 50.0 40.00 7.6 5.37 19.4 22.29 80.6 27.66 6.6 June 18.00 26.0 51.32 74.0 69.32 11.2 12.00 37.5 20.00 62.5 32.00 6.1 16.42 38.3 26.50 61.7 42.92 10.2 July 17.00 27.0 45.91 73.0 62.91 10.1 26.84 59.9 18.00 40.1 44.84 8.5 Aug. 22.00 31.9 46.90 68.1 68.90 11.1 9.78 36.2 17.26 63.8 27.04 5.2 Total 146.06 472.61 617.67 257.14 268.40 526.54 134.55 235,90 420,43 Yearly Per Cent 23.5 76.6 100.0 48.9 51.1 100.0 32.0 68.0 100.0 ‘Per cent of total monthly sales. “Per cent of total yearly sales. ‘66 Table 6. - Total Bean Shipments to Dry Bean Trade from Terminal Plant and Looal Elevators, 1952-53, 1956-37 and 1957-38 (carlot, truck and lees-carlot) I 1932-55 1957-37 1937-38 :Terminal Plant :Local Elevators: Total :Terminal Plant .Local Elevators: Tbm zifiiminal Plant :Local Elevators: ‘To tal scarlet snsnthly:0arlot :Monthlysdarlot x’Yearly :Carlot :Monthlyzcarlot :Mont til y: Carlot. taYearly :Carlot =Montfilyzcariot benthly: arlot : early quuiva-z Per :Equiva-a Per :Equiva-x Per :Equiva-x Per :Equiv -: Per :quiva-: Per oEquiva-x Per :Equiva-x Per :Equiva-z Per Months: lent : Cent‘ : lent : Cent‘ : lent : Cent*‘ 2 Lent : Cent‘ : lent Cent’ : lent : 0ent" : lent : ant‘ : lggt 3 Cent: : lent : Cent" sept. 24.00 30.0 96.10 70.0 120.10 10.0 14.51 45.7 18.66 56.3 55.17 7.2 18.58 28.1 47.06 71.9 65.44 10.5 Oct. 47.00 19.7 191.36 80.3 238.36 19.8 25.00 55.7 19.85 44.5 44.85 9.8 45.40 35.8 81.46 64.2 126.86 19.9 Nov. 49.00 37.2 82.70 62.8 131.70 10.9 37.38 51.3 55.50 48.7 72.88 15.9 34.17 42.0 7 47.16 58.0 81.33 12.8 Dec. 40.03 32.5 83.06 67.5 125.09 10.3 37.01 66.8 18.40 53.2 55.41 12.1 26.00 45.2 31.47 54.8 57.47 9.0 Jan. 38.80 55.3 77.89 66.7 116.69 9.7 29.25 49.4 29.97 50.6 59.22 12.9 33.17 49.5 55.84 50.5 67.01 10.5 Feb. 26.00 25.5 76.95 74.7 102.93 8.6 29.45 68.3 15.67 31.7 45.12 9.3 26.45 47.0 29.79 53.0 56.24 8.8 Ear. 52.00 30.9 71.62 69.1 103.62 8.6 12.41 57.2 9.27 42.8 21.68 4.7 22.61 55.4 41.27 64.6 65.88 10.0 Apr. 18.00 35.5 35.66 66.5 55.66 4.5 25.12 65.5 15.25 34.5 38.37 8.5 15.80 39.2 24.50 60.8 40.30 6.3 May 14.11 31.4 50.83 68.6 44.94 5.7 16.88 39.6 25.71 60.4 42.59 9.5 17.06 40.0 25.63 60.0 42.69 6.7 June 24.26 45.5 29.12 54.5 53.38 4.4 13.72 68.7 9.65 41.5 23.37 5.1 16.66 46.0 19.59 54.0 36.25 5.7 July 28.11 42.4 38.21 57.6 66.32 5.5 10.19 62.2 6.19 57.8 16.58 3.6 Aug. 13.32 27.6 54.94 72.4 48.26 4.0 5.84 68.6 2.67 51.4 8.51 1.8 Total 354.63 848.42 1205.05 256.76 202.79 459.55 255.70 581.77 637.47 Yearly Per Cent 29.6 70.5 100.0 55.9 44.1 100.0 40.1 59.9 100.0 *Per cent of total monthly sales. “Per cent of total yearly sales. .3 '08 p Table 7. - Carlot Shipments from Terminal Plant and Local Elevators. 