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 Front Cover
 Commission members
 Advertising
 Merchandising
 Medical advertising
 Publicity
 Institutions and schools
 Market research
 Economic research
 Scientific research
 Transportation
 Regulatory
 Back Cover














Annual report - Florida Citrus Commission
ALL VOLUMES CITATION SEARCH THUMBNAILS PAGE IMAGE ZOOMABLE
Full Citation
STANDARD VIEW MARC VIEW
Permanent Link: http://ufdc.ufl.edu/UF00075981/00016
 Material Information
Title: Annual report - Florida Citrus Commission
Physical Description: v. : ; 28 cm.
Language: English
Creator: Florida Citrus Commission
Publisher: s.n.
Place of Publication: Tallahassee?
Creation Date: 1965
Frequency: annual
regular
 Subjects
Subjects / Keywords: Citrus fruits -- Periodicals -- Florida   ( lcsh )
Genre: government publication (state, provincial, terriorial, dependent)   ( marcgt )
serial   ( sobekcm )
 Notes
Numbering Peculiarities: Report year ends June 30.
 Record Information
Source Institution: University of Florida
Rights Management: All rights reserved by the source institution and holding location.
Resource Identifier: aleph - 000863394
oclc - 01327786
notis - AEG0106
lccn - 50063588
System ID: UF00075981:00016

Table of Contents
    Front Cover
        Front cover
    Commission members
        Page 1
        Page 2
    Advertising
        Page 3
        Page 4
    Merchandising
        Page 5
        Page 6
    Medical advertising
        Page 7
    Publicity
        Page 8
    Institutions and schools
        Page 9
    Market research
        Page 10
    Economic research
        Page 11
        Page 12
    Scientific research
        Page 13
        Page 14
    Transportation
        Page 15
    Regulatory
        Page 16
        Page 17
        Page 18
    Back Cover
        Back cover
Full Text


















I ci cmi s i








COMSSO MEMER






























STNIN COMTTE





STATE OF FLORIDA


P. O. BOX 148
FLORIDA CITRUS COMMISSION P3

ENRAL MANAGER 1115 E. MEMORIAL BLVD. TELEPHONE
EDWARD A. TAYLOR LAKELAND e820171


September 6, 1966



The Honorable Haydon Burns
Governor of Florida
Tallahassee, Florida

Dear Governor Burns:

Transmitted herewith is the annual report of the Florida Citrus
Commission for the 1965-66 season.

The Commissioners and staff feel this season represents one of
the most progressive and successful in the history of the citrus industry
in Florida. One of the most significant developments was the industry's
decision to authorize a new, improved frozen concentrated orange juice.
This product, which was packed during the entire season, will be intro-
duced to the market during the 1966-67 season, and early indications
are the improved product will be acceptable to long-time users and to
those trying concentrate for the first time.

We are proud of this better-tasting frozen concentrated orange
juice, which is another in a long line of quality Florida citrus products,
and we feel certain that you will share our enthusiasm.

The 1965-66 season was one of the largest in terms of fruit har-
vested. The final tabulation by the United States Department of Agricul-
ture's Statistical Reporting Service placed the total Florida citrus crop at
139, 600, 000 boxes of fruit. This included 100, 000, 000 boxes of oranges,
34, 800, 000 boxes of grapefruit, 3, 600,000 boxes of tangerines, and
1,200,000 boxes of murcott oranges.

A new table of organization for the staff was adopted by the Com-
mission during the season and newly created positions have now been
filled. The changes are expected to greatly facilitate the work of the
Commission and to increase services to the industry.

We are appreciative of your cooperation and thank you for your
interest in the citrus industry of this state, and in the work of the Com-
mission in promoting this great industry.

Sincere ours,




General Manager











);i:


rvp~ ~


ADVERTISING .


