Excerpts from the report Preface: This report is the first of a group dealing with Class III milk pricing in the New York-New Jersey milkshed. Particular emphasis is given to factors affecting the market for Class Ill products, and to the decisions which handlers make about the form in which they will dispose of Class III milk. This report provides in graphic form a summary description of the manufactured dairy products industry in this area. It describes the nature of Class III operations, including types and location of products manufactured. Interregional plant shipments of milk for manufacturing purposes and of manufactured dairy products are analyzed. Regional production patterns for both pool plants and the New York State nonpool plants are developed and estimates are made of the extent to which existing manufacturing capacity is utilized.