156 Agricultural Economics Society.

SOME ECONOMIC PROBLEMS of the STRAWBERRY INDUSTRY.

With special reference to conditions in the South Hampshire area. By EDGAR THOMAS.

A significant feature of the reorientation of farming in this country during the present century has been the development of the fruit industry, and in this development strawberry growing has played an important part.

Official annual estimates of the total acreage under all kinds of small fruit in England and Wales are available as far back as 1887, but the acreages under the different kinds of fruit were first given separately in 1907, so that reasonably accurate information of the extent of the strawberry industry dates from that year. The acreages given in the official statistics include areas devoted entirely to strawberries, as well as areas on which a variety of fruit is grown, but on which strawberries preponderate. The official figures are subject to one important limitation in that, like all other agricultural statistics collected during the fourth of June census, they do not apply to holdings under one acre in size. In the case of strawberries, a crop often grown in gardens and odd plots of land, it is inevitable, therefore, that a certain acreage goes unrecorded. Apart from this, however, there is no reason for doubting that the official figures present a useful picture of the general trend of the acreage of strawberries grown for commercial purposes in the country.

In 1907 the total area under strawberries in England and Wales was given as 24,403 acres. Inasmuch as this was the first year for this information to be collected, the figure given may be an under-statement. The highest acreage recorded before the war was 26,682 in 1909, after which there was a drop to 20,968 acres in 1912, to be followed again by an increase in the next two years, the acreage in 1914 being 23,374. During the war period there was a very material reduction in the acreage under strawberries as well as under small fruit generally. By 1918 the total area had dropped to 13,143 acres, or to only just over one half the 1914 acreage. By 1920, however, a definite boom in strawberries appears to have set in, and very rapid expansion of area continued up to 1924. In that year a total of 29,513 acres was returned as being under the crop, an acreage 26 per cent. above the pre-war level, and the largest ever recorded as being under strawberries in this country. It seems, however, that by 1924 the limit of profitable expansion had been reached, for the next five years witnessed a considerable restriction of area which was particularly marked in 1927 and in 1928. In 1928 the total area under the crop was once again less than the pre-war figure, and by 1929 it had dropped to 20,361 acres, a reduction of 9,152 acres or 31 per cent. in five years. The figures for 1930 and 1931, however, indicate that once more the acreage under the crop is being increased. The 1931 acreage was 23,032, which is only 342 acres less than in 1914, but is still 6,481 acres less than in the peak year 1924.

Although the official figures show that there is some acreage under strawberries in every county except five in England and Wales, the bulk of

Proceedings of Conference. 157

the crop is grown in a few well known districts. These districts, in order of acreage grown are as follows : Kent, Norfolk, Cambridge (with Isle of Ely), Lincolnshire (Holland Division), Hampshire, Worcester, Essex, and Devon and Cornwall. These counties together account for over 82 per cent. of the total area grown. As compared with the pre-war position the greatest expansion of acreage has occurred in Norfolk, in Lincolnshire, and in Essex.

I t is generally recognised that changes in yield are of even greater im- portance than changes in acreages in determining the total available supplies of most fruit and vegetable crops, But it is an extremely difiicult matter to arrive at any satisfactory estimate of average yield, largely because for any one crop in any one year the variations in yield between district and district and even within the same district may be so considerable as to render any average figure very largely meaningless. Nevertheless, provided their limitations are thoroughly realised, estimates of average yields are of consider- able importance in making possible a rough calculation of total output. Estimates of the average yields of strawberries were calculated in connection with the Census of Production in 1908, in 1913 and in 1924. Since 1923, as the result of a suggestion made by the Linlithgow Committee, estimates of yield have been included in the annual Agricultural Statistics. These estimates are based on reports made by officers of the Ministry of Agriculture possessing intimate local knowledge of prevailing conditions. A serious feature of these published estimates of the average yield of the strawberry crop has been the almost continuous decrease revealed. This reduction in yield has been most serious since 1925. In that year the average yield was estimated at 24 cwts. per acre, but by 1929 it had been reduced to 15.7 cwts. In 1930 there was a slight recovery, to be followed last year by a still more appreciable improve- ment. In common with other fruit the yield of strawberries is, of course, largely dependent on the vagaries of the weather, spring frosts and early summer drought being the chief villains in the piece. Apart from these weather conditions, however, there are reasons for fearing that, in some of the more important districts a t least, the cropping capacity of the strawberry plant has suffered serious deterioration during the last five or six years. A study of the causes of this lessened vitality is engaging the serious attention of the scientific research workers I t is generally agreed that the root of the trouble goes back to the rapid expansion of area which occurred in 1922, 1923 and 1924, this expansion being only made possible by the use of inferior and often unhealthy plants, as sufficient numbers of good strong healthy runners were not available for planting up new land at the rapid rate which then occurred.

