I. I B R A R Y , A & M cottscz. C A M P U S . TEXAS AGRICULTURAL EXPERIMENT stiioiiiiiiiyilso A. B. CONN ER, DIRECTOR COLLEGE STATION, BRAZOS COUNTY, TEXAS BULLETIN NO. 497 NOVEMBER, 1934 DIVISION OF FARM AND RANCH ECONOMICS The Mixed Carload in Distribution 0f Vegetables from the Lower Rio Grande Valley 0f Texas L I B R A R Y Agricultural & Mechanical Collage ot Texan Station, Texas. AGRICULTURAL AND MECHANICAL COLLEGE OF TEXAS T. O. WALTON, President STATION STAFFT Administration : A. B. Conner, M. S., Director R. E. Karper, M. S., Vice Director Clarice Mixon, B. A., Secretary M. P. Holleman, Chief Clerk J. K. Francklow, Asst. Chief Clerk Chester Higgs, Executive Assistant Howard Berry, B. S., Technical Asst. Chemistry: S. Fraps, Ph. D., Chief; State Chemist E. Asbury, M. S., Chemist F. Fudge, Ph. D., Chemist C. Carlyle, M. S., Asst. Chemist . L. Ogier, B. S., Asst. Chemist . J. Sterges, M. S., Asst. Chemist Ray Treichler, M. S., Asst. Chemist W. H. Walker, Asst. Chemist Velma Graham, Asst. Chemist Jeanne F. DeMottier, Asst. Chemist W, E. Merrill, M. S., Asst. Chemist W. H. Garman, M. S., Asst Chemist Horticulture : S. H. Yarnell, Sc. D., Chief Range Animal Husbandry: J. M. Jones, A. M. Chief B. L. Warwick, Ph. D., Breeding Investiga. S. P. Davis, Wool and Mohair J. H. Jones, B. S., Animal Husbandman Entomology: F. L. Thomas, Ph. D., Chief; State Entomologist H. J. Reinhard, B. S., Entomologist R. K. Fletcher, Ph. D., Entomologist W. L. Owen, Jr., M. S., Entomologist J. N. Roney, M. S., Entomologist J. C. Gaines, Jr., M. S., Entomologist S. E. Jones, M. S., Entomologist F. F. Bibby, B. S., Entomologist **E. W. Dunnam, Ph. D., Entomologist "R. W. Moreland, B. S., Asst. Entomologist C. E. Heard, B. S., Chief Inspector C. J. Burgin, B. S., Foulbrood Inspector Veterinary Science: *M. Francis, D. V. M., Chief H. Schmidt, D. V. M., Veterinarian "*F. P. Mathews, D. V. M., M. S., Veterinarian J. B. Mims, D. V. M., Asst. Veterinarian Plant Pathology and Physiology: J. J. Taubenhaus, Ph. D., Chief W. M. Ezekiel, Ph. D., Plant Pathologist Farm and‘ Ranch Economics: L. P. Gabbard, M. S., Chief W. E. Paulson, Ph. D., Marketing C. A. Bonnen, M. S., Farm Management 3‘,**W. R. Nisbet, B. S., Ranch Management **A. C. Magee, M. S., Ranch Management Rural Home Research: Jessie Whitacre, Ph. D., Chief Mary Anna Grimes, M. S., Textiles Sylvia Cover, Ph. D., Foods Soil Survey: **W. T. Carter, B. S., Chief E. H. Templin, B. S., Soil Surveyor J. W. Huckabee, B. S., Soil Surveyor Botany: V. L. Cory, M. S., Acting Chief Swine Husbandry: Fred Hale, M. S., Chief Dairy Husbandry: O. C. Copeland, M. S., Dairy Husbandman Poultry Husbandry: R. M. Sherwood, M. S., Chief J. R. Couch, M. S., Assoc. Poultry Husb. Paul D. Sturkie, B. S., Asst. Poultry Husb. Agricultural Engineering: H. P. Smith, M. S., Chief Main Station Farm: G .T. McNess, Superintendent Apiculture (San Antonio): H. B. Parks, B. S., Chief A. H. Alex, B. S., Queen Breeder Feed Control Service: F. D. Fuller, M. S., Chief James Sullivan, Asst. Chief. Agronomy: S. D. Pearce, Secretary E. B. Reynolds, Ph. D., Chief J. H. Rogers, Feed Inspector R. E. Karper, M. S., Agronomist K. L. Kirkland, B. S., Feed Inspector P. C. Mangelsdorf, Sc. D., Agronomist S. D. Reynolds, Jr., Feed Inspector D. T. Killough, M. S., Agronomist P. A. Moore, Feed Inspector J. T. Vantine, Jr., M. S., Asst. Agronomist E. J. Wilson, B. S., Feed Inspector J. O. Beasley, M. S., Asst. Agronomist H. G. Wickes, D. V. M., Feed Inspector Publications : A. D. Jackson, Chief SUBSTATIONS No. 1, Beeville, Bee County: R. A. Hall, B. S., Superintendent No. 2, Tyler, Smith County: P. R. Johnson, M. S., Superintendent No. 9, Balmorhea, Reeves County: J. J. Bayles, B. S., Superintendent No. 10, College Station, Brazos County: R. M. Sherwood, M. S., In Charge "*B. H. Hendrickson, B. S., Sci. in Soil Erosion L. J. McCall, Farm Superintendent **R. W. Baird, M. S., Assoc. Agr. Engineer No. 3, Angleton, Brazoria County: R. H. Stansel, M. S., Superintendent H. M. Reed, B. S., Horticulturist No. 4, Jefferson County: R. H. Wyche, B. S., Superintendent **H. M. Beachell, B. S., Junior Agronomist No. 5, Temple, Bell County: Henry Dunlavy, M. S., Superintendent C. H. Rogers, Ph. D., Plant Pathologist H. E. Rea, B. S., Agronomist **E. B. Deeter, B. S., Soil Erosion N0. 11, Nacogdoches, Nacogdoches County: H. F. Morris, M. S. Superintendent **No. 12, Chillicothe, Hardeman County: **J. R. Quinby, M. S. Superintendent **J. C. Stephens, M. A., Asst. Agronomist No. 14, Sonora, Sutton-Edwards Counties: W. H. Dameron, B. S., Superintendent I. B. Boughton, D. V. M., Veterinarian W. T. Hardy, D. V. M., Veterinarian VO. L. Carpenter, Shepherd **O. G. Babcock, B. S., Asst. Entomologist No. 15, Weslaco, Hidalgo County: "*P. L. Hopkins, B. S., Junior Civil Engineer W. H. Friend, B. S., Superintendent No. 6 Denton, Denton County: P. B. Dunkle, M. S., Superintendent "I. M. Atkins, B. S., Junior Agronomist No. 7, Spur, Dickens County: R. E. Dickson, B. S., Superintendent B. C. Langley, M. S., Agronomist No. 8, Lubbock, Lubbock County: D. L. Jones, Superintendent Frank Gaines, Irrig. and Forest Nurs. Members of Teaching Staff Carrying G. W. Adriance, Ph. D., Horticulture S. W. Bilsing, Ph. D., Entomology D. Scoates, A. E., Agricultural Engineering A. K. Mackey, M. S., Animal Husbandry R. G. Reeves, Ph. D., Biology *Dean, School of Veterinary Medicine. S. W. Clark, B. S., Entomologist W. J. Bach, M. S., Plant Pathologist J. F. Wood, B. S., Horticulturist No. 16, Iowa Park, Wichita County: C. H. McDowell, B. S., Superintendent L. E. Brooks, B. S., Horticulturist No. 19, Winterhaven, Dimmit County: E. Mortensen, B. S., Superintendent "L. R. Hawthorn, M. S., Horticulturist Cooperative Projects on the Station: J. S. Mogford, M. S., Agronomy F. R. Brison, M. S., Horticulture W. R. Horlacher, Ph. D., Genetics J. H. Knox, M. S., Animal Husbandry A. L. Darnell, M. A., Dairy Husbandry fAs of October 1, 1934 "In cooperation with U. S. Department of Agriculture. iIn cooperation with Texas Extension Service. In their efforts to diversify plantings, vegetable growers in the Lower Rio Grande Valley have been greatly aided by the mixed carlo-ad, since it facilitates shipments of new vegetables to the markets of the United States and Canada. Furthermore, after the production of a wide variety of vegetables had been established, the mixed carload offered and continues to offer the means of shipping them to market. The mixed carload has been a factor in lengthening the marketing season for these growers. It has been particularly influential in increasing fall and winter ship- ments. No division can be made on the basis of size between what may be termed mixed carload and straight carload markets. Mixed carload shipments are becoming increasingly popular in the larger cities. As to per capita receipts, mixed carloads are much more important in small markets than in large. Mixed carloads have expanded the outlet for staple vegetables in the small markets and for specialty vegetables in the large markets. A Small markets receive mixed carloads because their capacity is too small to accept straight carloads of the various vegetables. Large markets receive mixed carloads for numerous reasons: the straight carload may be too large a unit for the various specialty vegetables; more frequent receipts in the mixed carload insure greater freshness; the jobber wishing to play the role of receiver finds the mixed carload suited to his purposes both as to variety of vegetables and quantities; and the mixed carload aids the car- lot receiver to assemble a greater variety in a smaller number of carloads‘ than is possible through straight carloads. In satisfying requirements for vegetables, specific mixed car- loads are of greater importance in small markets than in large and carloads filled according to F. O. B. order and running to many commodities are relatively of greater significance in ship- ments to these markets. Mixed carloads filled without reference to specific orders and consigned, of course, find their freest outlet in the larger markets. The chief outlet for mixed carloads from the Lower Rio Grande Valley, in early years, was to cities in Texas and surrounding states. Today, these markets are supplied largely through motor truck shipments. The main outlet for mixed carloads, today, is to the larger cities, on the one hand, and to the smaller cities, on the other hand, too distant for motor truck shipments either from the area 0f production or from the larger distributing centers. CONTENTS Page iIntroduction ____ _. 