Worcester Democrat and the ledger-enterprise. (Pocomoke City, Md.) 1921-1953, 1941-03-21
LARGER SHARE
OF THE DOLLARS
BY THE GROWERS


country are getting a 13 per cent
larger share of the consumers dollar
on produce marketed through the
Great Atlantic and Pacific Tea Com
pany than they were four years ago,
John A. Hartford, APP president, an
nounced this week.
Pointing out that the 13 per cent
increase meant growers and shippers
are getting six and half cents more
of each dollars worth of fresh fruits
and vegetables sold in APP retail
stores, Hartford said 1913 cents of
each dollar now is being passed on by
his company to growers and shippers.
The return, he pointed out, is we'll a.
bove the national average for pro-
duce marketed through all channels.
Based on analysis of the company's
operations and those of it's buying
affiliate, the Atlantic Commission
Company, during the first eleven
months of 1910 as compared with the
year of 1887, Hartford's report indi-
Gated that the constantly increasing
return to growers results directly
from continued improvement of the
company's efficiency with attendant
reduction Of operating expenses and
elimination of loss from spoilage and
damages.
"Our company's report may be cit
ed as significant evidence of what
straight-line distribution is doing to
help solve one of agriculture's major
problems today, the vital need to re-
turn to farmers larger share of the
consumer dollar, and thus to bring a.
bout a greater parity between farm
and industrial income," Hartford
said.
The A&P president said this con-
tinuing progress, in addition to help
ing the growers, also allows millions
of people to buy more food, thereby
expanding the markets for fresh
fruits and vegetables. More and more
retailers, he added, are following the
example of economical distribution
set by his company and other mass
merchandising organizations.
The major savings in APP distri-
button during the four-year period,
the report showed, resulted from re-
duced operating expenses and large
decrease in damage and spoilage loss
operating costs dropping 10 per
cent and spoilage A per cent.
Railroad, boat and truck transport
tation from growers and shippers to
distributing points took most-21.3
cents-of the housewives dollar af-
ter the grower and shipper were paid,
Hartford pointed out. Handling and
delivery from distributing points to
stores took 81 cents; wages, rent,
advertising, taxes and other buying
and retail expenses took 1875 cents,
and damage and spoilage 3.4 cents.
The smallest item, IL cents, was A
& P's net profit.
Further development of modern adj
vertising and promotion methods was
credited with being a contributing
factor in increasing the company's
distribution efficiency and broaden
ing growers markets.
Hartford said the increased returns
to growers and shippers noted in the
report marked continuance of a trend
toward more efficient distribution of
fresh fruits and vegetables which be-
gan 16 years ago with the formation
of the Atlantic Commission Company,
A & buying affiliate.
Other developments credited in the
report with helping increase returns
to producers were:
Improved grading and packing
practices made possible by close CO.
operation of grower and shipper
groups; elimination of costly in-be-
tween expenses caused by passing
food through congested terminal mar
kets and through the hands of num-
erous trade Intermediates; increased
use of the method of delivering from
producing areas to the railroad and
truck unload yards and from there
direct to retail stores, and the prac-
tice of moving produce direct from
producing areas to retail stores wher-
ever possible.
ever since the formation of this
national merchandising organization"
Hartford said in conclusion, cit has
been one of our major aims to in
crease the return to agricultural pro-
ducers, while bringing fine foods
within the reach of an increasing
number of American families. Much
of our effort has been directed to-
ward devising ways and means to
achieve this end. We feel that our