The combination of this decrease in yield with the reduction in acreage has naturally resulted in a very big drop in the total quantity of the home crop in some years. Thus in 1924 the home output was estimated at 830,000 cwts., but by 1929 it had dropped to only 340,000 cwts., a decrease of almost 60 per cent. Last year the home output was estimated to be 717,000 cwts. which is nearly twice the output of each of the previous four years, and the largest crop since 1924.

After increasing steadily for four years, imports of strawberries in 1930 showed a pronounced decline, but in 1931 the trade again increased to the highest total ever recorded, viz., 89,892 cwts. France and Holland together share the bulk of the import trade, supplies from other countries being very small. In the past the bulk of these foreign supplies have arrived before the home crop was ready for marketing, but in the last few years there has been a tendency for a somewhat later arrival, so that they have entered into more direct competition with the supplies of the earlier English districts, such as

158 Agricultural Economics Society.

Hampshire and the Tamar Valley. Imports of strawberry pulp are more considerable than the imports of the fresh fruit, the Empire Marketing Board estimate that supplies of imported strawberries and strawberry pulp combined in 1931 must have exceeded 350,000 cwts. Both fresh strawberries and pulp are subject to the new import duties. The duty on fresh strawberries is 216 per lb. between 1st April and 31st May, froin June 1st to 25th inclusive i t is 6d. per lb., and thereafter 10 per cent. of their value. imports of fruit pulp preserved with SO, are subject to an import duty of 25 per cent.

PRO DUCTION, The strawberry is a crop which is grown under a great variety of conditions,

both of soil and of rotation. The main areas of production may be conveniently divided into two groups. In the first group come Kent and the neighbouring counties where the crop is grown on a large scale, and takes its place in the general rotational scheme of the farming. In other districts, and particularly in South Hampshire, strawberry growing is a much more specialised occupation, to a large extent carried on by a large number of very small growers many of whom are almost entirely dependent on the crop for their livelihood. Over large areas of these latter districts, very little rotation is practised indeed in the Hampshire area, it is usual for the crop to be grown on the same plot for many years without a break. There are many Hampshire growers who have done so for pci-iods of over 20 years, and there are a few who have succeeded in growing strawberries continuously for over 30 years with only a very occasional fallow break. It is obvious that given this wide range of conditions under which the crop is grown, there are corresponding wide variations in the refinements of cultivation, but this is not the place to enlarge on these.

’ h e average producing life of a strawberry bed at the present day is three years. The first, or maiden year, may or may not be regarded as a cropping year, the main crop being picked during the second and third years. In the Hampshire area at least, one of the most serious manifestations of the inferior stamina of the strawberry is the increasing difficulty experienced in getting the plants to crop in the third year, while there is good evidence that within comparatively recent times beds could be relied upon for four, five or even more years.

Generally speaking the production of the strawberry is not a very difficult process. Given suitable physical conditions of soil and climate i t should be well within the ability of most persons of average intelligence to grow the crop successfully even without much previous acquaintance with its cultivation. This is not to suggest that the wealth of acquired lore which experienced growers have accumulated does not stand them in good stead. On the coiltrary, in strawberry growing, as in most acts of husbandry, there is a certain native element which makes it possible for its possessor to turn his berrics into gold in a way which his less skilled neighbour can never quite succcccl in doing. I t is not necessary to give here any descriptive account of the process of cultivation, but the more important factors making for success may be indicated. These are as follows : adequate preliminary cultivations, use of good varieties of plants and in particular good “ strains,” adequate manuring, liberal hoeing and cleaning, and reasonable protection against diseases and pests. On all these technical aspects of cultivation there is no reason why all growers should not be well informed, as every facility is available for securing the necessary advice and guidance.

l’assing on to a brief consideration of the costs of production we may, in the absence of other figures, use the data which my colleagues collected in Hampshire for the 1931 crop. These data were collected by the survey

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method, and they apply to the cost of producing 1,797 tons of strawberries from 1,312 acres grown by 350 growers in the Southampton district. So far as this district is concerned we have every reason for believing that the figures are representative. The total costs of production amounted to k83,328, which is equivalent to a cost of k63 9s. 9d. per acre or 497d. per lb. of fruit. I t will be seen at once that, as compared with most other farm crops, the costs per acre of growing strawberries is very high. By expressing the various items of costs in two different groupings it is possible to show clearly the main problems of the grower so far as costs are concerned. In the first place 55 per cent. of the total costs was for labour, 23 per cent. for marketing, and the remaining 22 per cent. was for production costs other than labour. In the second place, approximately one-half the costs was incurred previous to picking, and one-half was for picking and marketing. The first statement shows labour to be the predominant item of cost, and also shows the very considerable importance of the marketing charges. The second statement shows that while one half the cost was spread over the greater part of the producing year, the other half was incurred within two or three weeks at the end of the season.