5 Object of Study and Source of Data 5 Development of Mixed Carload Shipments ____ _. 6 The Mixed Carload as a Means of Distributing Vegetables ...................... -_ 7 Mixed Carload Shipments Reduced to Straight Carload Equivalents.-- 7 Mixed Carload Shipments Have Expanded Markets for Vegetables 9 Mixed Car-loads Have Facilitated Diversified Plantings ....................... _-13 Weekly Shipments of Various Vegetables in Mixed Carloads ......... -17 Mixed Carload Shipments Stimulated by Liberalization of Rules as to Freight Rates and Minimum Weights _____________________________________ "20 Shipment of Specialty Vegetables Increased by Changes in Rules as to Freight Rates on Mixed Carloads .................................... -.23 Need for Standardization of Minimum Weight Requirements __________ _.24 Mixed Carload Shipments Modified by Motor Truck Shipments _____ .- 25 Mixed Carload Destinations According to Size of City ________________________ ~28 Mixed Carload Receipts Highest on Per Capita Basis in Small Cities 31 Mixed Carload Adaptable for Shipment to Large Cities ______________________ -33 Mixed Carload Shipments Possess Some Undesirable Features _____ -35 Mixed Carload Sales Predominantly F. O. B. in Small Markets _____ _.37 Summary __33 BULLETIN NO. 497 NOVEMBER, 1934 THE MIXED CARLOAD IN DISTRIBUTION OF VEGETABLES FROM THE LOWER RIO GRANDE VALLEY OF TEXAS W. E. PAULsoN* Commercial vegetable production in the Lower Rio Grande Valley of Texas has developed during the past twenty-five years. Growers pioneer- ing in vegetable production in that area did not find a ready-made marketing system. Instead, they had to resort largely to their own ingenuity in finding outlets for their produce. Individual express ship- ments consigned to commission merchants and retailers, and even to local express agents, in nearby cities, represented the chief manner of marketing in the early stages. Distribution through express shipments is expensive and can be supported only by payment of high prices on the part of the consumer. Freight charges on a carload of mixed vegetables would be considerably less than express charges on an equivalent quantity of produce broken up into a great number of small express shipments. Points reached by express would be accessible to mixed carloads at a saving in cost of transportation; an outlay equivalent to that on express shipments would carry mixed carloads to much more distant markets. A Increasing production necessitating lower prices to consumers and wider distribution made imperative a turning of attention to the mixed carload as a means of distribution. Furthermore, individual express shipments lead to more or less blind consigning with consequent gluts and famines. The specialized shipping agency required to handle mixed carloads would stand a much better chance of gaining accurate and timely information regarding market conditions than the grower-shipper. The mixed car- load directed to a glutted market can quite easily be reconsigned to some other more favorable market; whereas express shipments are, virtually, not open to reconsignments. From an unimportant and unimpressive role in the distribution of vegetables a few years ago, the mixed carload has now attained such proportions as to justify an evaluation of its significance. OBJECT OF STUDY AND SOURCE OF DATA The object of this study is that of determining the importance of the mixed carload in the distribution of vegetables produced in the Lower Rio Grande Valley. More specifically, it seeks to ascertain the influence of the mixed carload upon demand for vegetables to the extent that such shipments open the small markets to carload shipments, facilitate move- ment to the large markets, make easier the marketing of specialty vege- tables, lengthen the marketing period, and offer a means of reaching the ‘I wish to acknowledge my indebtedness to the following shippers for their helpful cooperation in making available their complete records on mixed carload shipments: Alexander Marketing Company, San Benito; Gulf Vegetable and Fruit Company, Inc., Weslaco; McDavitt Brothers, Brownsville; and Wade and Newton, San Benito. 6 BULLETIN NO. 497, TEXAS AGRICULTURAL EXPERIMENT STATION market with new vegetables and thus encourage the growing and market- ing of a greater diversity of produce. The chief sources of data and information used in this study were as follows: 1. Data secured from records on vegetable shipments of local shippers. 2. Records on carload shipments from the Lower Rio Grande Valley and data on unloads in sixty-six cities, compiled by the Market News Service of the United States Department of Agriculture. 3. Records on carload shipments compiled by the two railroad companies serving the Lower Rio Grande Valley. 4. Personal interviews with local shippers and growers. 5. The files of such local newspapers as the San Benito Light, the Mercedes Tribune, the Mercedes News, the Brownsville Herald, and the Edinburg Valley Review. DEVELOPMENT OF MIXED CARLOAD SHIPMENTS Yearly shipments of mixed and straight carloads of vegetables from the Lower Rio Grande Valley are shown in Figure 1. The relative im- portance of mixed and straight carload shipments is shown in Figure 2. i! imam) fismmm MIXED STRAIGHT S PERCENTAGE OF TOTAL CARLOADS NUMBER 0F CARLOADS IN THOUSANDS Fig. 1. Relative importance of mixed a1 straight carload shipments of vegetabl from the Lower Rio Grande Valley l Fig. 1. Number of mixed and straight carloads Shlpplng $995095- of vegetables shipped from the Lower Rio Grande Valley by shipping seasons. During the periods 1910-11 to 1915-16, 1916-17 to 1920-21, and 1921-22 to 1925-26, mixed carloads constituted 8.9, 16.2, and 33.0 per cent, respectively, of total shipments. During the period 1926-27 to 1930-31, mixed carloads declined to 31.9 per cent, a drop of 1.1 per cent from the figure of the preceeding period- This loss in relative importance of mixed carloads can largely be accounted for by two developments of recent years. In MIXED CARLOAD VEGETABLE DISTRIBUTION FROM RIO GRANDE VALLEY 7 the first place, movement of vegetables by motor truck out of the Lower Rio Grande Valley has increased decidedly during the past few years. The markets within reach of motor trucks are relatively more important out- lets for mixed carloads than for straight. Thus the motor truck move- ment has replaced a larger proportion of mixed carloads than straight. In the second place, a marked increase in carload shipments of tomatoes and green corn has occurred in recent years. These commodities are of negligible significance in mixed carload, shipments. If