-39-


TABLE 23.--Average Percent Utilization of Processing Capacity in Fluid
 Milk Processing Plants by Milk Marketing Area and Size of
 Plant, April and October 1959


 Size of : Milk Marketing Area: All
 Plant :Northwest :Northeast :Central: Tampa Bay: Southeast: Areas
 Percent

 Small 34.8 37.5 53.5 77.7 54.7 46.8
 Medium 71.8 53.6 121.1 48.5 59.8 64.1
 Large 57.4 91.0 70.6 30.8 62.8 58.4

 All Plants 60.6 63.3 77.6 34.1 62.2 59.9


 Source: Based on data in Table 20 and Appendix B.


medium firms operated at the highest capacity. Largest size dairy
plants in Northeast and Southeast Florida were most efficient. Changes
over time in relative market shares of the various milk plants could
be a possible cause of the variation within size groups in percent
of capacity utilized. Firms of any size can experience declining
market shares of total fluid milk sales. If processing equipment
were of optimum capacity when purchased, declining sales would result
in lower utilization of the rated plant capacity. Unfortunately,
data are not available to show whether such changes in market shares
did occur over time. Also, a firm may build a new large plant in
anticipation of market growth. Until the expected increase in volume
is realized, processing capacity will not be utilized at the rated
level.


 Market Shares of Firms

 The market share of fluid milk sales for small firms tended to
decrease with increasing size of market (Table 24). In Northwest
Florida, where there were no large firms, eight small plants shared
slightly more than ten percent of the total market sales of fluid milk.
In Northeast Florida, the combined sales of nine small firms was
14.6 percent of the market. The one large firm in this area averaged
17.4 percent of daily market-wide sales. Approximately two-thirds of
the total fluid milk sales in Tampa Bay was shared by four large
dairies; in Southeast Florida, five plants shared about two-thirds of