In arriving at this figure we have charged family labour (which is far more important than hired labour in Hants) a t current rates of wages. There are many objections to this, but in estimating the time spent by the family on the crop we took a conservative figure, and we have reasons for believing that, if our final labour cost errs a t all, it is an underestimate. When it is stated that approximately 50 per cent. of the labour was utilised for picking, it will at once be realised that the major problem of organisation confronting the grower is that of picking. Moreover, the majority of growers realise today that of all their operations, the picking and the packing of the fruit has definitely most influence on the price obtained in the open market.

The dearth of good pickers has, in recent years, been a serious difficulty which the growers have had to meet. Apart from efficiency in picking, it is necessary that the grower should be able to place full trust in his pickers throughout the season. Supervision of picking by the grower himself has to be scant on account of the many other duties to which he has to attend during the season. In this respect the small grower who can rely entirely or for the most part on family labour for picking has a definite advantage over the large grower employing a band of 20 or more pickers. Where possible, growers try to retain the service of the same gangs year after year, and some growers in the Hampshire area have succeeded in doing this for ten years and more.

There are five main sources from which this special picking labour is recruited : (1) Gypsy pickers come into the area each year shortly before the picking season and stay until preparations for the following year are begun. Opinions vary as to the efficiency and reliability of this group, some growers having employed the same gypsy families for a number of years with satis- faction, while others are prejudiced against them ; (2) Local pickers, consisting of a group of mainly female and child labour. I t is of interest to note that it is customary in Hampshire to give “ picking ” holidays in the local schools. This group of pickers is usually very efficient, many of the children being enthusiastic and first class pickers ; (3) Friends and neighbours who usually pick year after year for the same growers. This group may be paid or unpaid ; (4) Members of the family, who work for the most part unpaid and thereby help materially in keeping down the growers’ expenditure. This group having a personal interest in the work proves the most efficient type ; (5) Unemployed persons from the neighbouring towns and districts ; these usually suffer from

The total cost of labour was just over i3.5 per acre.

1 lj0 Agracultural Economics Society.

lack of experience. In 1931, so far as we were able to find out, the hired pickers were recruited as follows : 60 per cent. local, 35 per cent. gypsy and 5 per cent. unemployed.

A good picker should be able to discriminate between the unripe and the over-ripe fruit, to pick an even sample, and to touch the berries as little as possible in picking. Experienced pickers sever the stalk with the finger nail and avoid handling the berry entirely. Pickers generally work in gangs, and the aim is to cover the holding once every two days. The work starts a t five or six o’clock in the morning and is carried on until late a t night with only short intervals for meals. The grower aims to regulate the rate of picking according to the times of departure of the trains for his various markets. It is not considered desirable to hasten the rate of picking by increasing the output per picker, for the grower is well aware of the possible bad results which would be obtained. The good picker is expected to pick on an average between 7 3 and 100 baskets per day of nine hours. Even experienced growers find it difficult sometimes to estimate from the apparent prospects of the crop how much labour will be required to pick it. For instance, last season a number of growers were in difficulties in the first week when a hot week-end brought on the crop with such rapidity that on the following Monday they found themselves without an adequate supply of labour to clear it. In Hampshire it is the custom for pickers to pick into one basket a t a time, although when grading is attempted two baskets may be used. In the few cases where growers grade for the National Mark, selected pickers (usually members of the family or regular employees) go ahead of the gang selecting and picking the fruit. I t is this need for selecting and picking to be carried out in one operation that makes the grading of strawberries comparatively difficult, for inspection of the fruit after picking must, on account of its soft nature, be only a surface one.

Approximately 31 per cent. of the growers paid piece rates only, and 56 per cent. paid hour rates. Only a few growers paid day rates and week rates. Some growers switched over from piece rates a t the beginning of the season when the fruit was scarce to hour rates a t the height of the season when the pickers could be kept fully employed. Wherever the pickers themselves were given the choice, they invariably chose time rates. The most usual piece rate was gd. per lb. with, in some cases, a bonus paid at the end of the season, apparently to prevent the pickers being lured away by other growers. With reliable pickers, growers seemed to be satisfied with this system. Picking by the hour ensures good steady picking, a fair average rate, and an easy check on the wages due to each picker at the end of the day. Growers hardly ever had cause to complain of slackness and poor output where this method was used, although the cost per pound was somewhat higher. The usual rate of pay was 8d. per hour for men and 6d. for women. Early morning picking was often paid at the rate of l/- per hour.