shipments of tomatoes and green corn be eliminated from both mixed and straight carload totals for the last two periods, the relative importance of mixed carloads of the total increased by 1.4 per cent during the period 1926-27 to 1930-31, as compared with the preceding period. An appreciation of the advantages of mixed carload shipments did. not have the immediate effect of greatly increasing that type of move- ment. In the early period, growers made but slow progress in the direction of diversified plantings of vegetables necessary to support mixed carload shipments. Furthermore, a transition from small-lot express to mixed carload shipments is not easily accomplished. Growers who have developed their own express outlets are usually reluctant to give up this method of marketing. The mixed carload had to await the development of specialized marketing agencies—-the carload shipper at point of origin and the carload receiver at point of destination. THE MIXED CARLOAD AS A MEANS OF DISTRIBUTING VEGETABLES A determination of the kind and quantity of vegetables shipped in mixed carloads is of fundamental importance in analyzing the role of the mixed carload in distribution. This aspect of the study could best be attained through the analysis of sample data. A representative sample must include carloads shipped: 1. From all, or a large proportion of all local shipping Points; 2. During the entire shipping season; 3. To representative markets, both as to size and geographical location; 4. Under the various types of sale, principally F. O. B. and consignment. Such a sample was obtained through the cooperation of four shippers in the Lower Rio Grande Valley. L Mixed Carload Shipments Reduced to Straight Carload Equivalents The carload is the accepted unit of data relating to vegetable ship- ments. For this reason, the content of mixed carloads may most con- veniently be expressed in terms of straight carload equivalents. The general procedure followed in arriving at the straight carload equivalents of the various kinds of vegetables in mixed carloads was as follows: for the period 1910-11 to 1925-26, tabulations were made, by shipping year, of the various kinds of vegetables, by shipping unit, contained in the sample carloads. Such totals were then reduced to straight carload equivalents 8 BULLETIN NO. 497, TEXAS AGRICULTURAL EXPERIMENT STATION by dividing them by the number of units, or volume, of such commodities in a straight carload. (The weight of a bushel and a Los Angeles crate of the various vegetables, the number of bushels and crates in a carload, and the minimum weight of a carload are shown in Table 1). After the straight carload equivalents of all vegetables in the sample had been Table 1. Weights of standard containers, usual number of containers to the cal-load, and minimum weight of carloads. Weight in Usual number of containers poundsl in a carload” g m»; 5 '4’ "c: . ' 5f, s: Commodity ' mlgg WE” ggmg ‘Um ‘Um 13g Egg a a = V < < c, _ Lfgslqitai- _~ an: £e4q§ It; _ ~~ —OQN F‘ OCT NOV DEC. JAN FEB MAP APR MAY JUNE JL ' wax eunme w’ M‘ “N END,“ Fig. 3. Weekly shipments of mixed carloads Fig. 4. Weekly shipments of mixed and straight of vegetables from the Lower Rio carloads of vegetables from the Lower Grande Valley. Averages for periods. Rio Grande Valley. Averages of five- year period, 1926-27 to 1930-31. 10 BULLETIN NO. 497, TEXAS AGRICULTURAL EXPERIMENT STATION 3.2.3 3w. ..www ...... u ...... ..w... 333 v2.3 55w wwww w..w.. 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Bi o E E a 5 4: 5 0 '2 49 w 5 H a T: >, o 5 z: E 8 g fi == E w 5 "' Q Z Q *1 Fla g Q E '1 i 4-7 Q E-l we 0.0 0.0 0.0 0.0 3N m.0 v.0 wcsn 0mm 0.0 mA w.mw if.) m0 0m v.2: m.00m 03.00 0.0mm $8 ID m.0 A.0 0.0 0.0 A.0 0.0 0.0 0m v.0 0.0 >52 30m 0.0 AA A.0 2.54 0.00m 0.0 v.0 0.010 0.0 A.0 Em... A0 0.0 0.0 v.0 0.0 0.000 0.0 mA Aim mvvm 0.0 mA 0.0 0.0 Aoasg 15m m.0 0A mA m.0 0.03“ m.0 0m v.0 AA A.0 0A0m m.0 0.0 0.0 0.0 0.00m A.0 Y0 A0 0.0 0.0 mnwsnnoh 10mm 0.0 0A 0.00m m.0 0.0 0Awm m.0 0.0 0.mvA 0.0 0.0 m.0 znwzca A. mA0 A.0 0.0 m.mm A.0 0.0 0.0 497, TEXAS AGRICULTURAL EXPERIMENT STATION 1:2 0.0 0.0 0.00 A.0 v.0 04.0 A0 A.0 pwnfiwuofl 0.0m m.0 0.0m A0 A.0 _ .60 i~0>OZ BULLETIN NO. $30000 14 5.19199 P-mqO ssgms ale); ‘Ougmnog . (I aomqaq sadnq -1?1"9O “WWPIO 81x0 Eqg-IU-WX QQ°II3IIS uoglapueq qozeasg spmnog IGMOI} ‘H1130 asguv ‘M29111: sxaqmnong Mimic “ma? 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N... _ ww w.w ...wN w.w.. wwwN w. wwww .... w... ...N N... ..... N.N. _ w... ...N ...w ....w ....w NwwN N. wswN w... .... w... N... w... w.. _ N... Nw. w..... N..... w ENEGN w... .... .... ...N N... w... _ N... N.N. _ N.N w..... wN w... _ _ w.. N... w... N... ...w N... ..... w... ...w. ...N www NN w... _ ..... _ w... .... w... N... ww w... w.. w... ....N ...w NwN w. N..... _ _ ..... _ w... _ N... _ _ ...w. _ N... _ .... _ w... w... w.. Nw. w... w... w ...N _ _ _ w... _ _ _ w... _ _ _ .... N... N... Nw N.. ...N . 8.82.2. Nww _ _ _ _ N... ...N. _ _ _ ww N... ...w N.. ...N ..N ...wN _ _ _ N.w. _ _ _ w.w N... ...w w... 5 ...N. _ _ _ w... _ _ _ w.. _ w... ..... ... N.. _ _ _ _ _ N... _ _ _ w... _ ..... w wwwfiwéz _ _ r. ww 9m m. a o 0 s H L m. 0 m ... w w w w ... m w .......... 16 BULLETIN NO. 497, TEXAS AGRICULTURAL EXPERIMENT STATION which shipments have been made from the Lower Rio Grande Valley has decidedly increased in more recent years; the peak movement of a few weeks characteristic of the first three periods, has yielded to a heavy movement over a long season during the last period. In earlier years, growers produced primarily for the spring market; growers of today pro- duce also for fall and winter markets. As a further means of emphasizing the role of mixed carloads shipments, a comparison of average weekly shipments of mixed and straight car- loads for the period 1926-27 to 1930-31, is presented in Figure 4. The shipping season opens with mixed carloads predominant. While mixed carloads constituted 31.9 per cent of total shipments for that period, they made up more than fifty per cent of total shipments for the months of October, November, and December. Unquestionably, the volume of vege- tables shipped from the Lower Rio Grande Valley has been augmented by mixed carload shipments. This is particularly true of shipments during fall and early winter. Mixed Carloads Have Facilitated Diversified Plantings Table 6 shows the relation between numbers of vegetables shipped, by periods, in mixed and straight carloads. It is evident, as new vegetables are introduced, that shipments occur first in mixed carloads followed later by shipments in straight carloads. Diversification of vegetable plantings in the Lower Rio Grande Valley has been encouraged and facilitated by mixed carload shipments. The introduction of new vegetables usually involves risks both as to their adaptability to soil and climatic conditions and as to market outlets. Table 6. Number of kinds of vegetables skinned-in mixed and straight carloads. Least number Greatest number any year any year Total number Periods Mixed Straight Mixed Straight Mixed Straight 1910-11 to 1915-16 6 3 9 5 17 5 1916-17 to 1920-21 6 4 15 7 19 8 1921-22 to 1925-26 19 11 20 13 25 13 1926-27 to 1930-31 2s 22 3s 25 _439____"__a1_ Express shipments offer an opportunity of placing the new commodities on the market but the territory opened is usually limited to relatively nearby consuming centers. This is also true of shipments by motor truck. If distant markets could be reached only through straight carload shipments, shippers would obviously need to assume the risk of moving a few