The original budget for consumer advertising
was established on July 1, 1965, in the total amount
of $3,306,750, and included special fresh promotion
funds that had accrued to the orange, grapefruit
and Temple orange accounts.
The advertising agency, Campbell-Ewald of
Detroit, began early plans, outlining recommenda-
tions for a program that would accomplish objec-
tives formulated by the Commission. Among these
objectives was a directive that the public be told
of the superior value of frozen concentrated orange
juice as related to the juices, drinks and synthetics
readily available on the market. The matter of syn-
thetics was receiving increasingly more attention
from not only the members of the Commission, but
from the industry at large.
Not long after the budget allocation for the
season was released, Campbell-Ewald made the
first presentation of advertising plans. Staff-agency
re-consideration of the program, based upon a dif-
ferent format, was recommended by the Commis-
sion, which subsequently began discussion into the
possibility of changing advertising agencies.
In the meantime, new staff-agency recommenda-
tions were accepted by the Commission, involving
budgeted amounts of $621,800 for frozen concen-
trated orange juice, $477,500 for fresh grapefruit,
$392,200 for fresh oranges, $245,600 for proc-
essed grapefruit, $206,000 for chilled orange juice,
$176,000 for single-strength orange juice, $71,000
for tangerines, and $54,500 for Temple oranges.
Of the total for frozen concentrated orange juice,
about $281,000 was allocated to the NBC radio net-
work, with 480 announcements over 200 stations.
Another $159,700 was earmarked for spot television
for 1,200 announcements in the top 26 markets.
Newspapers in 26 markets were to receive $73,400
in advertising lineage, and $25,000 was to be spent
for local radio programming in the Canadian
markets.
The CBS radio network use of 299 announce-
ments over 240 stations was to account for $190,600
of the amount budgeted for fresh grapefruit. Cost
of spot television of 800 announcements in 19
market areas was $123,200, with $25,000 allocated
for Canadian radio announcements. An amount of


$75,400 went into Sunday supplements advertise-
ments in behalf of the special grapefruit spoon
promotion.
A total of 311 announcements over 240 stations
in the CBS radio network for fresh oranges was
listed at a cost of $198,300, with spot television of
400 announcements in 16 markets costing $84,700.
A special promotion for the squeater juicer was
budgeted at $33,500 for advertisements in the comic
sections of newspapers, and at $17,000 for three
Saturday daytime television presentations.
The processed grapefruit program listed
$201,500 for 316 announcements over 240 CBS
radio network stations, with $1,000 for a special
test of grapefruit sections.
Local radio announcements totalling 500 per
week in 61 markets were to cost $136,800 in the
promotion of chilled orange juice. The NBC radio
network was to air 90 announcements over 200
stations for an amount of $52,600.
Most of the budget for single-strength orange
juice $158,000 was listed for 270 announce-
ments over 200 stations in the NBC radio network.
An amount of $40,000 was earmarked for 10
daytime participation on the ABC television net-
work in behalf of tangerines, while $25,100 was
listed for newspaper announcements in the top 22
markets.
Spot television announcements-220 in number
were to be telecast in the top 12 markets for the
promotion of Temple oranges, at a total cost of
$52,000.
Not included in these total costs were the
charges for preparation of advertisements and
announcements, which ranged from $2,500 for the
Temple oranges program to $82,500 for frozen
concentrated orange juice.
The over-all consumer budget also listed $40,000
for trade and miscellaneous advertising, $27,000
for institutional promotional efforts, and $38,000
for the Florida Citrus Showcase.
While the advertising program, as finally
revised, was accepted as fact, the effects of freez-
ing temperatures on the night of January 30, 196,
caused an immediate cancellation of $650,000 in


I -'





















advertising schedules. This total included all can-
cellable advertising on the Commission books as
of January 31, 1966, with the exception of network
radio.
A breakdown of cancellations by varieties and
products showed that the dropping of all remain-
ing newspaper advertisements for frozen concen-
trated orange juice involved $380,000 while can-
celled local television for this product amounted
to $91,600. Cancellation of local radio for chilled
orange juice amounted to $50,000; local television
for frozen concentrated grapefruit juice and sec-
tions, $44,800; local television for single-strength
grapefruit juice, $40,400; local television for Temple
oranges, $15,000, and miscellaneous, trade, and
institutional advertising, $28,000.
With these cancellations, the Commission was
left with a reduced budget of approximately
$1,000,000 in a combination of radio programming,
involving both the CBS and the NBC networks.
During the period of uncertainty as to the extent
of damages from the cold weather, this plan pro-
vided excellent, very flexible, and broad umbrella
of advertising until that time when more accurate
crop damage evaluations could be made.
Subsequently, nearly $323,000 of the advertising
cancelled was returned to the budget and applied
to the accounts of those varieties or products from
which originally deleted.
The Commission, at this point in the season,
called for presentations by a number of interested
advertising agencies, looking toward the possibility
of employing a new agency for the consumer adver-
tising account. Conferences and discussions of this
possibility continued until March, when the Com-
mission voted to employ Lennen & Newell of New
York City as the consumer advertising agency,
effective June 3, 1966.
The transition from the old agency to the new
was completed in June with no major problems,
with Lennen & Newell assuming responsibility for
the remainder of the 1965-66 advertising program.
Late in the 1964-65 season, the Commission was
called upon to administer a special coupon redemp-
tion program in excess of $3,000,000, to be financed
primarily by processors. Media costs for this cam-
paign, conducted exclusively for frozen concen-