Costs of cultivation other than labour amounted to a total of L13 15s. 2d. per acre, the chief items being : rent, It;2 18s. 10d. ; horse labour, L1 16s. Id. ; manures, E4 16s. 5d. , plants, L1 Is. 10d. ; straw, g2 14s. l l d . ; and sundries, 7s. Id. The average figure for rent is lower than might be expected, but rents ranged from f;l per acre to as much as L5 per acre. Approximately 58 per cent of the growers owned their holdings, 21 per cent. were part owners, and 21 per cent. were tenants. In the early days of the industry it appears that strawberry land was worth about L30 per acre, but by 1914 its market value had risen to from ;670 to @O, and during the period of rapid expansion between 1919 and 1922 it sold readily a t from El00 to $200 per acre. Since then prices

Pickers were engaged at both time rates and piece rates.

Children were usually paid by the chip.

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have again declined and good land can now be bought a t the pre-war price of from ;670 to fIS0 per acre, and it is often difficult to find buyers even at these prices. A much higher outlay might also have been expected for manures, since the strawberry requires and usually gets heavy dressings of both farmyard and artificial manures. Some of the growers had manure bills of fIl0 to fI15 per acre, while many others applied next to nothing during the year of the survey. The explanation for this is that the expenditure of the majority of the growers in the district is decided as much by their financial resources as by the requirements of the crop. This applies not only to expenditure on manures but to expenditure on most other things, even including in some cases the amount of hired labour that is employed in picking. There are reasons for believing that this tendency to cut down expenditure to the barest minimum, particularly on manures and labour, is already affecting the stamina of the crops as well as resulting in a loss of soil fertility.

There are very definite indications that as a result of a number of consecutive bad seasons, many growers in South Hampshire have come to the end of their financial resources. This is particularly true of those growers who entered the industry after the war and who have had the benefit so far of only one or a t most two good seasons. Owner occupiers who raised money on mortgage through the banks and through private persons have exhausted these sources of credit. As a result, more and more growers are becoming dependent on the local tradesmen for fresh credit, and it is becoming increasingly common for growers to pay most of their tradesmen's bills once a year, and that immediately after the season is over. It would appear that very little credit is obtained from salesmen and others concerned with the marketing of the crop, although a few salesmen do advance loans at the beginning of the season to pay immediate seasonal expenses. The growers, however, are well aware of the disadvantages of incurring any obligations to the salesmen, and whenever possible this source of credit is avoided.

MARKETING. It is no exaggeration to state that in the strawberry industry the economic

problems of marketing are of far greater importance than'are the economic problems of production.

The localisation of the industry in a few producing areas a t very consider- able distances from the chief consuming centres resulted early in a large measure of joint action on the part of producers for purposes of transport. In South Hampshire, for instance, the growers, through their Association have, for many years, succeeded in obtaining very considerable advantages from the railway companies. At present most of the fruit is despatched in special shelved vans, special loading facilities are provided at the local stations, special rates are conceded, and a special fast goods service time-table is arranged annually during the season. This service covers practically every important town in England, Wales, Scotland and Ireland. A system of grouping the centres allows most of the fruit to run direct to its destination station without being moved from the loading van. The following extract from the Annual Report of the Growers' Association shows the appreciation of the growers for the service rendered by the railways, and at the same time gives some indication of the difficulties with which that service has to cope. : " The general railway arrangements for the despatch and conveyance of our fruit were again most satisfactory, in fact, we do not remember a year with fewer railway complaints. The facilities . . . . consisted of an efficient service of trains to all the principal markets. The loading arrangements a t the local stations worked very smoothly, which enabled the fruit specials to be despatched in good time. The average

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late departure per train from the area this year was only six minutes behind schedule which, considering the very heavy loadings, especially during the height of the season, was remarkably good. As an illustration of how the traffic increased in one week, we give the actual figures : for the week ended June 20th, 283,138 baskets were despatched by rail, whilst for the week ended June 27th, 1,250,941 were expeditiously handled. The highest daily loading was on June 26th, when 674,185 baskets were railed, this total is a record for recent years.” Although the bulk of the fruit is necessarily despatched by rail, increasing quantities are being sent by road to London and other towns within reach of the area. Of a total of 34,207 cwt. of fruit 86.6 per cent. went by rail and only 13.4 per cent. by road last year.