car- loads to a small number of markets. If, on the other hand, small quantities of the commodity could be loaded into a considerable number of MIXED CARLOAD VEGETABLE =DISTRIBUTION FROM RIO GRANDE VALLEY 17 mixed carloads with established market outlets, a wide distribution could be effected with a minimum of risk. Thus the 'mixed carload is an important instrument in the process of experimenting with the growing and marketing of new vegetables. This role of the mixed carload has by no means come to an end. During the period 1926-27 to 1930-31, more than a dozen new vegetables were introduced in the Lower Rio Grande Valley. Their volume of production was small and movement primarily by express and motor truck to nearby markets and in mixed carloads to distant markets. If any, or all, of these vegetables prove adaptable to conditions obtaining in that area, and if market outlets can be expanded through mixed carload shipments, volume of production will undoubtedly be increased and movement in mixed and straight car- loads augmented. Two important factors influencing the volume of perishables which growers can produce for market are: the length of the shipping season; and the daily volume which markets will absorb. Diversified plantings of vegetables in the Lower Rio Grande Valley have increased both the length of the shipping season and the daily volume which markets can absorb. To the extent, then, that mixed carloads have fostered diversified plantings of vegetables, they have been a factor in stimulating an increased volume of marketable produce. Weekly Shipments of Various Vegetables in Mixed Carloads The seasonal aspect of mixed carload shipments is indicated in Table 4, which gives average weekly ship- ments for the period 1926-27 to wwm-szgazilgozrggrrgo 1930-31, of the various vegetables moved in mixed carloads. Table 5 shows average weekly shipments of the more important vegetables in straight carloads. During Nov- ember and December, 43.7 per cent of the total volume of cabbage and 80.3 per cent of c a r r o t s were shipped in mixed carloads, whereas for the whole season, 24.6 per cent of cabbage and 51.8 per cent of car- rots moved in mixed carloads. In the case of potatoes, for the first N0. 0F CARLOADS seventeen weeks of the shipping season, 69.9 per cent of the total volume moved in mixed carloads, whereas for the whole season, 23.6 0 NOV DEC JAN FEB MAR APR WY JUNE per cent of the total volume moved U wean ENDING - - Fig. 5. Marketing season of vegetables shipped m mlxed carbads- from the Lower Rio Grande Valley. 18 BULLETIN NO. 497, TEXAS AGRICULTURAL EXPERIMENT STATION At the present time, vegetables start moving to market, in a small way, early in October and continue "" ‘MIXED sans into July, a span of more than forty 52-35mm"? p, , , weeks. During the last five-year 1M3 I -- period, fifty per cent of the total I Mm CARROTS volume, both mixed and straight, '°° STRAIGHT moved during the ten-week period, 5° March 3 to May 11. As an aid in °e - can .1:_@~<»sm~12. was N2»? Mmmlnuunmw E NuaoA-N: no 3N1 Eoum uoiflFAfi-ow mwaaino @335 AA: dudmm AménmA 3 Nwéwfi icion anon-vim New muuuuo>< .331. we vim .5 azfiicuuu mwaciwu A55:- 5 won-aim ifiAufigmA-us wNcANNQ NAAEFSN Na wammwuaxu fic-nwwou?» we Nccfiacmumwfl d vAN-aa. MIXED CARLOAD VEGETABLE DISTRIBUTION FROM RIO GRANDE VALLEY 27 N.N... N.N ..N a ..N __ N.N N.N 1. N. N. N. N. __ N.N N... N.N N.N __ N.N. N.N. N.N. _ N.N. f .25. NNNN. ..N N.N N.N N.N N. N.N N. . N.N N.N N... N.N _ N.N N.N _ N.N _ -.NN.NNN.. N.N... N.N N.N ..N _ N.N N.N N.N _ N.N _ N... N.N N.N NNN.NNN..-.NN.NE. N.N..N . N.N N.N N.N N.N c6. _ _ N.N N.N N.N ooodfi. -.NN.NNN NNNN ..N _ N.N N.N N.N NNNNNN -.NN.NN.. NNNN ..N N.N _ N.N _ N.N ..N N.N NNNNNN -.NN.NNN NNNN ..N ..N ..N ..N _ N.N _ ..N N.. _ ..N #4 N.N NNNNNN. -.NN.NNN ..NNN ..N N.N ..N N.N N.N _ N.N . N... N. _ N.N N.N N.N NNN.NNN -.NN.NN. - NNNN N... N.N . N.N ..N _ N.N N.N NA ..N N.N N.N N. N.N NNN.NN. -.NN.NN. NNNN ..N N.N N.N _ N... N... ..N N. N.N N.N N.N NNN.NN. ANN... NNNN N.N N.N N.N ..N ..N _N.N N.N N.N N.. ..N N.N N... NNN.NN -.NN.N» mdwm N.N ..N N.N ..N _ N.N N.N _ N.N N.. ..N N. NNN.NN -.NN.$ NNNN N.N N.N ..N _ N.N _ N.N _ N.N N.N N.N I NNN.NN -.NN.N» NNNN . N.N _ N.N _ _ N.N ..N _ ..N N.N N.N N.N N. NNN.NN -.NN..NN N.N... _ ..N ..N N.N _..N _ w... N.N _ N. N.N N.N NNN.NN ..NN.N. wéww _ N.N ..N _ N.N N.N _ ..N ..N _ ..N N.N ..N N.N N.N NNNN. - O X G Q m m m... x w. a m MW. m. m. w m m. m. m m... W w. m 8:... p. n m N. N. m. m m a m. M m N w. w m m w m. N. w. w No 3E .l. .A PS % “a % . Q m fi m. W. w l -. 9 8 W. s ..wo5imuieU.lbuq-u_iumuu< we uGQEwMGQQQ madam WQum-PD. Jutiow “BN2 No.12... 2.. a. .335: Nuxuafi $2. N5 Ne... x2135» E NNNNE: E. 8.... E3. NEEBNNN @2518 Nu»? E. 5.... ..N-NNN. 3 hNéNN. ...N...2. uuohblu ucm mouauo>< $03.0 w: aim 3 M-Eicuom wwac-uuu 133E E wean-Em fiuiefiflénvw UQNJMNO uzwmauuw ma wamweunww 6:53am...’ mo mzomuanw-mofl .m sink. 28 BULLETIN NO. 497, TEXAS AGRICULTURAL EXPERIMENT STATION had tied these markets more closely than ever before to the nearby large markets. Produce dealers in these small markets find certain advantages in seeking their supplies in the nearby large market in such matters as: (1) variety of vegetables (Whatever varieties of vegetables are obtainable at the various shipping points are usually in stock at the large markets); (2) reduction of risks (Supplies may be purchased to be turned in a very few days; F. O. B. purchases direct from the Lower Rio Grande Valley would involve considerable time with the chance of a drop in price in the meantime); (3) financing (The large market dealer by giving 10 or 15 days credit greatly eases the problem of financing on the part of the small market dealer). , Markets in Missouri, for instance, receive a large part of their Texas vegetables from St. Louis and Kansas City; in Illinois from Chicago and St. Louis; and in the New England states from Boston. Markets within a radius of 50 to 100 miles of New York City procure their vegetables almost exclusively in that city. Under exceptional circumstances even Boston and Philadelphia may draw upon New York City. Without motor truck competition, mixed carload shipments from the Lower Rio Grande Valley under the favorable rate schedules adopted a few years ago would have been quite different from what they are today. Small markets would have been of much greater relative importance than is now the case. Mixed Carload Destinations According to Size of City Destinations of mixed carloads, according to size of cities, together with straight carload equivalents of the various vegetables are shown in Table 8. Destinations of straight carloads of the more important vegetables are shown in Table 9. In both tables, the carload figures represent averages for the five-year period, 1926-27 to 1930-31. As for destinations of mixed and straight carloads to the larger cities, the unload data for 66 cities compiled by the Market News Service, United States Department of Agriculture, was used. The remaining carloads were apportioned among the small-sized city groups according to data on destinations to the smaller cities as indicated in the daily reports of the Market News Service. Straight carload equivalents of mixed carloads ac- cording to size of cities were determined on the basis of the sample data. An examination of Table 8 shows that not only do mixed carloads move to all sizes of cities but in particularly large volume to the larger cities. An explanation of this situation involves a number of factors. The number of cities in each size-group receiving mixed carloads was determined