treated orange juice, were placed at approximately
$1,736,800. Other expenditures involved in the
program, such as redemption, and legal and mer-
chandising costs, raised the total beyond $3,000,000.
By the close of the 1965-66 season, more than
12,000,000 coupons had been redeemed from a
total coupon distribution of slightly more than
200,000,000 coupons through magazines, newspa-
pers and point-of-purchase locations.
The Sell Florida First program touched several
promotional high spots during the season, espe-
cially with a chefs' recipe booklet, and with auto
bumper plates and directories featuring the Orange
Juice Break. This program works through public
food establishments to reach the 16,000,000 tourists
who visit the state annually, encouraging increased
use of Florida citrus fruits and products. Colorful
display materials were designed for use by food
dispensers, and added messages were delivered
through radio and television announcements and
highway billboards.
The "Famous Florida Chefs' Favorite Citrus
Recipes" booklet, with contributions from chefs of
leading hotels and resorts in the state, proved pop-
ular enough that the Florida Gift Fruit Shippers
Association and 10 other organizations purchased
additional copies for distribution.
More than 15,000 Orange Juice Break tags were
placed on automobiles in the state through cooper-
ation of various organizations. The Break received
added support from billboards, from a special sup-
plement edited by the Miami Herald, and as a
feature of the first annual Florida Citrus Open golf
tournament at Orlando.
Approximately 1,000 restaurants cooperated by
participating in the Commission's free orange juice
break, an offer made through the Orange Juice
Break directory, which was distributed by airlines,
welcome stations and resorts in Florida.
The Commission distributed 12 educational films
during the season-a documentary, five brief citrus
food preparation movies, two on beauty care, and
three emphasizing the importance of citrus in
physical conditioning and athletic diet. The most
recent of these is the "Wonderful World of Water
Sports" and presents a famous swim coach's use of
orange juice in the training routine.


~~__t_____ ~ _;___ I_ I I_ _1 1_1 ~_ ___ 1__1
I~____ __ _____ _I_ I__~ I_ __ (__(__






(2)
00~
00


o


r MERCHANDISING[


The Commission maintains an effective contact
with the food trade through the Merchandising
Department, which includes a field force of 65
representatives located in key market areas of the
United States and Canada.
Originally, the field staff numbered two men,
but the importance of this function has grown
through the years to the point where the Commis-
sion required representation in all leading citrus
markets. Today, the staff lists three divisional
managers, with offices in New York, Chicago and
Los Angeles; eight district managers, 17 area man-
agers, and 37 merchandising specialists, plus one
district manager in Europe.
Purpose of the Merchandising Department is to
plan and execute promotional programs that will
increase the consumption of all Florida citrus in all
salable forms. This objective is achieved through
an effective working relationship with leading
trade factors in the United States and Canada
directly or indirectly associated in the sales, pro-
motion, distribution or handling of Florida citrus
fruit and products.
Through regular contacts, the field representa-
tives keep major food chains and voluntary groups
posted on crop expectations, inventories, merchan-
dising opportunities, and advertising scheduled, in
addition to constructing in-store displays, review-
ing and ordering available point-of-purchase mate-
rials, and arranging tie-in promotions for citrus.
These contacts cover fresh and processed fruit
brokers with leading food chains, auctions in ter-
minal markets, fresh fruit wholesalers, receivers,
distributors, wholesale grocers, leading independ-
ent food stores, restaurant and hotel organizations,
drug and fountain groups, dairies, and other major
grounds involved in handling citrus.
The success and far-reaching effectiveness of
this phase of the Commission's promotional pro-
gram is documented by the hundreds of letters re-
ceived during the year from trade factors, and by
periodic reports made by the field representatives.
To keep the field force alerted to the latest mer-
chandising techniques and coordinated to Commis-
sion promotional efforts, divisional meetings or
seminars are conducted at least twice each year.
New field men generally are brought to Florida for