1932-33, 1936-57 and 1937-38 3 1932-33 1936-37 1937-38 :Terminal Plant :Local Elevators: Total :Texminal Plant :Local Elevators: Total :Terminal Plant :Local Elevators: Total : Sfionthiy: ifibnthly: 8 Yearly : iflbnthly: :Monthly: : Yearly : :Monthly: sESntEly: iharly : 1 Per : : Per : : Per : : Per : : Per : : Per : : Per : : Per : 3 Per Months: Oars : Qggt' : QEE' : Cent‘ : Oars : Centu : Cars : Cent* : Cars 1 Cent' : Cars : Cent" : Cars : Cent‘ 3 Cars : Cent’ : E253 : Cent“ Sept. 30 23.3 99 76.7 129 7.6 23 32.9 47 67.1 70 7.4 27 32.5 56 67.5 83 9.3 Oct. 57 21.4 209 78.6 266 15.4 37 46.7 44 54.3 81 8.6 60 32.8 123 67.2 185 20.4 Nov. 54 32.1 114 67.9 168 9.7 60 44.4 75 55.6 136 14.3 53 42.1 73 57.9 126 14.0 Dec. 47 51.3 103 68.7 150 8.7 71 60.7 46 39.3 117 12.4 35 44.9 43 55.1 78 8.7 Jan. 44 30.1 102 69.9 146 8.5 52 53.6 45 46.4 97 10.3 46 47.9 50 52.1 96 10.7 Ebb. 34 26.0 97 74.0 131 7.6 70 62.5 42 37.6 112 11.9 37 46.2 43 53.8 80 8.9 Mar. 47 ' 32.6 97 67.4 144 8.3 45 71.4 18 28.6 63 6.7 28 34.6 55 65.4 81 9.0 Apr. 27 26.0 77 74.0 104 6.0 34 68.0 16 32.0 50 6.5 25 43.1 53 56.9 58 6.5 May -34 24.6 104 75.4 138 8.0 35 44.3 44 55.7 79 8.4 21 40.4 31 59.6 52 5.8 June 42 35.9 75 64.1 117 6.8 25 48.0 27 52.0 52 5.5 32 53.4 28 46.6 60 6.7 July 45 37.2 76 62.8 121 7.0 35 60.3 23 39.7 58 6.1 Aug. 35 31.0 78 69.0 113 6.5 11 37.9 18 62.1 29 3.1 Total 496 1231 1727 498 445 943 364 633 897 Yearly . Per Cent 28.7 7105 100.0 52.8 47 02 10000 4006 59 .4 10°00 *Per cent of total monthly sales. "Per cent of total yearly sales. '18 2.. :— “v Table 8. - Truck Shipments from Terminal Plant and Local Elevators, 1932-33, 1956-57 and 1957-38 : 1932-33 5 1936-37 3 1957-38 :Terminal Plant :Local Elevators: Total :Terminal Plant :Local Elevators: Total :Terminal Plant sLocal Elevators: Total 3 : nthlyr"w :Mbnthly: : Yearly : :Monthly: 3Monthly: : Yearly : :Monthly: Monthly: : Ybarly s : hr : : hr : : hr : 3 hr: 3 PM : : Er : : Ru : 1 hr : : hr Months: 3 : Cent‘ : s : Cent‘ : s : Cent“ : Bags : Cent‘ : §E§3 : Gent‘ : Bags : Cent‘* : gags : Cent' 3 Eggs : 09nt‘ : Bags : gentn Sept. 3793 100.0 3793 11.9 210 13.1 1399 86.9 1609 8.4 5230 50.3 5163 49.7 10393 13.5 Oct. 5825 100.0 3825 12.0 388 100.0 388 2.0 200 5.1 6210 96.9 6410 8.2 N07. 