together With their total population. The number of cities re- ceiving straight carloads of the more important vegetables was alsc found. These data are presented in Table 10. While the number of cities in the smaller size-groups runs high, total population runs low. Whereas cities of 10,000, or less, make up 1.1 per cent of the total population oi cities receiving mixed carloads, cities of 1,000,000, or more, account f0] MIXED CARLOAD VEGETABLE DISTRIBUTION FROM RIO GRANDE VALLEY 29 36.6 per cent of the total. As between numbers of cities receiving mixed carloads and straight carloads of cabbage, differences for the various groups are of minor importance. As for the other vegetables, the number of cities in the smaller size-groups receiving straight carloads runs low. Another consideration is that of the volume 0f movement in mixed and straight carloads to the different size-groups. Table 11 shows the per- centages of the total movement, mixed and straight, that were shipped in Table 9. Destinations of straight cal-loads accordinz to size of cities, Averages for five- year period, 1926-27 to 1930-31. Data on dPstinations determined from data on unloads in sixty-six cities, and daily market reports of the Market News Service, United States Denartment of Agriculture. u) w "I w 0 w W In v5 F‘ Size of jg 4g +3 “é g g g § g g cities Q P E Q Q :1 ‘l’ -~ 8 0°.’ g v m ° “i =2‘ P‘ | ..... .. - 10,000 149.2 27.8 15.0 2.8 0.4l 2.4l 2.2 0.8 I 200.0 10,001- 20,000 256.4 68.0 49.6 4.2 0.4 0.6 4.8 1.0 0.4 385.4 20,001- 30,000 187.2 54.2 44.8 4.4 2.8 2.2 5.6 1.6 1.2 304.0 30,001- 40,000 152.8 30.6 39.4 5.0 1.8 1.2 4.8 1.8 0.2 237.6 40,001- 50,000 97.6 49.2| 42.0 3.4 7.6 0.6 4.0 4.2 0.2 208.8 I 50,001- 75,000,,206.4 117.04 60.0 11.2 6.0 3.0 16.0 2.6 1.2| 423.4 75,001- 100,000’ 166.6 70.8 78.0 13.2 14.0 8.0 13.4 4.8 2.2 371.0 100,001- 150,000 382.0l178.2 154.6 47.4 19.6 7.8 22.0 11.2 2.2 825.0 I I 150,001- 200,000| 287.4 95.6 88.8 28.2 45.2 12.2 10.6 17.0 2.2 587.2 200-001- 300,000 760.8 317.4 178.6 67.6 120.8 11.8 34.8 63.2 7.2 1562.2 300,001- 400,000 340.0 177.4 115.6 54.0 79.6 24.6 18.0 67.6 4.0 880.8 400,001- 500,000 253.4 101.2 89.6 107.6| 74.4 47.8 21.8 26.8 11.4 734.0 I 500,001- 750,000] 399.6 64.2 164.4 132.2 16.6 43.4 26.4 26.0 5.6 878.4 I I I I I I I I 750,001-1,000,000I 581.0 174.0 184.8 I 298.2 I 94.4 I 122.4 I 52.0 I 05.4 I 19.2 I 1580.4 I I I I I I I I I I 1,000.001- .......... 1 |1202.8 800.4 I 509.2 757.0 470.4 I 450.2 157.4 I 85.8 52.0 I 4172.4 I I I I Total I5488.2 1880.0 1874.4 1582.0 954.0 I 744.2 898.8 879.8 109.8 I18857.2 mixed carloads, according to size of cities. As the size of cities increases, the relative importance of the mixed carload rather consistently decreases. As for movement to cities of 40,000, or less, the mixed carload was of minor importance for tomatoes and represented somewhat less than fifty per cent of the total movement of cabbage and potatoes. In the case of other vegetables, however, the relative importance of the mixed carload ran high. I 497, TEXAS AGRICULTURAL EXPERIMENT STATION 30 BULLETIN NO. NN Nw Nw Nw NN NN wNH __ NNH __ NNN HNN NNN.NNN.Nw HSPH. w N w w w N N __ w __ N N NNN.NNN.wH -HNN.NNN.H N N w N w w w N w __ w HNw.NNN.N NNN.NNN.H-HNN.NNN N N N w w N w w w i w HwN.HNN.N NNNNNN HNNNNN N N w w w N N w N __ N wNw.NNN.N NNNNNN -HNN.NNw N N w N N w N N N N NwN.NwN.N NNNNNw -HNN.NNN N N N N NH N NH NH NH NH NNN.NNN.N NNNNNN -HNN.NNN H N N N N N N f w _ 2 __ N wNw.NNN.H NNNNNN -HNN.NNH N N w N HH 2 NH f NH __ NN __ NN __ wNN.NNH.N ooodNH -HNN.NNH H N N w N N NH __ N f NH _ NH __ wNN.NNN.H NNNNNH -HNN.NN H N N N w N N f wH. N_ NN NN NNN.NNN.H NNNNN -HNN.NN H N N H N w N N NH NH w2.NHN ooodm -HNN.Nw H H H H N N N N NN NN NNNNNN NNNNw -HNN.NN H N H N N N NH » wH * ww f Nw _ NHN.NNN.H NNNNN -HNN.NN H H H H w N N NH _ NN NN wNN.NNH.H 256m -HNN.2 H H N N w N NH HN NN W NNNNNw NNN.2 - sowfimw_ NHHwwm q FHQO g 33m l mflOwGO ‘ maouwwn; Nowmflwm: NNWWNNNNHNN jowwnnmO UQNEZ mwaoiau UQNME Nbmwwnvw wfltéwooa momma N03? mo wumw mo §O$N~5QOQ mwzwuow?» mo mwHNovHwu mfifiooon mwmfio mo NoQEHHZ 1.309 duHHSH-uimaw we HGQEtGQNvAH N33 1:: i320 Nfimzn-Nfin H: mmwfiémii H3 33H EOMM uuHHtH-uoaow NHHHHEHNHHSNN on? 3 ufiwuooou HN-Nuciuu “sauna? 1H5 N855 Milan-cu mom-Ho we NNN w HHRHNHND JuTrHow N302 Nev-Nag i? uc mane-EN uiMhdE Z12- w HHc HNHHNQ Am-ommfi 5 Nw-QNNH icioc N$>a>c N8 N220 a. AEHHHN 1H5» $33.50 105E NQmPmCON-H new»? we 5033-25: 73:8 A: 05am. MIXED CARLOAD VEGETABLEJJISTRIBUTION FROM RIO GRANDE VALLEY 31 Mixed Carload Receipts Highest on Per Capita Basis in Small Cities Distribution of the more important vegetables according to size of cities in mixed and straight carloads on the basis of number of carloads received Table 11. Percentage of total movements, mixed and straight, shinned in mixed carload according to size of cities. Averages for five-Year neriod, 1926-27 to 1930-31. ‘l’ m .5 m U8 +> m m u m 8 v-l Si2e of jg g *5 g g g 1:, g g cities g S m pg a é: E O H U w 54 $ Potatoes W I I ________ ..- 10,000‘ 49.1 90.9‘ 64.2‘ 94.1 100.0‘ 88.9 18.0 73.3‘ 56.2 I I I 10,001- 20,000‘ 45.6‘ 03.0‘ 94.7‘ 45.2‘ 94.3 90.7‘ 82.0 26.2 89.5‘ 51.5 I I I 20,001- 80,000 41.7 89.8 80.4 46.4‘ 80.01 78.6 82.3‘ 36.6 66.7 50.5 30,001- 40,000 38.7 90.4 90.0 35.7 68.4‘ 75.0 67.3‘ 6.4 40.0‘ 45.4 I 40,001- 50,000 49.6 92.1 94.5 43.6 79.8‘ 95.1‘ 74.4 22.1 24.8 53.0 I 50,001- 75,000 36.3 89.1 88.6 26.3 83.6‘ 70.7‘ 45.0‘ 16.3 37.5 44.5 I I 75,001- 100,000 39.0 84.2 74.1 23.5 79.1‘ 63.3‘ 37.7 11.3 37.2 43.1 I I 100,001— 150,000 26.7 74.9 84.4 22.5 70.0‘ 72.2‘ 42.7 7.4 21.3‘ 35.4 150,001- 200,000 27.4 75.4 71.6 37.4 71.9 I 86.5 ‘ 48.0 ‘ 8.9 18.9 38.6 200,001- 300,000 17.8 70.9 82.5 18.4 41.5 ‘ 56.1 ‘ 26.7 3.3 ‘ 7.8 I 26.4 = I 300,001- 400,000 16.1 69.5 71.1 19.0 30.0 ‘ 21.6 ‘ 17.8 0.9 1.5 27.4 I 400,001- 500,000 10.3 42.4 47.0 16.4 24.3 ‘ 36.0 ‘ 3 5 7.2 4.9 ‘ 21.1 I I I | 1.3‘ 0.6‘ 21.2 I I 1 . I I I I I 750,001-1,000,000 8.6 30.4 37.4 15.8 I 22.4 I 11.9 ‘ 35 500,001- 750,000‘ 9.3 46.9 ‘ 55.9 ‘ 13.9 ‘ 12.2 ‘ 3.4 I 7.7 I 1,000,001- ...... .. 18.3 36.4 37.8 8.9 I 30.8 I 10.5 ‘ 2 3 I I All cities I 24.6 51.8 40.4 28.6 I 44.8 I 38.0 I 28.8 per 100,000 population is indicated in Table 12. As for receipts in mixed carloads of vegetables under consideration, those of the smaller markets were decidedly heavier than those of the larger markets. Relatively, the mixed carload played a more important role in distribution of vegetables to the small markets than it did to the large. The greater portion of volume of such vegetables as carrots,\beets, beans, and spinach reached the smaller markets through the mixed carload. _ It is manifest that no hard and fast division obtains between what may be termed mixed carload markets and straight carload markets. Mixed and straight carload markets for cabbage are nearly identical. Further- more, it is evident that “small markets” just able to absorb straight car- loads differ widely as between the various vegetables. While the state- ment cannot be made that mixed carloads are loaded exclusively for the small .29....» =4... 633 n13 E wmwgofi momfiwoifiou ma... mo mwaoiwu pnmmafiwN SONGmQW N 0 I T A T S T w M m m 3.2.5.2. m N... _N... __..... N... .... .... N.. N. ...N N... N.N .... T... N... N... ... N.N. .... _...NNN_N...:. 83...... L .... .... N... N... ... ..... ..N .... N.N .... ..N N.N _N.N .... ...N N... N.N .... ..NN*N.N* .96 ...; m .............. 0 w .... N... N.. N... N. .... ...N N.N N.N .... N.N .... N.N .... ..N .... >.N._..... __.......