a week of orientation, which consists of briefing on
operational activities related to the headquarters
office, and a tour of all segments of the citrus
industry.
Throughout the year, periodic statistical reports,
bulletins, memorandums and releases insure that
every representative is informed and prepared to
conduct merchandising activities at all levels of
the trade.
During the 1965-66 season, the field force made
114,000 contacts with leading trade factors, and
constructed more than 25,361 displays for retail
food markets. More than 12,000,000 pieces of pro-
motional materials were distributed to the trade,
including mobiles, back-bar strips, price cards, bro-
chures, and other items boosting Florida citrus.
The field force arranged in excess of 1,700
in-store sampling demonstrations for frozen, fresh,
chilled and canned citrus products.
Promotions were conducted in several thousand
key supermarkets in relation to customers, and
more than 340 incentive promotions were staged
for personnel of leading chains and trade organiza-
tions. The incentive programs were supported by
newspaper tie-ins, special store bulletins, feature
pricing, and added display space for products.
The Commission played host to approximately
1,100 leading buyers, merchandisers, advertisers
and other maior contacts in a series of 10 trade
luncheons during October and November. In addi-
tion, smaller meetings were conducted in coopera-
tion with individual chains and groups in other
areas. Maior markets in which luncheons were
staged were Atlanta, Cincinnati, Chicago, Detroit,
Boston, New York, Philadelphia, Washington, Los
Angeles and- San Francisco.
The field staff also worked in close cooperation
with newspapers, magazines, radio and television
stations which participated in Commission adver-
tising schedules. Media staff cooperated with Com-
mission representatives in securing participation by
the trade in the advertising efforts.
Another intensive promotional campaign was
conducted with the Florida Tangerine Cooperative
during peak of the tangerine season. Similar cam-
paigns were staged in behalf of Temple oranges





















and tangelos, with incentive programs and special
point-of-purchase display materials being used to
fullest advantage in all three promotions.
The Commission purchased exhibit space in 19
national conventions and participated in 52 others
related to the food, health and education fields.
This program has been declared extremely effective
as a means of gaining exposurefor Florida citrus
before members of these select groups, and has
been equally effective in stressing the nutritional
values of citrus.
The Commission-conducted special coupon cam-
paign for frozen concentrated orange juice received
the wholehearted support of the Merchandising
Department. A wide selection of point-of-purchase
display materials was distributed to leading retail
food markets. More than 1,300 sampling demon-
strations for frozen concentrated orange juice were
conducted in conjunction with the Commission's
newspaper advertising campaign which carried
millions of redemption coupons.
Working with an international appliance manu-
facturer, the Merchandising Department developed
a new electric home-use Florida juicer during the
season. Consumer tests were conducted in the
Philadelphia market area in cooperation with a
major food chain and the results are being studied
and evaluated. Early indications point to a fine
potential for the juicer as a merchandising tool in
stimulating demand for citrus, particularly oranges.
A compact "supermarket" was installed by the
Commission in the Festival of Florida Foods at
Orlando, offering opportunity for a taste-test of the
improved frozen concentrated orange juice.
Approximately 200 key supermarkets in Central
Florida agreed to use in-store displays of special
merchandising materials to promote the first annual
Florida Citrus Open golf tournament conducted at
Orlando during March. Specially designed eight-
color display pieces for citrus products were cred-
ited with building interest in the event.
The field staff continues to devote 10 per cent
of the regular merchandising schedule to efforts in
the institutional field. In addition, the staff gathers
samples of frozen concentrated orange juice from
retail markets across the country for quality tests
and evaluation by the U.S. Department of Agricul-


