Value of Cooperative Benefits to Southern Dairy Farmers

Carolyn Betts Liebrand and K. Charles Ling

No 313028, Research Reports from United States Department of Agriculture, Rural Development

Abstract: This research sought to determine the tradeoff between the benefits of marketing milk through a cooperative and the higher price received by producers selling milk to proprietary handlers. Prices received by farmers selling to cooperatives were compared with the price they could have received from a proprietary handler in the same area. The price differences were examined using various measures. Four groupings of cooperative members with an alternative proprietary handler in their area were used to determine the value of cooperative benefits. The general price difference indicated that, overall, the cooperative members’ mailbox price averaged $0.37 per hundredweight (cwt) lower than the prices paid by proprietary handlers. Those who were satisfied or very satisfied with their cooperative, had lower prices and knew it, received $0.57 per cwt lower mailbox prices.

Keywords: Agribusiness; Demand and Price Analysis; Livestock Production/Industries; Marketing (search for similar items in EconPapers)
Pages: 26
Date: 1991-10
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Citations: View citations in EconPapers (3)

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Persistent link: https://EconPapers.repec.org/RePEc:ags:urdbrr:313028

DOI: 10.22004/ag.econ.313028

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