Economic and Marketing INFORMATION 
FOR INDIANA
FARMERS
Lafayette,  Indiana
December 28,   1953
Prepared  by  members of the Agricultural  Staff of Purdue  University
Where Should I Sell My Hogs?
By
CLIFTON B. COX and RICHARD HABY, Agricultural Economics
i Information is based on research currently being done by the Agricultural Experiment Station.)
WHEN YOUR HOGS are ready
to sell, do you wonder where
to take them to get the highest
price and the greatest net return?
This is not an easy decision; livestock markets in Indiana are numerous and many factors influence
the net return. Here are some figures that may indicate your most
profitable   market.
In Indiana there are four posted
markets—Indianapolis, by far the
largest, Evansville, Fort Wayne and
Muncie. Posted markets are stockyards that are operated under supervision of the Federal Packer and
Stockyards Administration. Three
major posted markets just beyond
the state's borders—Chicago, Cincinnati and Louisville—also receive
a large number of Indiana hogs.
There are also 129 dealer and
packer markets and 81 auction
markets in the state. In 1951, approximately 47 percent of the 6.7
million hogs that were marketed
'n Indiana were sold through Indiana's four posted markets. This
compares with 46 percent marketed through the dealer and packer
markets and 7 percent going
through the auctions.
Prices At Markets  Compared
If you have a choice between
*wo or more markets, at which one
°re you most likely to receive the
highest price? Higher quoted prices
are not always indicators of higher
ne* returns. Commission fees, yard-
a9e, transportation costs and sort-
m9 practices must also be consid-
ered.  In  all   markets  checked,   In
dianapolis reported prices for 200-
220 pound hogs that averaged
higher than any of the other markets with the exception of Cincinnati and in the 1948-49 period,
when Chicago prices averaged 4
cents more than Indianapolis. In
the posted markets, from July 1952
to June 1953, Indianapolis averaged 13 cents lower than Cincinnati but 23 cents higher than Chicago. (Table 1)
There is more variation among
the dealer and packer markets and
Indianapolis than among the posted markets. For medium weight
hogs, this differential ranged from
15c to $1.05 (Table 2). However,
these differentials are based on the
basic prices quoted at the markets;
further calculations are necessary
before they are comparable.
Some of these dealer and packer markets make deductions for
yardage and commission and at
some a  premium  is added to the
Table   1.  Comparison  of  Differentials  Between   Indianapolis  and   Six   Other  Posted   Markets
for 200-220  Pound   Hogs  for  Four  Different  Periods	
Market
Prewar
Syr.
(1937-41)
War
3 yrs.
(1942-44)
Postwar
1 yr. July-June
(1948-49)
Chicago
Evansville
Louisville
Cincinnati
Fort Wayne
Muncie
- .03
- .30
- .18
+   11
- .17
Cents Per 100 Pounds
- .06 4- .04
- .21
+  .06
- .18
- .24
+   10
- .36
- .41
(1952-53)
- .23
- .21
- .22
-+• .13
- .08
- .20
Data not available.
Table   2     Comparison    of    Differentials    Between Indianapolis    and    Selected    Dealer    and
Packer  Markets for 200-220  Pound Hogs,  July   1952-June   1953.     	
Price   Disadvantages location  of Price  Disadvantagei
From Indianapolis Market From Indianapolis
Location   of
Market
County
Blackford
Cass
Market
Market
Elkhart
Gibson
Jackson
Cents Per 100 lbs.
.27
.24
.52
1.05
1.05
.40
County
Knox
Madison
Miami
Rush
Cents Per 100 lbs.
.55
.15
.40
.34
Tippecanoe
Market A
Market B
.44
.19