ture. The field men also conducted 60 samplings
projects in major markets, discussing the care,
handling, and storage of frozen citrus products.
Purchase orders for 216 printed and manufac-
tured merchandising items were processed during
the season by the Production Department. Records
for the season show the warehouse prepared and
shipped 10,750,000 pieces of point-of-purchase ma-
terial and literature to fill individual orders. More
than 651,000 pounds of this material was assembled,
wrapped, packed and assigned to the REA Express
Company, truck lines and air freight for shipment
to all areas of the United States, Canada and a
number of foreign countries.
Display material in more than 236 kits, generally
tailored to order, was assembled and shipped to
food stores and to institutional and merchandising
personnel. Steel shelving and the acquisition of a
high-lift truck have increased efficiency and in-
creased space in the warehouse.
The most notable development in the Commis-
sion's European Program this season was the es-
tablishment of a "Third-Party" cooperator plan for
the promotion of frozen concentrated orange juice
in the United Kingdom. Under this plan, distribu-
tors of Florida concentrate in the United Kingdom
could advertise the product and be eligible for
monetary support from the Commission and the
U. S. Department of Agriculture through provisions
of Public Law 480, with each party contributing
one-third of the cost. The plan proved effective and
is being studied for use in other Western European
countries.
The Commission also conducted advertising-
merchandising-promotion programs in France, Ger-
many, Netherlands, Sweden, Belgium and Switzer-
land, marking the 10th year of such activity in most
of these countries.
To maintain the image of Florida citrus fruits
and products in the Western European market, the
Commission continued to participate in major trade
fairs, where Florida citrus was displayed and
sampled by prospective consumers and trade fac-
tors. Institutional programs were continued in Ger-
many and Switzerland and expanded efforts were
made to develop point-of-sale materials to support
all citrus exported by the Florida citrus industry.


















-- MEDICAL ADVERTISING
The most significant event of the 1965-66 season
in the area of Commission medical advertising was
the appearance of "Nutrition Today," a quarterly
magazine sponsored by the Commission for the
purpose of posting the health profession on de-
velopments in the field of nutrition. First issue of
the magazine, which is edited and published by
Cortez F. Enloe, Inc., of New York, the Commis-
sion's professional advertising agency, appeared in
March and was received with enthusiasm by phy-
sicians, dietitians, nutritionists, nurses, medical
school staffs, community health organizations, and
public health officials.
The magazine was established as the result of a
survey made in October of more than 4,000 mem-
bers of the nutritional and health professions, a sur-
vey that drew immediate and enthusiastic response.
An independent advisory board of nutrition
authorities in the fields of public health, academic
and clinical medicine, biochemistry and home eco-
nomics was organized. The members are W. Henry
Sebrell, Jr., M.D., professor and director of the
Institute of Nutrition Sciences at Columbia Univer-
sity; Jay M. Arena, M.D., professor of pediatrics at
Duke University School of Medicine; William J.
Darby, M.D., professor and director of Division of
Nutrition at Vanderbilt University School of Medi-
cine; Ruben W. Engel, Ph.D., head of Department
of Biochemistry and Nutrition at Virginia Polytech-
nical Institute; Grace A. Goldsmith, M.D., professor
and director of Nutrition and Metabolism Section
at Tulane University School of Medicine; Willard
A. Krehl, M.D., professor and director of Clinical
Research Center at the University of Iowa; Robert
E. Shank, M.D., chairman of the American Medical
Association's Council on Foods and Nutrition, and
professor and department head at Washington Uni-
versity School of Medicine, and Elizabeth N. Tod-
hunter, Ph.D., dean of School of Home Economics
at the University of Alabama.
Each of these advisors holds other positions
or affiliations of equal influence in the field of
nutrition.
The magazine provides a vehicle for the ex-
change of ideas on nutrition, an accurate and ade-
quate report of principal research and clinical
projects in nutrition, and an instrument to keep the
health professions aware of developments in every
field of nutrition. In addition, an effort is made to