1665 100.0 1665 5.2 2734 100.0 2734 14.2 737 12.7 6057 87.3 5794 7.4 Dec. 6 .3 1760 99.7 1756 5.5 395 27.3 1055 72.7 1450 7.5 2010 20.7 7708 79.3 9718 12.5 Jan, 900 19.7 3675 80.3 4575 14.4 211 13.0 1410 87.0 1621 8.4 1725 17.8 7973 82.2 9698 12.4 Ebb. 2020 100.0 2020 6.3 1275 45.5 1526 54.5 2801 14.5 725 8.7 7619 91.3 8344 10.7 Mar. 2223 100.0 2225 7.0 206 32.9 420 67.1 626 3.3 260 5.4 4628 94.6 4788 6.1 Apr. 3505 100.0 3505 11.0 448 81.8 100 18.2 548 2.8 400 9.8 5710 90.2 4110 5.3 May 2849 100.0 2849 9.0 849 52.0 784 48.0 1633 8.5 715 7.8 8459 92.2 9174 11.8 June 600 100.0 600 1.9 361 25.0 1084 75.0 1445 7.5 542 5.7 9045 94.3 9587 12.3 July 5599 100 .0 5599 11 .5 1000 79 .5 360 26.5 1360 7 . 1 Aug. 1421 100 .0 1421 4.5 2290 75 .4 747 24.6 5037 15 .8 Total 906 30925 31851 7245 12007 19252 . 12544 65472 78016 Yearly Per Cent 2.8 97.2 100.0 37.6 62.4 100.0 16.1 83.9 100.0 ’Per cent of total monthly sales. "Per cent of total yearly sales. ‘28 I; t‘ . .1 » ’ . . O 0 A4 . o o o o n a o n u . , h o . v u u c o o a o a a u o o 9 I O c a v I t o o . u . n O O C o | o o n u o I u I O a c O O . o a . o u o . , .. , . a . o u o a o . o o _ . ... .1. .aa. ..n . 4.1.4 Table 9. - Carlot Shipments to Canners and Dry Bean Trade, 1932-33, 1936-37 and 1937-38 3 1932-33 3 1936-37 8 1937-38 : Canners :Dry Bean‘TFade : Total : Canners :ygy Bean Trade 3 Total : Canners :Dry Bean Trade 3 Total : wTfibnthly: :Monthly: : Yearly : 8M0nthly: :MOnthly: : Yearly : :Monthly: iEBhtth: :‘KYearly : : Per 3 8 Per : 3 Per : 8 Per 2 : Per 3 8 Per : 3 Per : 8 Per 3 1 Per Months: Cars 3 Cent‘ 3 Cars : Cent‘ 3 0233 : Centu : Cars 1 Cent‘ 3 Cars : 0ent‘ : Cars : Cent“ 3 Cars 2 Cent‘ : Cars 3 anj‘ 3 Cars : Gent" Sept. 17 13.2 112 86.8 129 7.5 39 55.7 31 44.3 70 7.4 22 26.5 61 73.5 83 9.3 Oct. 37 13.9 229 86.1 266 15.4 37 45.7 44 54.3 81 8.6 66 36.1 117 63.9 183 20.4 Nov. 40 23.8 128 76.2 168 9.7 68 50.4 67 49.6 135 14.3 55 43.7 71 56.3 126 14.0 Dec. 30 20.0 120 80.0 150 8.7 65 55.6 52 44.4 117 12.4 26 33.3 52 66.7 78 8.7 Jan. 39 26.7 107 73.3 146 8.5 41 42.3 56 57.7 97 10.3 40 41.7 56 58.3 96 10.7 Feb. 32 24.4 99 75.6 131 7.6 71 63.4 41 36.6 112 11.9 32 40.0 48 60.0 80 8.9 Mar. 47 32.6 97 67.4 144 8.3 42 66.7 21 33.3 63 6.7 24 29.6 57 70.4 81 9.0 Apr. 54 51.9 50 48.1 104 6.0 13 26.0 37 74.0 50 5.3 23 39.7 35 60.3 58 6.5 May 98 71.0 40 29.0 138 8.0 40 50.6 39 49.4 79 8.4 18 34.6 34 65.4 52 5.8 June 69 59.0 48 41.0 117 6.8 32 61.5 20 38.5 52 5.5 32 53.3 28 46.7 60 6.7 July 61 50.4 60 49.6 121 7.0 44 75.9 14 24.1 58 6.2 Aug. 68 60.2 45 39.8 113 6.5 22 75.9 7 24.1 29 3.0 Total 592 1135 1727 514 429 943 338 559 897 Yearly Per Cent 34.3 65.7 100.0 54.5 45.5 100.0 37.7 62.3 100.0 l'Per cent of total monthly sales. *‘Per cent of total yearly sales. '98 Table 10. - Truck Shipments to Canners and Dry Bean Trade, 1932-33, 1256-37 and 1937-38 3 1952-35 : 1936-37 s m : Canners :Drz Bean Trade a Total : Canners zDry Bean Trade 3 Total : Canners :Dry TBean 7Freda : Total 3 :Monthly: :Monthly: 8 Yearly : =Month1y: :Monthly: : Yearly : :Monthly: :Month1y1-——_———‘_?