For 1,797 tons of fruit about which we had information transport costs amounted to 0.71d. per lb., 74 per cent. of which was for rail transport, 13.9 per cent. for cartage to the railway station, and 12.1 per cent. for direct road transport to market. The special rates granted by the railway companies are limited to consignments of 1 cwt. and above. Rates are quoted for over 150 different destinations, the highest being 1013 per cwt. from Swanwick to Aberdeen. All rail charges must be paid by the sender at the forwarding station, but the Company allows temporary weekly credit. Accounts are rendered each Saturday throughout the season and must be settled not later than the following Wednesday, otherwise further traffic is not accepted for transit until payment is made. The fruit is brought to the loading station either by the grower himself or by a hired carrier, charges varying from 6d. to 8d. per dozen 2 lb. chips according to the distance from the station. For direct road transport to London the usual charge is lgd. per chip.

I t has recently been stated that so far as grading, packages and packing are concerned “ the marketing of the English strawberry crop has reached a high degree of efficiency which is unequalled in the case of any other single fruit.” The great progress made is well illustrated in the changes which Hampshire growers have introduced in the type of packages in common use. Twenty years ago the semi-returnable “gal lon” was generally used. This was a wicker handle basket with a capacity of about 9 lbs. By 1915 the crop was marketed in 4 lb. chips, and by 1918 this in turn had largely given way to the 3 Ib. chip. The 3 lb. chip held the field until about 1925, when the 2 lb. chip was being increasingly used. Since about 1928 the 2 lb. chip has been used for most of the dessert fruit trade. At the same time growers were learning that such practices as returning incorrect weights, over-filling of containers, and, last but not least, the practice of “ topping ” did not pay. All these practices have largely died out, and growers for the most part now realise that a reputation for well-packed and reliable fruit is their best guarantee of a good price. I t is probable that this general levelling up which has been going on for several years is partly responsible for the fact that the “ National Mark ” grades which now applv to strawberries have not been more widely adopted.

The grower may sell his fruit direct to the consumer, to tlie retailer, to the wholesaler, or through the commission salesman. In the Hampshire area the last method, z.e., sale through the commission salesman, is by far the most important, all the other methods of sale being comparatively insignificant. These coininisiion salesmen visit the area just before the picking season for the purpose of obtaining tlie growers’ custom. The competition between them is very keen. The usual practice is for the salesmen to leave their firms’ covers with the growers, but the acceptance of these covers by the growers does not carry any obligation to sell. A grower may have covers from as many as 30 different salesmen and each of these may or may not receive consignments. ’Fhe Growers’ Association publish annually a Register of Salesmen, which

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contains the names of those salesmen whom the Executive Council have every reason to believe, after having made careful enquiries, are of good standing and thoroughly reliable. The names of any defaulters are put before the growers at their General Meeting. Since the formation of the Association it has been successful in recovering for growers over L2,OOO from defaulting salesmen. Growers are warned not to send consignments to any salesman whose name does not appear on the register. According to the annual report those whose names appeared in 1931, with one exception, honourably fulfilled their obligations.

Sale by forward contract is very unusual and growers may change their markets and their salesmen continuously during the season, although in the majority of cases long standing arrangements between growers and salesmen are welcomed. Salesmen advise growers with whom they have established contact, of the state of their markets, and when supplies are likely to be low wires are broadcast into the area for fresh supplies. Apart from this rather haphazard method very little is consciously done to ensure the orderly feeding of the markets. There is, however, one interesting exception. A large Southampton firm of fruit brokers runs a so-called “ Clearance Scheme ” for the area. Under this scheme the growers consign the fruit daily on the advice of the firm, who, in turn, have arrangements with salesmen and other agents in all the important towns who keep them fully posted with market trends. The firm holds itself responsible for all consignments and also collects the money from the salesmen. Complete statements of sales are sent to each grower at the end of the season, and cheques on account are sent directly growers commence forwarding through the scheme, and on every Tuesday throughout the season. This scheme would appear to contain the essentials for a rational marketing system for the area.

Sales other than through the commission salesman are relatively unimportant in Hampshire, although some growers do sell direct to wholesalers in distant markets and others sell direct to retailers either in shops or hotels in neigh- bouring towns. Direct retailing by the growers themselves is not considerable, although there are many roadside stands to be found throughout the area.

