The ranch. [volume] (Seattle, Wash.) 1902-1914, 1904-07-01
THE DAIRY
Butter Prices During May.


One of our subscribers in Sunnyside
writes The Ranch as follows: 81 am
one of number who sell cream to a
local creamery. Said concern agrees
to pay us Seattle market price less 51a
cents for making. Would 20h cents
be a fair price for high class cream
cry butter on the Seattle market for
the month of May? 1t was some
cents better last year."
The query is pertinent and The
Ranch is glad of an opportunity to
make a few statements regarding the
butter market. In Seattle during the
month Of May the price for native
creamery butter on Western Avenue
ranged from 20 to % cents. Previ-
Gus to April % it was % cents and up.
On that date it dropped to % cents
and remained stationary until May IL,
when it dropped to 20 cents. This
price obtained until May %, then
went back to % cents and remained
there until June 20. A decline to 20
cents again took place on June 20 and
at the time Of writing this, June rs,
there is no change The prices quot
ed are those paid by the Western
avenue markets. At the retail stores
the prices have ranged from 81 to rs
cents.
We are not informed as to local con-
ditions affecting the creameries in the
Sunnyside section, but taking the Seat
tie figures as basis, the charge of
5k cents per pound for making is
higher by a good deal than prevails
here. The Seattle creameries are
charging 2 cents per pound for max
ing, marketing, carrying accounts, col
lections, etc. In few instances the
charge is 21k cents. The overrun is
estimated at 16 per cent and Seattle
creameries allow their patrons about
10 per cent overrun. The per cent
that the creameries retain means
about IL cents for them. Thus the
creameries make a gross profit of
about 31a cents per pound, and 1t
costs them about 2 cents for manu-
featuring and incidental expenses,
leaving net profit Of III cents per
pound. If the Sunnyside creameries
are able to manufacture butter at a
net cost of 2 cents, their charge of
5h cents per pound means 3k cents
net profit. It is impossible to say
how much a pound butter should cost
for making, as conditions vary in
every locality The dairy commits
sioner of Iowa found, after an ex-
tended investigation, that the cost of
making creamery butter, including all
expense except hauling of milk, freight
to market, and commission, varied
from IL to cents a pound. These
two extremes were found in co-opera-
tive creameries. The lowest cost was
in a creamery making a half-million
pounds, the highest in cooperative
creamery making less than 10000
pounds annually. 1t should be re-
membered always that the small
creamery or cheese factory must
charge a larger figure for cost per
pound than the large one. The Iowa
commissioner established the follow
ing scale of cost after his investiga-
ton: In creameries making not more
than $4,000 pounds annually the cost
was 3.14 cents per pound; between
$4,000 and 100000 pounds, 2.36 cents;
between 100000 and 10000 pounds,
1.99 cents; between 10000 and 20O,-
900 pounds, 1.78 cents; between 2OO,-
900 and 100000 pounds, LII cents
These are the figures for Iowa, where
labor is cheaper and other expenses
somewhat less than in the state OF
Cd, fync rfA ON,