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Abstract

Excerpts from the report Preface: This report on costs and charges in custom feed mills is the final report on a study of custom feed milling in the Midwest. A preliminary report, "Cost Standards for a Model Stationary Custom Feed Mill for the Midwest/' AMS-215, covered the cost standards for a model custom feed mill and much of that report is included. This model mill also is used as the basis for comparisons between current industry costs and incomes. The Department of Agriculture conducted this study of custom milling because farmers have a double stake in the costs of operating these mills. They may benefit either as producers of many of the ingredients used or as purchasers of the services and products of the industry. The model mill designed in this report can become a tool of management, and the cost and income comparisons will help many operators understand better the cost and income situation of their custom operation. This project is part of a broad program of research to improve the efficiency and cut the costs in marketing farm products.

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