‘TEE;EF". : 8 Per 3 a Per : a Per 3 8 Per : a Per 3 : Per 3 a Per : 3 Per : : Per Months: BEES : Cent‘ 1 Bags 3 Cent' 1 Bags 3 Cent** : BEES : Cent’ : .EEEP : Cent‘ 1 Bags : Cent“: Bags 1 Cent‘ : BEE” : Gent‘ : Eggs : Cent“ Sept. 1328 35.0 2465 65.0 3793 11.9 570 35.4 1039 64.6 1609 8.4 8198 78.9 2195 21.1 10393 13.3 Oct. 1025 26.8 2800 73.2 3825 12.0 388 100.0 388 2.0 2080 32.4 4330 67.6 6410 8.2 N07. 765 45.9 900 54.1 1665 5.2 2734 100.0 2734 14.2 1150 19.8 4644 80.2 5794 7.4 Dec. 510 29.0 1246 71.0 1756 5.5 1450 100.0 1450 7.5 7483 77.0 2235 23.0 9718 12.5 Jan. 1175 25.7 3400 74.3 4575 14.4 911 56.2 1410 43.8 1621 8.4 4263 44.0 5435 56.0 9698 12.4 Feb. 365 18.1 1655 81.9 2020 6.3 1350 48.2 1051 51.8 2801 14.5 4234 50.7 4110 49.3 8344 10.7 Mar. 488 22.0 1735 78.0 2223 7.0 326 100.0 626 3.3 1692 35.3 3096 64.7 4788 6.1 Apr. 1925 54.9 1580 45.1 3505 11.0 548 100.0 548 2.8 1460 35.5 2650 64.5 4110 5.3 may 1444 50.7 1405 49.3 2849 8.9 1633 100.0 1633 8.5 4829 52.6 4345 47.4 9174 11.8 June 100 16.7 500 83.3 600 2.0 1445 100.0 1445 7.5 5460 56.9 4127 43.1 9587 12.3 July 820 22.8 2779 77.2 3599 11.3 420 30.9 940 69.1 1360 7.1 Aug. 451 31.7 970 68.3 1421 4.5 2520 83.0 517 17.0 3037 15.8 Total 10396 21435 31831 5771 13481 19252 40849 37167 78016 ;::ré:nt 32.7 67.3 100.0 29.9 70.1 100.0 52.4 47.6 100.0 I'13'er cent of total monthly sales. ”x ‘*Per cent of total yearly sales. 1 ‘78 Table 11. - Total Rail and Truck Shipments, 1932-33, 1936-37 and 1937-38 : 19"”2-55 1356im : 19W Truck 3 Tot a1 Rai_ 1 Truck To tal : Hal 1 Truck 7 :0 Carlot ltfifinthlyzc Car lot :Konthly 3 Carl ot : Yearly :Carlot :Monthly: Car lot Monthly: 05. rlot x Yearly :Carlot :Monthly : aarlot :Mont hlyxm :Equi va-z Per . Equiva-l Per :EQuiva-s Per :Equiva- : Per . Equiva- Per :Equiva-: Per :Equlva-t Per :Equ 1711-: Per :Equl va- 3 Per Months, lent Cent‘ lent 8 Cent* : lent : Cent“ : lent 3 Cent’ lent Cent‘ : lent : Cent‘* : lent : Gent' ; lent Cent‘ : lent Cent“ Sept. 132.17 94.6 7.59 5.4 139.76 7.7 70.09 95.6 3.22 4.4 73.31 7.5 83.05 79.4 21.51 20.6 104.56 9.9 Oct. 271.36 97.3 7.65 2.7 279.01 15.3 81.07 99.0 .78 1.0 81.85 8.3 184.20 93.5 12.82 6.5 197.02 18.6 Nov. 169.91 98.0 3.53 2.0 173.44 9.5 135.41 96.0 .47 4.0 140.88 14.3 127.05 91.6 11.58 8.4 138.63 13.1 Dec. 151.70 98.0 3.51 2.0 155.21 8.5 117.51 97.6 2.90 2.4 120.41 12.2 79.00 80.2 19.44 19.8 98.44 9.3 Jan. 147.94 93.6 10.15 6.4 158.09 8.7 97.40 96.8 3.24 