A Guide to Lower Costs and Greater Efficiency in Curing Cattle Hides

John W. Thompson

No 307204, Agricultural Economic Reports from United States Department of Agriculture, Economic Research Service

Abstract: Excerpts from the report Summary: In-plant curing costs may mean the difference between profit and loss for many hide-processing firms. Efficiency in hide curing also has an important impact on the ability of the American hide and leather industries to compete effectively in domestic and foreign markets. Accordingly, this study was conducted to provide hide processors with guidelines for attaining low curing costs. Two model plants are presented to show the appropriate capital investments, operating costs, and labor requirements that characterize well managed hide-curing establishments. The first model is a conventional pack-salt curing operation with a capacity for curing 500 hides daily. The second model is an agitated brine process followed by fleshing with a capacity for processing 1,000 hides a day. Results of this study indicate that hides can be cured by the pack-salt method for 83 cents per hide or $1.39 per hundredweight on a cured basis. Total curing costs for this method can be broken down as follows: Taxes, interest, and depreciation 14 percent; labor 46 percent; salt 20 percent; and all other costs 20 percent.

Keywords: Labor and Human Capital; Livestock Production/Industries; Production Economics; Research Methods/Statistical Methods (search for similar items in EconPapers)
Pages: 20
Date: 1964-05
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Persistent link: https://EconPapers.repec.org/RePEc:ags:uerser:307204

DOI: 10.22004/ag.econ.307204

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