maintain the interest of these professionals in
Florida citrus fruits and products.
One of the strong appeals of "Nutrition Today"
is the diversification of information offered the
reader. The wide variety of articles helps to solidify
the position of citrus in the nutrition field.
Earlier in the season, the Commission continued
to direct advertising messages to the professional
groups, stressing the superiority of natural citrus
fruit and products over synthetic products and imi-
tations. As in the past, this program sought to
establish a strong and favorable image of Florida
citrus and the Commission, and to emphasize the
need and importance of citrus in specific medical
conditions. Eight such advertisements appeared one
or more times in 30 leading medical publications,
recommending citrus fruits and juices as whole-
some and pleasurable components of a normal,
natural food diet.
One advertisement, displaying a glass of cold
orange juice, informed the professional readers "if
it were only mediocre, it would have no imitators."
Grapefruit was boosted in an advertisement that
described the fruit as "just what the doctor or-
dered for every age group as a source of vitamin C.
Young acne patients were invited to drink as
much orange iuice as desired without fear of harm
to the skin. The satisfying combination of vitamin
C, vitamin A, enzymes, proteins and flavonoids into
a tasty, refreshing glass of juice does not aggravate
acne, readers are told.
Internal medicine specialists are contacted
through an advertisement conveying the contribu-
tion of citrus products as an important source of
potassium and as a suitable part of the low-sodium
diet. The importance of orange juice as a natural
source of vitamin C in the feeding of infants was
stressed in an advertisement directed to pediatri-
cians. Another advertisement summarizes the re-
sults of research that measures how vitamin C
affects oxygen utilization, the factor believed to
explain the efficiency of athletes given orange juice.
Orange juice is featured in two other advertise-
ments, one recommending the juice in the diet of
small children, and the second urging the juice as
a step toward good oral hygiene.
Plans now call for Commission advertising mes-
sages to appear only in "Nutrition Today."


I



















SPUBLICITYI


Ask any housewife the source of her food infor-
mation and most often the -origin can be traced to
one of the nation's leading authorities on food and
food preparation.
To reach and maintain contact with the house-
wife who is the largest purchaser of Florida
citrus fruits and products the Commission con-
ducts a Consumer Food Publicity Program, which
has been directed for 30 years by the Dudley-
Anderson-Yutzy agency of New York City.
The large quantities of publicity generated each
year in this program are patterned to the needs of
the many food writers and commentators across
the country, with the knowledge this information
will be routed to the housewife without delay. It is
this contact with the housewife, and the expediency
with which information is moved, that makes this
communication between Commission and the food
authority of such importance.
In supplying citrus-use messages to these authori-
ties, D-A-Y services more than 1,000 daily and 3,000
weekly newspapers every month with black-and-
white photographs and recipes, plus copy concern-
ing the citrus crop and the citrus industry in Florida.
An extensive library of four-color photographs and
transparencies provides bright focal points for food
sections in more than 100 newspapers now printing
editions in color.
These, same photographs gain wide reproduc-
tion in the pages of smaller magazines, company
publications, and textbooks.
Publicity about citrus is moved regularly to food
editors, free-lance writers, television personalities,
radio commentators, home economists of food
groups and companies, women's club program
planners, and youth leaders, with the stress upon
the importance and many uses of citrus in food
preparation. Special mailings of informational copy
go to home demonstration agents, county agricul-
tural agents, marketing specialists and utility dem-
onstrators.
At the beginning of each fiscal year, D-A-Y
contacts magazine editors with ideas for the fall
and Christmas seasons, involving citrus fruits and
products. The kickoff for these promotional plans
comes with the annual Newspaper Food Editors


Conference in September, an event which lures 150
of the top writers from across the country. One of
the highlights of each year's program is the open-
ing day brunch hosted by the Commission and
offering a number of citrus menu tips. Generally,
Commission members or staff personnel are in at-
tendance in order to answer questions about citrus,
the industry, and promotions planned for the sea-
son. Chairman O. D. Huff, Jr. and member Key
Scales, Jr., represented the Commission at the.1965
conference, which was held in Chicago.
Later in the fall, D-A-Y represents the Commis-
sion at the convention for the National Association
of Extension Home Economists. This is an excellent
opportunity to deliver messages in-behalf of Florida
citrus and to compile information regarding con-
sumer group interests and approaches as observed
by the 1,000 representatives in attendance.
Because of the necessity of planning months
ahead, the D-A-Y test kitchen labors during the
summer on wintertime ideas and spends the winter
setting up plans for the warmer months. This sea-
son, on the first day of spring, 25 top food editors
in the New York area, representing magazines,
syndicates and related groups, gathered at the
D-A-Y offices to hear about the improved frozen
concentrated orange juice. Purpose of the meeting
was to alert the editors to the promotional plans for
the product so each could relay the information to
readers in the fall. This effort to enlist added pro-
motional impact for a Florida citrus commodity is
typical of the cooperation between the industry and
the food publicity program. Similar efforts in the
past have aided programs directed toward vitamin
C content of citrus, prices, and the advantages of
citrus juices over synthetic and fruit drinks.
The Commission is represented at many con-
ventions by D-A-Y, both from a product standpoint
and from long and active membership of staff mem-
bers. These annual meetings include the American
Women in Radio and Television where the "OJ
Break" was introduced a decade ago, the American
Home Economics Association, the Home Econo-
mists in Business, the American Dietetic Associa-
tion, the Nutrition Council, the Institutional Food
Editors, and the Canadian Home Economics Asso-
ciation.



















