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A model was developed that included the cost of assembly, processing, and wholesale distribution of Class I milk within the state of Maine. Solution of the model with parameter values appropriate to current costs associated with these three aspects of the milk market yielded an achievable least cost allocation for performing the assembly, processing, and distribution of milk, adequate to meet demand, throughout the state. It is hoped that the model will prove a powerful planning and diagnostic tool.
Life Sciences and Agriculture Experiment Station
McLean, S., A.S. Kezis, J. Fitzpatrick, and H.B. Metzger. 1982. A transshipment model of the Maine milk industry. Life Sciences and Agriculture Experiment Station Technical Bulletin 106.