__...N.._ ...............B . ..........N ... m N... _N... N. .... N... .... N... .... ..N .... N.. N... ...... N... N.N ...N ...... ..N _......._.....Nf ...........N 8. h... m _ _ ........N. . m .... .... N... ... N... .... N... .... .... N... ... ...N N... N... .... N.N ...N. .... N.NN__....N__ .........N. o. .......... m. .... ... __N... .... N... N.N N... .... .N... N... N... N... T... .... N.N N... N.N ...». NNN N.N__ ........... .. ... 8 D m. .5 .65.; ..m ...... .81.... ..w _..x§._ ..w .3...‘ ..m dual ..w is...’ aw _...N.>._ ..w ......‘ Nam ...... H _ _ _ N3»... no . EN 7, i 0a 4 mason mcomcO § Nuwwm .500 } mvonHwO. i muoawfiom. mmouduom omwnnwO 4 13cm. ....-..N... 8 hu-wmm.“ if... axon-vim ....“ nouuno>< i320 no 03m .5 95:25.... $5353 azumauun v5. 105E E ncmfiénaom 25.2: mom moi-flow?» no mfirvuofl .2 033-. 32 BULLETIN NO. ‘ L- | u r< A R Y Ja/xwzw/z/Jlairmw/faiezea/rkxa: 90ml! Station. Texas. MIXED CARLOAD VEGETABLE DISTRIBUTION FROM RIO GRANDE VALLEY 33 markets, the statement can be made that many vegetables grown in the Lower Rio Grande Valley through the mixed carload reach many small markets not touched by straight carload shipments. An added complication in the distinction between mixed and straight carload markets may arise from the nature of the mixed carload. The distinction between mixed and straight carloads is not as clear-cut as might be supposed. A mixed car- load of two commodities is more akin to a straight carload than to a mixed carload of, say, seven or more commodities. Many of the carloads of two or three commodities are loaded heavily to one commodity and thus are very much like a straight carload of that vegetable. According to the sample in 1926-27, the vegetable of greatest volume in 38 per cent of the total mixed carloads accounted for more than 7O per cent of the total volume in such carloads; in 1930-31, the vegetable of greatest volume in 25 per cent of the total mixed carloads accounted for more than 70 per cent of the total in such carloads. The two-commodity carloads, beets and carrots mixed, is decidedly a large-market mixture. Mixed Carload Adaptable for Shipment to Large Cities Of cities receiving- mixed carloads during the period 1926-27 to 1930-31, those with a population over 150,000 represented 75 per cent of the total population and received 41 per cent of total shipments of mixed car- loads; those with a population over 500,000 represented 51 per cent of the total population and received 31 per cent of the total number of mixed carloads. It is obvious that large cities make up a large proportion of the consuming capacity. The more important reasons for shipments of mixed carloads to the large cities may be stated as follows; 1. Mixed plantings of vegetables in the Lower Rio Grande Valley are prevalent. While for years, mixed plantings have been advocated by shippers and cooperative marketing associations as the means of develop- ing a profitable mixed carload movement, after the mixed plantings have been established, they in turn have become a potent cause for loading of mixed carloads. Shippers have access to a wide variety of vegetables in their immediate vicinity. It becomes more convenient to load out a considerable volume in mixed carloads, more than the small markets can absorb, rather than to attempt to load the bulk of these vegetables in straight carloads. This inducement to load mixed carloads is one explana- tion for the heavy offering to the trade of mixed carloads by shippers through their brokerage connections. 2. Shipments to large markets facilitate the role of mixed carloads as the means of introducing new vegetables. When an area begins to produce a new vegetable, resistance is always met in the markets even though this vegetable is already being accepted from other producing areas. The chances of finding acceptance are much greater in the large markets than in the small. The small quantities of the new vegetables which the shipper may offer in the mixed carload reduce marketing risks. In cases of this 34 BULLETIN NO. 497, TEXAS AGRICULTURAL EXPERIMENT STATION kind, shippers often consign such vegetables even though the mixed car- load as a whole may have been sold F.O.B. and thus remove all risks on the part of receivers. 3. Relatively large markets may be less than straight carload markets for the specialty vegetables. Only the very largest markets can take such vegetables as anise, escarole, parsley, mustard greens, and broccoli to advantage in straight carloads. When such vegetables are loaded in mixed carloads, for the larger markets, such standard vegetables as cabbage, carrots, and beets are used to complete the load. This accounts for the fact that a considerable volume of vegetables otherwise in the straight carload class, moves in mixed carloads. 4. Small supplies of vegetables are available at the opening of the ship- ping season. When the shipping season opens, growers and-shippers desire to make shipments to the markets at the earliest possible date. Early in the season supplies of the various vegetables in condition fit to ship are limited, making difficult the assembling of straight carloads. A decided advantage of the mixed carload lies in the fact that it makes the small supplies go farther in the sense of making possible the reaching of more markets. Shippers use the mixed carload, particularly in the case of the large markets, as the means of announcing to the trade that the new shipping season is getting under way. 5. Mixed carloads insure vegetables of greater freshness in the markets. Receipts of a given vegetable in straight carload lots may mean that several days will be required before the supply can be disposed of. In the case of the more perishable vegetables, this delay may result in deteriora- tion of quality. Receipts of the same vegetable in smaller quantities in the mixed carload mean that the supply can be turned more rapidly. The difference between straight and mixed carloads may be a matter of receipts once a week of the former and several times a week of the latter. 6. Large markets receive mixed carloads not accepted in the small markets. A shipper may have an F. O. B. carload rejected in a small market. In such an instance, about his only opportunity of disposing of the carload will be that of consignment to one of the larger markets. Some shippers follow the practice of loading mixed carloads without orders. Since more than 90 per cent of the mixed carloads shipped to the small markets are on F. O. B. orders, about the only outlet for the non-order carloads will be to the larger markets. '7. The mixed carload is a desirable unit for direct receipt by the jobber. In the regular marketing system, carload lots are received by the so- called carlot receiver. He, in turn, sells in less than carload lots to the jobber; the jobber then sells to the retailer. So far as the jobber is concerned, the mixed carload may be so loaded as to give him the various vegetables in just the size-lots desired. The jobber by direct receipt eliminates the carlot receiver. Unquestionably, in many of the more important markets, the efforts of jobbers to go around the carlot receiver has been a factor in popularizing the mixed carload. MIXED CARLOAD VEGETABLEDISTRIBUTION FROM RIO GRANDE VALLEY 35 8. The mixed carload is advantageous to the carlot receiver. In assemb- ling variety needed to offer jobbers, the carlot receiver finds the mixed car- load possessing a high degree of flexibility. In a few mixed carloads, he may receive as many different kinds of vegetables as would require a great number of straight carloads. The relation between the volume of the various vegetables can be adjusted more easily through the mixed than the straight carload. To the extent that the carlot receiver caters to the trucker moving produce to outlying markets in the trade area, the mixed carload offers the necessary mixture on a comparatively small plat- form space as contrasted with the straight. 