-14-


cream. In that year sales to dealers accounted for 73.1 percent of
marketing. Of this amount, less than one-half was in the form of
whole milk. By 1960, only 0.7 percent of all farm sales of milk
was farm-separated cream. Whole milk sold to plants accounted for
96.5 percent of the volume marketed. Retail sales to consumers
also declined in the thirty-five year period, from 26.9 percent
of farm marketing in 1925 to 2.8 percent in 1960.

 The disposition of milk used on farms has also changed. For
the United States as a whole, less milk is now consumed by farm
families and more is fed to calves (Table 6). In 1925, 89.8 per-
cent of milk used on farms was for human consumption and 10.2 per-
cent fed to calves. In 1960, 72.5 percent was consumed by farm
residents and 27.5 percent was fed to calves. The human consumption
of milk on farms was proportionally higher in the Southern Region
from 1925 to 1960 than in the entire United States. In 1960,
93.1 percent of farm use of milk was for human consumption and 6.9
percent was fed to calves.


TABLE 6.--Disposition of Milk Used on Farms, United States and Southern
 ,Region, 1925-1960


 : United States: --Southern Region:
Year: : : Total: : : Total
 : Human : Fed to: Farm : Human : Fed to : Farm
 : Consumption: Calves: Use : Consumption: Calves : Use

 Percent___
 1925 89.8 10.2 100.0 98.2 1.8 100.0
 1930 88.0 12.0 100.0 98.0 2.0 100.0
 1935 89.7 10.3 100.0 98.2 1.8 100.0
 1940 87.1 12.9 100.0 97.9 2.1 100.0

 1945 84.6 15.4 100.0 97.1 2.9 100.0
 1950 82.0 18.0 100.0 96.3 3.7 100.0
 1955 77.7 22.3 100.0 95.2 4.8 100.0
 1960 72.5 27.5 100.0 93.1 6,9 100.0


 Source: U. S. Department of Agriculture, Agricultural Marketing
 Service, Dairy Statistics, Statistical Bulletin No. 218 and Supplements
 (Washington, D. C.: October 1957 and June 1960). Also, U. S. Department
 of Agriculture, Economics Research Service, The Dairy Situation (Washing-
 ton, D. C.: April 1961).


 Among the states in the Southern Region, there was a considerable
 range in the percent of output marketed and used on farms. The portion