II INSTITUTIONS a SCHOOLS [


The Commission has been aware for some time
of the market potential presented by the institu-
tional field, and contacts in this area have been and
still are a normal part of the regular routine sched-
uled for each of the merchandising department's
field representatives.
This potential has grown so rapidly in recent
years that the Commission decided to organize a
separate institutional force. This year, the new or-
ganization was merged with the Youth and School
Services Program to form the Institutional and
School Marketing Department, complete with a
director and a four-man field force.
To obtain maximum coverage of the nation's
leading institutional organizations, the department
located the field men in New York City, Miami,
Chicago, and San Francisco.
Commission educational materials, such as
posters and training aids, which have been so im-
portant in the function of the school services pro-
gram, were reviewed throughout the year with
leading educators during a number of conferences.
As a result, many of the items are being updated
and revised, in keeping with the policy to provide
materials which will win approval from the teacher
and a ready response from the pupil.
Records indicate that 1,662,991 pieces of visual
aids and leaflets were distributed by the depart-
ment in the 1965-66 season to public and private
school teachers, health educators, and persons in
the fields of health and nutrition.
One of the highlights in this area was the re-
sponse by readers to an offer of the Commission's
health and behavior pamphlet, "The Beauty Habit,"
through the Sunday supplement sections of daily
newspapers. More than 30,000 requests were re-
ceived for the folder, an indication of the effective-
ness of the educational material which the Com-
mission is providing the health and education fields.
Activity in health education continued, with the
Commission sponsoring workshops in Massachu-
setts, cooperating with the Ford Foundation on an
educational television series in Maine, and conduct-
ing seminars elsewhere dealing with health instruc-
tion. Primary responsibility for these activities was
handled by the Dudley-Anderson-Yutzy agency of
New York City. This agency, which produced a


film, "The Road to Beauty," stressing the impor-
tance of nutrition and proper health habits for
teen-age girls and young adult women, also sched-
uled personal appearances with showings of the
film in department stores, community centers,
schools and churches.
One of the latest innovations in the educational
field is the serving of breakfast in schools. The
Commission is actively engaged in early tests of
this project, participating through the institutional
and schools program.
The Commission cooperated again this year in
the National Youthpower Congress, joining with
the Florida" School Food Service Association to help
select six boys and girls from the state as delegates
to the convention. The Congress is conducted by the
National Food Conference, composed of the nation's
leading food manufacturers and organizations.
In a move to secure the close cooperation of the
industry with the Commission's institutional efforts,
a committee of industry leaders was appointed to
serve in an advisory capacity with the department.
Through the efforts of the committee, the depart-
ment was able to win eligibility for institutional
orange products in the industry's Incentive Brand
Advertising Rebate Program. In addition, approval
was obtained for a research and market test
program on the effectiveness of menus, tumblers,
and related items influencing the away-from-home
market.
The department's field staff has been actively
engaged in promotional work with leading food
service operators, and more than 65 promotions for
orange juice and the Florida fruit cup of citrus were
conducted in cooperation with these organizations.
Virtually all the promotions scored well with con-
sumers and the food service organizations, with
much of the success being attributed to the new
materials designed in support of orange juice and
the fruit cup. These materials included back-bar
strips, menu clips, and price cards.
The Commission is cooperating with the U. S.
Department of Agriculture and the Institutional
Food Manufacturers in a study to determine the
best possible areas of growth in the institutional
field presently available to Florida citrus fruit and
products.