9. The mixed carload reduces marketing risks to carlot receiver. Prices of the various vegetables may vary widely Within short periods of time. The chance of loss on straight carloads is considerable. Through the variety of vegetables received in the mixed carload, the receiver diversifies his risks. Furthermore, produce dealers make much of the point that as one or two vegetables in a market are usually in keen demand, such vegetable or vegetables in a mixed carload help to sell the others. 10. Grower-dealer shipments are facilitated by mixed carloads. A dealer in a large market growing his own vegetables in the Lower Rio Grande Valley often loads mixed carlots rather than straight, largely as a matter of convenience. On a given day, a certain number of straight carloads of such vegetables as cabbage, carrots, beets, parsley, broccoli, and the like are desired. It may be of small concern whether these vegetables are loaded in straight carloads or equivalents in mixed carloads. As harvest- ing progresses for the different vegetables, the completing of a given car- load with some other vegetable than the one being loaded may prove advantageous. 11. Mixed carload shipments to the large markets serve as a balance wheel in keeping in proper adjustment movements to the small markets. A shipper specializing in mixed carload shipments to the smaller markets, from time to time, finds supplies of the various vegetables accumulating on his shipping platform in excess of outlets in the small markets. The supplies of the various vegetables may be insufficient to load out straight carloads. Consequently, when such surpluses are sufficient for a carload, or two, the shipper loads them out in mixed carloads to be consigned to the larger markets. Mixed Carload Shipments Possess Some Undesirable Features Even though’ for a period of twenty years growers and shippers have entertained a high regard for mixed carloads, such shipments possess a number of disadvantages. The more important of these undesirable fea- tures may be stated as follows: 1. The cost of loading is high- The expense to the shipper of loading a mixed carload is higher by $15 to $25 than is the case with the straight carload. Assembling costs run higher. This may be particularly true for vegetables of minor importance wanted in small quantities. More 36 BULLETIN NO. 497, TEXAS AGRICULTURAL EXPERIMENT STATION details are “involved in loading the various vegetables according to specified quantities. After accepting an order, a shipper may find that he cannot load some of the vegetables desired, or in the particular quantities Wanted; or the order may be such as to make impossible loading up to minimum weight requirements. In either event, the shipper needs to get in touch with the receiver, usually through the use of telegrams. This adds to the costs. Even in such a matter as shipping point inspections, fees are higher for the mixed than for the straight carload. 2. The content of the mixed carload is not readily ascertained. The elab- orate system which has been developed by the Market News Service of the United States Department 0f Agriculture in compiling data on shipments of the various vegetables as to such matters as volume, time of shipment, prices, and destinations presumes such data of economic significance to growers, shippers, dealers, and consumers. To the extent that shipments are made in mixed carloads, the accuracy of data on shipments of vegetables is impaired. The mixed carload makes more difficult the work of the crop reporting service. Furthermore, the mixed carload may offer shippers and receivers an opportunity to cover up shipments of specific vegetables whatever may be the motive for so doing. For instance, a loading of 360 crates of carrots and 8 crates of beets is virtually a straight carload of carrots. Still, in statistics on vegetable shipments, it will appear as either beets and carrots mixed, or as simply mixed. _ 3. Maintenance of quality of the various vegetables in the mixed carload is difficult. Even though, in general, a group of vegetables may be fitted for shipment in the same carload, in actual practice a few of these vegetables may suffer deterioration in quality under conditions conducive to maintain the quality of the other vegetables. 4. The order in which vegetables are loaded in the mixed carload should be such as to serve the convenience of the receiver. Upon re- ceipt of a mixed carload, the receiver often finds that he wants one or two vegetables first- If such vegetable, or vegetables, are loaded near the door, all is well; but if in the extreme end of the carload, then a large portion of the carload must be unloaded to get at the desired vegetables. Even though the receiver tries to anticipate demand and gives instructions as to the order of loading, his calculations may be upset by a change in demand by the time the carload arrives. _, 5. Difficulties arise in diverting mixed carloads. The shipper on his F. O. B. transactions always assumes the risk of rejection, for one reason or an- other, on the part of the receiver- The problems connected with the diversion of the mixed carload are more intricate than with the straight. 6. The mixed carload complicates a program of prorated shipments. If under a program of controlled production and marketings of agricultural commodities, steps should be taken to prorate shipments of, say, cabbage and potatoes from the Lower Rio Grande Valley, such control would be greatly complicated by shipments in the mixed carload. The effectiveness of control over straight carload shipments of these commodities might be entirely destroyed through shipments in mixed carloads. Any program of MIXED CARLOAD VEGETABLE DISTRIBUTION FROM RIO GRANDE VALLEY 37 proratzbn, é/ierefbre, Wou/a’ fizz V6’ to 1210/1109 1221x190’ aaz/oaa’ sfi/ja/zze/zzfs: 7Z1?’ would involve a check on all mixed carloads as to quantities of these vegetables loaded and as to destinations. Mixed Carload Sales Predominantly F. O. B. in Small Markets The relationships between types of sales, varieties of vegetables in the mixed carload, and size of cities are shown in Table 13. It is to be noted that as the size of cities increases, the relative importance of the few commodity mixed carloads increases except in the case of the largest Table 13. Receipts and type of sales of mixed carloads according to number of vegetables and size of cities. Shipping season, 1930-31. Percentage of Percentages according Percentages according total according to types of sale to types of sale to number of for carloads for carloads of vegetables of 2, 3, and 4 five commodities Size of in carloads commodities and over cities 1 z 4 I ' . - iofnfm Fgjdgg F.O.B. Delivered F.O.B. Delivered dities and over sales sales sales sales Up to 40,000 26.6 73.4 85.2 14.8 93.0 7.0 40,001 to 150,000 41.2 58.8 72.6 27.4 86.3 13.7 150,001 to 300,000 56.3 43.7 77.0 23.0 82.2 17.8 300,001 I to 1,000,000 | 73.7 26.3 58.2 41.8 57.5 42.5 1,000,001 and over 64.2 35.8 59.7 40.3 35.6 64.4 All cities 47.8 52.2- 70.6 29.4 82.5 17.5 group. In meeting daily requirements in the smaller cities, the individual mixed carload plays an important role. Hence variety is one of its essential attributes. In the larger cities, the single mixed carload is of much less importance in that daily requirements are met by receipts of numerous