There is some difficulty in giving details of the actual amount of the selling charges incurred under the different methods of sale. Although it is now legally possible for every grower to demand full details of every item of expenditure from the seller of his fruit, many growers still prefer to trade on a net basis. However, we obtained ample evidence of the very great variation in the commission charged by the salesmen, amounting in some cases to the exorbitant figure of 40 per cent. of the value of the produce sold. More generally, commissions charged ranged from 5 per cent. to 15 per cent. with an average charge of from 74 per cent. to 10 per cent. I t was customary for the method of charging the commission to be altered according to the level of prices. Thus when prices were 1/- or over a commission of 10 per cent. plus Id. was charged, but when prices were under l/- a flat rate of 2d. per chip was substituted. In the case of 683,507 lbs. of fruit sold on commission and not on a net basis, we found that all salesmen’s charges amounted to 0-86d. per lb. or just over 15 per cent. of the gross price. These charges were made up as follows :-Commission, 0-50d. ; porterage, 0.26d. ; cartage, 0.05d. ; market tolls, 0.03d. ; and telegrams, 0.02d. Porterage and cartage charges are incurred in conveying the fruit from the railway station to the market and unloading there. The usual charge for porterage was Id. per chip and the charges are highest in London. Very considerable variations were found in the amounts charged for market tolls, the Covent Garden charge being Id. per chip whether 2 lbs. or 3 lbs. in weight.

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PRICES. The compilation of the average prices of most soft fruit is a work hedged

around with very considerable difficulties. This is because most of the product is not standardised, it is sold in quantities of variable unit measure, and no reliable data of the supplies of the various grades are available. The official price data available must, therefore, be considered to give only a very general picture of the actual conditions. These official prices are published weekly in the Agricultural Market Report, in the Weekly Fruit Intelligence Notes, as well as in various trade papers. Average seasonal prices are also given in the annual agricultural statistics, but the very rapid drop in prices which occurs in the comparatively short strawberry season renders these seasonal averages of very doubtful value.

The average price per lb. obtained by 350 Hampshire growers in 1931 was 4-45d. In the first days of the season which started about June 9th, the average price realised was 1/6 per lb., but after some five or six days there was a very considerable drop and after the 15th June very few growers received over 1/- per lb., by June 21st prices had reached a level of slightly over 6d. per Ib., thereafter prices fell more gradually, the ruling price from the end of the month to the end of the season (about July 10th) being slightly over 3d. per Ib. These figures illustrate the most important characteristic of the seasonal price trend, viz., the very rapid drop in prices after the first few days of the season. Unlike most other soft fruit, the prices of strawberries rarely tend to recover towards the end of the season, probably because as the season advances both demand becomes increasingly laggard and the quality of the fruit deteriorates. The sudden drop in price after the pick of the season is over is undoubtedly accompanied by a very considerable increase in demand, and also by an important change in the class of consumer. The Hampshire grower, while aiming at capturing the choice early market, also takes full advantage of the late market. He sends most of his early crop to London, but later the best market for his main crop is in the north, while his “ bacli- end ” fruit finds a ready sale in South Wales. Demand also fluctuates from day to day of the week, and also with the weather. Thus the week-end and other holidays are days of easy sale, and wet days specially mean a much lessened demand. In this respect the weather fortunately affects the supply in the same manner as it affects the demand, since the hot sunny days which bring the crop on rapidly are also the days when people are most ready to buy strawberries.

Although it is possible to indicate a few general tendencies of this kind, it is very difficult to suggest adequate explanations for the many variations in prices which obtain, so far as these are revealed by the fairly full data on producers’ prices which we have collected. Thus in the price schedule of a single day all the following types of variations might be found : variation from market to market, variation between salesmen in the same market, variation between growers supplying the same salesmen, and even variations between different consignments of approximately identical quality supplied by the same grower to the same salesman. It is easier to indicate the characteristics of the methods of those growers who succeeded in obtaining consistently high prices, than it is to attempt an explanation of the price differentials indicated above. Briefly, the best prices were secured by those growers who (1) produced good quality fruit, firm and well flavoured ; ( 2 ) observed the canons of efficient grading and packing ; (3) discriminated in their choice of both markets and salesmen for the different grades of fruit; (4) avoided too much change of salesmen, giving their buyers a moderately regular supply ; (5) attempted to arrange for their fruit to arrive at its destination in the early morning.

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ORGANISATION. In conclusion it is necessary to say something about the general organisa-

tion of the industry. In particular three points will be dealt with very briefly, viz. : (1) organisation of production ; (2) organisation of marketing ; and (3) relations with the jam and canning industries.

Two questions of importance arising from a consideration of the organisa- tion of production are (1) the advantages and disadvantages of localisation, and (2) the relative merits of large and small growers. The industry has so far developed a considerable degree of localisation, the bulk of the crop being grown in certain well defined areas. This must be regarded as partly accidental, for it is not entirely due to the influence of soil and climate. In fact many of the strawberry beds in South Hampshire are on soil which would not be considered ideal for the purpose. Localisation of production through facilitating the assembly of the product has very definite advantages for the organised feeding of the dessert market, while its advantages from the point of view of the manufacturing industries are even more pronounced. On the other hand, where conditions of soil and climate permit, it might be well worth while developing the production of strawberries in the neighbourhood of important consuming centres, thereby cutting out the expense, and even more important the time lag, entailed in transporting to distant markets.