3.2 100.64 10.2 96.14 83.2 19.40 16.8 115.54 10.9 Feb. 131.62 97.0 4.04 3.0 135.66 7.5 112.02 95.2 5.60 4.8 117.62 12.0 80.02 82.7 16.69 17.3 96.71 9.1 Mar. 147.71 97.1 4.46 2.9 152.17 8.4 63.03 98.1 1.25 1.9 64.28 6.5 81.69 89.5 9.57 10.5 91.26 8.6 Apr. 105.15 93.7 7.01 6.3 112.16 6.2 50.27 97.9 1.10 2.1 51.37 5.2 58.00 87.6 8.22 12.4 66.22 6.4 May 140.53 96.1 5.70 3.9 146.23 8.0 79.32 96.0 3.27 4.0 82.59 8.4 52.00 73.9 18.35 26.1 70.35 6.6 June 121.40 99.0 1.20 1.0 122.60 6.7 52.48 94.8 2.89 5.2 55.37 5.6 60.00 75.8 19.17 24.2 79.17 7.5 July 121.83 94.3 7.40 5.7 129.23 7.1 58.50 95.6 2.72 4.4 61.22 6.2 Aug. 114.32 97.6 2.84 2.4 117.16 6.4 29.48 82.9 6.07 17.1 35.55 3.6 Total 1755.64 65.08 1820.72 946.58 38.51 985.09 901.15 156.75 1057.90 Yearly Per Cent 96.4 3.6 100.0 96.1 3.9 100.0 85.2 14.8 100.0 ‘Per cent of total monthly sales. **Per cent of total yearly sales. ‘98 'l 4‘— , 7!. ,1 1, 7 4___.-A..fi Table 13. - Total Truck and Less-carlot Shipments, 1932-33, 1936-37 and 1937-38 8 1932-3 : 1936-37 1937-38 3 Truck : L.O.L. : Total 3 Truck 3 L.C:£; Total Truck : L.C.L. : Total 3 1 nt y: 3 nt v: : Yearly : :MOnthly: tMonthly: Yearly :Monthly: 3H5nthly: 8 Yearly : 2 Per : 3 Per ': a Per : Per : Per Per = Per 7 8 Per : : Per Months; 2269 8 Cent‘ 3 Bags : Cent' 8 Bags : Cent“: B s 3 Cent‘ : B s : Cent‘ : B s : Cent'* B s : Cent* 2 B s 3 Cent‘ 3 Ba 9 : Cent‘* Sept. 5793 70.5 1586 29.5 5379 11.7 1609 97.3 45 2.7 1654 7.9 10393 99.7 25 .3 10418 13.0 Oct. 5325 59.7 2580 40.3 6405 13.9 388 91.7 35 8.3 423 2.1 6410 91.5 599 8.5 7109 8.9 Nov. 1665 63.6 952 36.4 2617 5.7 2734 93.0 205 7.0 2939 14 .0 5794 91.7 525 8.3 6219 7.7 Dec. 1755 68.7 799 31.3 2555 5.6 1450 85.1 255 14.9 1705 8.1 9718 95.2 500 4.8 10218 12.8 Jan. 4575 82.5 970 17.5 5545 12.0 1621 89.1 198 10.9 1819 8.6 9698 99.2 70 .8 9768 12.2 Feb. 2020 86.7 310 13.3 2330 5.1 2801 99.7 10 .3 2811 13.4 8344 99.9 10 .1 8354 10.4 Mar. 2223 54.6 1853 45.4 4076 8.8 626 97 .6 15 2.4 641 5.0 4788 95.4 545 6.6 5151 6.4 Apr. 3505 85.9 574 14.1 4079 8.9 548 80.2 155 19 .8 683 5.2 4110 100.0 4110 5.1 May 2849 69.2 1268 30.8 4117 8.9 1633 91.1 160 8.9 1793 8.5 9174 100.0 9174 11.5 June 500 21.4 2202 78.6 2802 6.1 1445 85.8 240 14.2 1685 8.0 9587 100.0 9587 12.0 July 3599 89.7 434 10.3 4033 8.8 1360 84.5 249 15.5 1609 7.6 Aug. 1421 68.3 660 51.7 2081 4.5 5057 92.7 241 7.5 3278 15.6 Total 31831 14188 46019 19252 1788 21040 78016 2072 80088 Yearly Per Cent 69.2 30.8 100.0 91.5 8.5 100.0 97.4 2.6 100.0 *Per cent of total monthly sales. *‘Per cent of total yearly sales. -‘° 98 ... .g_ r.