carloads, both mixed and straight. Hence variety is of much less significance. As the size of cities increases, the relative importance of F. O. B. sales consistently decreases. For the smaller cities, F. O. B. sales run relatively high for mixed carloads of many commodities; for the larger cities, rela- tively high for mixed carloads of few commodities. In the case of the smaller markets, the shipper takes less hazards in consigning mixed car- loads of few than of many commodities. Mixed carloads of few commodities are usually made up of such vegetables as cabbage, carrots, beets, potatoes, onions, and turnips. The demand for these vegetables is rather constant and consistent from one market to another. That is, a mixed carload of this type loaded for one market will generally very nearly fill the requirements of other markets. On the other hand, a mixed carload of many commodi- 38 BULLETIN NO. 497, TEXAS AGRICULTURAL EXPERIMENT STATION ties usually contains one or more vegetables from what may be termed the specialty class. Demand for specialty vegetables is rather erratic as between the different small markets. That is, a loading to meet the requirements of a specific market, may fail to meet the requirements of other markets. In the case of the larger markets, the dealer ordering a mixed carload usually desires such vegetables as parsley, broccoli, mustard greens, and turnip greens in such volume as to fill a carload with but a few commodities. Many of the mixed carloads shipped to the large markets are loaded from surplus accumulations on the shipper’s platform. Variety is a usual characteristic of such accumulations. As has already been indicated, these carloads are generally consigned. The relative merits of F.O.B. and Delivered sales have been for many years a matter of continual interest to growers and shippers in the Lower Rio Grande Valley. In this controversy, growers have usually been decidedly in the favor of the former. One of the strongest arguments advanced in support of the mixed carload has been based on the fact that in the case of such shipments, F. O. B. sales are of relatively greater importance than in the case of straight. SUMMARY For the twenty-one shipping seasons ending with 1930-31, mixed car- loads have accounted for 29 per cent of all carload shipments of vege- tables from the Lower Rio Grande Valley. While a total of 36 vegetables were included in mixed carload shipments during the period, 1926-27 to 1930- 31, cabbage, carrots, beets, potatoes, and green beans made up nearly 80 per cent of the total volume. Chief characteristics of a vegetable important in mixed carload shipments are: 1. Long marketing season. 2. Large and stable demand. 3. Suitability to mixing with other vegetables in the same carload. 4. Marketing season concurrent with that of numer- ous other vegetables. Mixed carloads play a prominent role in distribution of vegetables from the Lower Rio Grande Valley to cities in the United States and Canada through the whole range of sizes from 2,000, and even less, to the largest. The relative importance of mixed carloads decreases as size of cities in- creases. During the five-year period, 1926-27 to 1930-31, cities of 40,000, or less to which mixed carloads were shipped, received an equivalent of 37.5 carloads per 100,000 population in mixed carloads and cities of 1,000,000, or more, 9.3 carloads. As size of cities increases, the relative importance of cabbage decreases and of carrots and beets increases in mixed carloads. Cabbage is used extensively in shipments to small markets as the commodity for complet- ing the load. That is, the carlot receiver specifies the quantities of the various vegetables desired and then indicates that the rest of the carload be loaded with cabbage. Carrots and beets assume largely this role in shipments to large cities. MIXED CARLOAl) VEGETABLE-"DISTRIBUTION FROM RIO GRANDE VALLEY 39 As between straight and mixed carload receipts, small markets receive a very large proportion of such vegetables as carrots, beets, potatoes, green beans, and spinach in mixed carloads; and large markets such vegetables as broccoli, parsley, peppers, endive, anise, and collards. The mixed carload has been a factor in expanding the outlet for staple vegetables in the small markets and» for specialty vegetables in the large markets. . Among the various reasons for mixed carload movement to large markets may be mentioned: relatively large markets may be less than straight carload markets for specialty vegetables; the mixed carload insures vege- tables of greater freshness through more frequent delivery; the shipper loading a mixed carload from accumulations of vegetables on his shipping platform has practically no alternative but to consign such shipments to a large market; the mixed carload may be a desirable unit for direct receipt by the jobber; and the mixed carload enables the carlot receiver to assemble a desired variety of vegetables in fewer carloads than would be possible in straight carloads. Costs of loading a mixed carload are somewhat greater than those of loading a straight carload. The order of loading a mixed carload may not conform to the preference of the carlot receiver at time of receipt. Diversion of mixed carloads in case of rejection is not easily effected. _.A program of controlled shipments is complicated by mixed carload ship- ments. Specific mixed carloads are of greater importance in satisfying re- quirements for vegetables in small markets than in large and carloads of many commodities filled according to F. O. B. order are of greater relative importance in shipments to small than to large markets. A much larger proportion of mixed carloads are consigned to the large markets than to the small. Many of these consigned carloads originate from one of two sources: (1) mixed carloads rejected in small market; (2) mixed carloads loaded from accumulations on the shipper’s platform: such carloads do not conform to the exacting demand in the small markets. Motor truck shipments have largely supplanted mixed carload shipments in two distinct areas: to markets within trucking distance of the Lower Rio Grande Valley; and to markets within trucking distance of the large distributing centers. Three rules, in the main, are now in effect governing minimum weights of mixed carloads. This is both confusing and unsatisfactory. To keep all markets open, a shipper must load a minimum according to that of the vegetable, or vegetables, in the mixture having the higher, or highest, minimum. A standardization of the 25 per cent rule, the vegetable in the mixture having the highest minimum setting the minimum for the carload in case it makes up 25 per cent or more of the total Weight, would be of material benefit to growers and shippers of the Lower Rio Grande Valley. 40 BULLETIN NO. 497, TEXAS AGRICULTURAL EXPERIMENT STATION The mixed carload has been an important factor in lengthening the shipping season for vegetable growers in the Lower Rio Grande Valley. It has been particularly influential in increasing fall and winter shipments. Most of the vegetables now grown in the Lower Rio Grande Valley have been introduced to the markets of the country through the mixed car- load. Such shipments reduce risks to shippers in marketing new vegetables. Small quantities may be shipped to many markets as against a few straight carloads to a limited number of markets. Growers in a vegetable- producing area desiring to move in the direction of greater diversification will find the mixed carload a most useful instrument in accomplishing such a purpose.