I t was stated earlier that the strawberry areas might be divided into two groups according as to whether large or small growers predominated. The advantages of the large man are by no means so obvious in strawberry growing as in the case of the majority of other farm crops. I t is probably true that the large grower has lower cultivation costs, and possibly gains advantages in the bulk purchase of plants, manures, etc., but it has also been demonstrated that these costs account for only one-half the total costs of production. In the general supervision of the strawberry beds, and particularly in the skill and timeliness of the picking-factors of the greatest importance for success- the small grower possesses equally undoubted advantages. In Hampshire a t least, many of the growers are working on a precariously small scale, depending almost entirely as they do on the strawberry crop for their living. Amongst this colony of small growers there is ample scope for improvement in the layout of the plots, and this, together with a greater diversity of enterprises would go far to improve their financial prospects.

Organisation of the industry for marketing means primarily a more rational system of feeding the markets. The very short but intensive life of the dessert market for strawberries makes it essential that the marketing system should be as flexible as possible. I t is probably true that so far as the retail trade is concerned the present individual basis of the marketing organisation serves the purpose well. The existence of the commission salesman has much to recommend it, but the suggestion might be made that the compulsory licensing of all salesmen would be a decided improvement. In the Hampshire area, although the bottle-neck exit of the railways has necessitated a consider- able measure of co-ordinated action on the part of producers, the producers still market their fruit individually, with the result that they lose much of the benefit of the organisation which they themselves have worked up. At present the activities of the Growers’ Association, so far as marketing is concerned, are limited to the negotiations with the railway companies for transport facilities and to the publishing of the register of reliable salesmen. It would seem but a short step for all growers to consign their produce through the Association somewhat on the lines of the Southampton “ clearance scheme,” already described. This would undoubtedly provide the basis for

166 Apicultural Ecoizornics Society.

the rational supplying of the various markets, while it would give the small grower the advantages of bulk consignments which at present he forfeits.

Even in Hampshire, where the main interest centres on the dessert market, there is a large surplus of fruit which cannot find a sale in that way. It is impossilde to give a statistical measure of this surplus for it varies considerably from year to year. The fact that last season under 4 per cent. of the total sales was to the jam manufacturers is no indication a t all of the true situation, for some hundreds of tons of fruit were left unpicked as the price offered by the manufactuers (only LlO per ton towards the end of the season) barely covercd the cost of picking. When it is remembered that in other areas much greater reliance is placed on this outlet, its importance to the industry can be realised. The Hampshire people have in past years, through their Association, made a collective bargain with some of the leading jam manu- facturers for jam fruit. I t was probably the plentiful supply of foreign pulp which accounted for the break down of this arrangement in 1931.

The position of the new canning industry is somewhat different, for it requires fruit of a quality comparable to that of the dessert market. As no canning factory exists so far in Hampshire, Hampshire growers have had hardly anything to do with this outlet. It would appear that the canning industry in many ways requires a conscious effort to meet its special needs on the part of producers. l h i s means that the canning industry is not primarily concerned with the utilisation of the surplus output of growers catering for another market. In many areas there is in all probability a considerable future for the canneries on these lines. But in areas catering mainly for the dessert trade it is not easy to see how the somewhat conflicting interests of the grower and the canner can be reconciled, unless the growers collectively decide to become the canners of their own surplus.

I ~ I S C U S S I ~ N O N MK. ' I 'HOLIAS' PAPBR. L. K . L . l n ? / ~ i ~ ~ . l :-L)icl not the survey take into account any very careful work in other

areas besides Ha~npshire ?

I < . Thomas :-No, our survey did not. I t may be of interest t o state, however, that there is now a scheme for investigating the costs of production in all the important areas. The investigation will probably go on for three years, which is the normal life of a s t r a w berry bcd, and a report n i l 1 be published then. 1 believe one or two surveys on similar lines to ours have been attempted, one in the Cheddar valley anyway.

l'vo/cssor Hrnndt :--Jlay I ask where the imported pulp is coming from ?

1:. 'l'honzas :-The bulk of i t comes from Holland.