‘ Table 14. - Relationship of Total Yearly Inspections by Michigan Bean Shippers Association to Size of Annual Crop Movement, 1932-1937. Crop : Grog Moved : Total InflectiogL: _Iear : Bag; Lfllfigdefl; : Number : Jude; : Index Ratio 1932-53 4, 216, 205 100.0 4, 652 100.0 100.0 19 (33-34 3, 051, 567 72. 4 3, 341 72. l 99. 6 1934-35 3, 358, 532 79.7 3, 668 79.2 99.4 1935-36 4, 182,096 99. 2 5, 445 117. 6 118. 5 19 36-37 2, 192, 614 52. C 3, 945 85. 2 163. 8 1937-38‘ 2, 926, 449 69. 4 4, 436 95. 8 138. 1 I'Data for July and August, 1938, not available. 88. .mwma .umfiMfid can hdflh no .mmmH .quOpoo dad aopaopmom new mapwafiwhw no: open. 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Table 16. - Total Bags Inspected by Districts, Crop Years 1932-33 to 1937-38* [Qigtricti 1932-33 : 1933-34 : 1934-35 :11935—36 : 1936-37 : 1937-38 : 16:61 1 533,000 366,500 296,500 556,600 343,785 590,277 2,686,662 II 511,000 426,000 600,500 676,141 357,349 462,903 3,033,893 111 406,000 274,500 199,500 306,192 193,183 280,676 ‘1,660,051 17 262,500 145,500 207,000 318,690 201,068 292,132 1,426,890 7 306,500 237,500 231,500 356,254 111,787 139,121 1,382,662 VI 19,500 36,000 90,000 141,493 193,057 175,173 655,223 VII 277, 500 184,500 209,000 671,000 Total 2,316,000 1,670,500 1,834,000 2,355,370 1,400,229 1,940,282 11,516,381 _ *Data not available for September and October, 1936, or July and.August, 1938. '3‘7F717' ._ . u- v “'7‘ ‘9; .- ..-. i'fl.‘ :- Table 17. - Per Cent of Crop Movement Inspected by Michigan Bean Shippers Association, Crop Years 1932-33 to 1937-38 District: 1933-33 : 1933-34 3 1934-35 : 1935-36 2 1936-37 : 1937-38 : Averagg I 63.5 60.1 44.3 66.8 95.9 101.2 72.0 II 102.7 118.3 151.5 137.0 168.3 134.1 135.3 III 67.7 63.3 41.8 51.5 75.5 67.4 61.2 IV 42.2 32.3 41.8 51.7 75.8 67.7 5l.9 V 65.7 70.3 62.3 77.0 56.1 42.9 62.4 VI 4.2 10.6 24.1 30.5 96.6 53.9 36.? VII 38.4 35.3 36.3 36.7 Ieighted Average 54.9 54.7 54.4 68.0 93.9 80.0 ‘fim."-A“- , . ‘ D "UII' III-7| 1.. Table 18. - Grades of Inspected Truck and Rail Shipments, 1936-37 and 1937-38 : 1936-37‘ s : 1937-38" : : C.H.P. a Picking Stock 1 Others : Total ! C.H.P. : Picki Stock 3 Others : Total 3 Carlot : Truck : carlot : Truck : Carlot : Truck I : Per: Carlot : Truck : Cariot : Eruck : Car 0 z ru : 2 Per nstdct :Shipment s : Shipment s 8 Shipment s: Shipments 8 Shipment s : Shipment a: %s 3 Cent IShipment s :Shipment s : Shipmmt s : Shiwe nts : Shipment s :Shipgents : Eggs 3 Cent ---------------------—--- ------ ~Bags ----O -------------- - —————— ---—— I 276,500 5,500 12,000 1,350 46,500 1,935 343,785 24.6 470,750 20,980 35,000 1,350 47,250 