Excerpts from the report Introduction: Competition among food fats took a new turn in the United States in the late 1940' s when a frozen dessert made with vegetable fats became established in Texas. The product was legally defined as "mellorine" in that State in 1951. To date, mellorine is legal in 12 States: Alabama, Arkansas, California. Illinois, Louisiana, Missouri, Montana, Nevada, Oklahoma, Oregon, South Carolina, and Texas. Laws regulating frozen desserts preclude its manufacture and sale in the remaining States. Between 1952 and 1955, the output of mellorine in these States grew from 11 million gallons to 33 million. Nearly all the production of mellorine-type frozen desserts is carried on in plants which also manufacture ice cream. The equipment is identical, and only minor variations in the process are necessary when other fats are used in place of milk fat. The rapid growth of mellorine production was in large part a result of the lower selling prices made possible by the use of cheaper fats. The cost difference in fats would permit mellorine to sell at prices about 15 to 20 percent below ice cream prices. But frequently the amount by which mellorine undersold ice cream was greater than the difference in the cost of materials. Apparently other factors in production, distribution, promotion, or pricing policy contributed to the competitive status of the product. This report describes some of the features of the marketing of mellorine which may be associated with its development.