J . Ll.ylZze :-I should like to refer t o Mr. Thomas' remarks about the relative position of large and small straivbcrry-growers. hIr. Thomas has given us figures showing that an average cost for what I suppose would be small growers is about f;63 an acre. Mr. Thomas may be interested to know that if he were to mention that figure as being anything like the probable cost of producing an acre of strawberries on some of the large strawberry farms i n Kent, he would not be believed. My second point is not an economic point at all, but i t SLL~IIIS to me that hlr. Thomas might have developed a little the variation in the yields per acre according to seasonal differences. Strawberry-growers tell me that their greatest encmy is neither disease nor soil conditions but simply the weather. Declining yields may be due largely, not to the falling-off in the stamina of the plant, or t o inefficient manuring, but simply to unhvourable weather conditions.

h'. (;. rl.lcClyn?ont :-In Scotland the bulk of the straLvberry crop is grown in the counties ol Idanark, Perth, .qngus, East Lothian and hberdeen, and the total pre-war area \vas in the region of 3,000 acres, of which Lanark represented nearly 1,400. During the war period there \vas, as in England, a considerable reduction, until in 1919 the total for the country \\as under 2,000 acres. This represents a smaller proportional decline than was experienced in lhgland and especially in Lanark the decline in acreage was not nearly so great in proportion. To the fall of 1,000 acres between 1914 and 1919 Lanark only contributed about :100 acres.

Proceedings of Conference. 167

During the post-war period the acreage in Scotland gradually rose to 2.700 in 1917, but there is no evidence there of any boom between 1920 and 1924 as in England. Since 1927 the acreage has again declined to about 2,000 acres in 1930, the greatest fall being experienced in 1928. Between 1919 and 1927 the Lanark acreage only rose by a little over 100 acres as against 700 for the whole country, while the recent decline is almost wholly accounted for by the fall in the Lanark acreage from 1,200 in 1927 to 750 in 1930. This post-war decline which affects Lanarkshire in particular appears to be associated with the prevalence of the so-called Lanarkshire Strawberry Disease which first msde its appearance about 1920 and rapidly spread.

In Scotland, while the area under small fruit is ascertained annually in the Agricultural Returns, no regular estimates of yield are made. Inquiries in connexion with the Census of Production in 1925, however, elicited the information that of the total area of 2,477 acres of strawberries returned in that year 80 per cent. were actually in bearing and the estimated yield is given as 26 cwts. per acre. The preliminary figures just issued for the 1930 Census give a total area of 2,106 acres, of which 79 per cent. were actually in bedring and the yield is estimated at 25h cwts. There does not therefore appear to be evidence in the published statistics of so serious a decline in yield in Scotland as has been cxperienced in England.

L. K . Elrnhirst :-What is the average size of the holding in Hampshire ?

E. Thomas :-The majority are under 4 acres. The point to remember is that not only is the total acreage small, but a large number of growers are dependent almost entirely on that acreage with hardly any other crops grown.

A . H . Brozw :-But on these figures they were losing money.

E. Thomas :-We found that when family labour was charged at current rates of wages, the majority of them did not make two ends meet.

A . W . Ashby :-Has Mr. Thomas looked for or found any connection between the declining acreage since 1924, the ruling price in subsequent seasons and the deepening industrial depression ?

E . Thomas :-Since the war there have been two distinct acreage movements, the big boom up to 1924 and a drop to 1929. During the last two years there was a slight increase. The increase in acreage in Hampshire after the war was very largely the result of the strawberry area being experimented upon for the purpose of land colonisation.

J . S. King :-There is just one small point to which I would like to refer. I t would take too long to go into the problem of better or organised marketing, but as concerns the raspberry crop in Scotland the canners are seeking more and more to control the disposal of the whole of the crop grown for their canneries. In that way they are ensuring to themselves supplies of the quantity and of the quality that they need.

A . W . Ashhy :-I would like to say that in the years before the war the English Agricultural Organisation Society was entirely responsible for the promotion and the development of the Growers' Association which has operated in Hampshire from, I think, 1911 to the present time-one of the most successful things that that Society did amongst small holders.

E. Thomas :-The Association claims a membership of about 75 per cent. of the growers, and there is no question that you have the basis there for a much more complete organisation. I should not be a t all surprised to see the Association making itself responsible for very important developments in the near future.

SATURDAY MORNING'S SESSION.

The Chazmzan :-Ladies and gentlemen, we have some hard thinking this morning on the subject of prices. I t will be remembered perhaps that a t the last meeting of the Society Mr. Joseph Duncan, I think it was, asked us that we should remember that we are a Society which not only looks at economic questions from the agricultural point of view, but looks a t agricultural questions from the economic point of view, and we have to make our researches both into those fields which stretch in the direction of economic problems and those which stretch into the problems of agricultural organisation. This morning we have papers on the subject of prices from two different points o f view, and we must keep these papers separate. Mr. Meade handles the problems of monetary theory expertly, and I think he asks us to do with him some fairly hard thinking. We are indebted to him for a contribution which, for myself, it has been a very great pleasure to read.