14,947 590,277 30.4 II 102,500 8,233 68,000 1,380 166,500 10,736 357,349 25.5 229,500 33,065 77,750 2,912 83,250 36,426 462,903 23.8 III 44,100 9,828 34,545 1,045 87,710 15,955 193,183 13.8 113,680 38,593 23,887 318 83,422 20,776 280,676 14.5 IV 45,900 10,229 35,955 1,087 91,290 16,607 201,068 14.3 118,320 40,169 24,863 332 86,828 21,620 292,132 15.1 V 17,000 16,470’ 7,500 2,315 30,500 38,002 111,787 8.0 60,000 12,511 1,500 475 57,500 7,135 139,121 7.2 VI 44,000 4,950 27,000 2,382 101,000 13,725 193,057 13.8 73,000 48,331 500 200 11,500 41,642 175,173 9.0 Total 530,000 55,210 185,000 9,559 523,500 96,960 1,400,229 100.0 1,065,250 193,649 163,500 5,587 369,750 142,546 1,940,282 100.0 Percentages I 80.4 1.5 5.5 .4 15.5 .6 100.0 79.8 5.6 5.9 .2 8.0 2.5 100.0 11 28.7 2.5 19.0 .4 46.6 5.0 100.0 49.6 7.1 15.8 .6 18.0 7.9 100.0 III 22.8 5.1 17.9 .5 45.4 8.3 100.0 40.5 15.8 8.5 .1 29.7 7.4 100.0 IV 22.8 5.1 17.9 .5 45.4 8.5 100.0 40.5 15.8 8.5 .1 29.7 7.4 100.0 V 15.2 14.7 6.7 2.1 27.3 54.0 100.0 45.1 9.0 1.1 .4 41.3 5.1 100.0 VI 22.8 2.5 14.0 1.2 52.5 7.1 100.0 41.5 27.5 .5 .1 6.6 23.8 100.0 Per Cent 0f Total 37.9 3.9 1502 07 57.4 6.9 10000 5409 10.0 8.4 03 1901 7.3 10000 *Except September and October, 1936. "Except July and August, 1937. j V ‘16 92. SELECTED BI BLIOGRAPHY Gunn, R, V, "Some Economic Aspects of the Bean Situation." Mich. Agr, Ext. Bul. 107. 1930. Hedrick, W, O. “A Decade of Michigan Cooperative Elevators. " Mich. Agr. Exp. Sta. Spec. Bul. 291. 1938. . “Marketing Michigan Beans." Mich. Agr. Exp. Sta. Spec. Bul. 217. 1931. Motts, G. N. "The Production-Consumption Balance of Agricultural Products in Michigan.“ Mich. Agr. Exp. Sta. Bul. 278. 1936. Pond, R. X. "Major Economic Trends in the Dry Edible Bean Industry.” Div. of Marketing and Marketing Agreements, LLA” U. 5.13.4. 1938. Benne, R. R. "The Economics of Bean Production and Marketing in Montana.“ Mont. Agr. Exp. Sta. Bul. 358. 1932. firight, K. T. "The Economics of Bean Production in Michigan.“ Mich. Agr, Exp. Sta. Spec. Bul. 270. 1936. Young, H. N. ”Production and Marketing of Field Beans in New York." New York Agr. Exp. Sta. Bul. 532. 1931. “An Order to Provide for Standard Michigan Grades for Dry Edible Navy Beans.“ Michigan State Department of Agriculture. September, 1938. "Economic Data for Dry Beans, 1922-1938.“ A.A.A., U. S.D.A. October, 1938. “Michigan Crop Report: Annual Crop Summary." Div. of Crop and Livestock Estimates, Bur. of Agr. Econ., U. S.D.A. 1938. ~ United States Census of Agriculture. 1935. , H.212! «7 5.0.5.5314 3,,x\\|u1,|r;\\u|gi\u|u\ “W \I\ III 1“ ‘I‘h All... Wu"