I r










MARKET RESEARCH







] MARKET RESEARCH [


During the year the Director of Commercial
Development, Edward A. Taylor, was appointed
General Manager of the Commission and Douglas
Hoffer was employed as Market Research Director,
reporting to newly appointed Executive Marketing
Director Allen Cairnes.
In its second year, the Market Research and
Development Department conducted an extremely
broad program, including research into practically
all avenues of opportunity for expansion of the
citrus industry.
In all, 57 separate studies were completed, fall-
ing into three groups. The first was the COMPASS
program, which, in addition to regular continuing
reports on consumer attitudes and consumption,
and grocery store data, also provided a large
number of extracted special reports such as the
Sanimatic Juicer, Advertising Awareness, "Awake"
Awareness, Coupon Promotion, Multi-Pack Pur-
chasing, Price Awareness, and Fresh Fruit Usage.
The second group was the series of taste tests
conducted at the World's Fair which were so instru-
mental in the frozen concentrated orange juice
improvement program. Other tests in this series
included Grapefruit Crystals, Deacidified Grapefruit
Juice, Orange Drinks, Sugar-add, and Color-add.
The third study group included all the individ-
ually planned studies on special subjects such as
the "OJ" Evaluation, 8-ounce Container Analysis,
"OJ" on the Rocks, Single Service, Frozen Concen-
trated Orange Juice Containers, and Fresh Orange
Spoilage.
The COMPASS program, which began early in
1965, served as the vehicle for a large part of the
research program throughout the year. The COM-
PASS audit provided monthly measurements of
citrus product volume in selected high volume
markets, and served as a test market facility. It
was also planned that the audit would be a com-
ponent of the overall COMPASS program which
included continuous consumer telephone studies in
the same markets. Quarterly Consumer reports
investigated attitudes, awareness, and consumption
at home.
For a number of reasons it has become necessary
to improve the audit or continuing data capability


and to drop the test market facilities. The audit
was not projectable to national levels and did not
provide regional information, while the COMPASS
consumer study was limited to specific markets.
The planned test marketing function recommended
by the Booz, Allen & Hamilton report was not used
enough, inasmuch as the Commission is not gen-
erally in a position to conduct brand or product
tests, and it was concluded that it would be wiser
and more economical to set up special tests when-
ever necessary.
A new set of measurements will be needed by
the staff in order to evaluate the Commission's
expanded marketing and advertising programs.
With this in mind, the department has asked the
Commission to approve a recommendation for
1966-67 which will include continuing nationally
projectable store audits and consumer surveys.
In addition to the continuing national services,
a number of special studies are planned, based on
previous exploratory research and newly indicated
areas of improvement. However, more emphasis
will be placed upon actionable research findings for
staff use and less on generalized informative type
reports. This is due to the increased marketing effort
and the need to obtain maximum value from these
expenditures.
The "away from home" market will be the sub-
ject of a series of studies designed to give measure-
ment of that important segment of consumption.
The most important test will involve the practica-
bility of auditing restaurant and eating establish-
ments, a service not available on a national level at
present. Other studies in restaurant type outlets will
include a test of new merchandising materials and
advertising.
Among packaging studies planned on new mate-
rials, forms and sizes is an evaluation of the 8-ounce
package in order to define the market for this size
and to determine the effect upon other packages.
Process variations and product improvements
will be tested to broaden the appeal of citrus prod-
ucts to all consumers, while a measurement will be
sought for foreign markets and the potential there
for citrus consumption.


_77








iI
,, 1%


'1-A
I),


ECONOMIC RESEARCH [


The Economic Research Department completed
18 research projects during the year and was work-
ing on 15 at the year's end.
The department also developed or obtained
data and prepared weekly, monthly and annual re-
ports pertaining to activities of the citrus industry,
mailing approximately 155,000 copies of the reports
to the industry and other interested persons. In
addition, an economic and marketing library was
maintained for state, national and world citrus re-
search publications on economics and marketing.
Total money expended on economic research by
the Commission during the year was $258,000.
Specific work of the department, which consists of
a staff of 13 employees, fell briefly into four areas
of operation service function, annual studies,
special studies, and basic studies.
In the category of service function was the
preparation and mailing of numerous reports. Each
week's mailing included copies of the Market Re-
search Corporation of America (MRCA) Consumer
Purchases of Processed Citrus, and the report of
the Florida Canners Association.
Mailed each month were the U. S. Department
of Agriculture's Citrus Crop Estimate, the MRCA
Changes in Retail and Drink Market, the monthly
summary of MRCA Consumer Purchases of Proc-
essed Citrus, and the Citrus Business Digest, a popu-
lar new publication of the department.
The reports offer individual firms and persons
updated records on the amount of fruit expected
for the season, the pack and movement of citrus
products during the season, and consumer pur-
chases of fresh and processed citrus.
The department also tabulated data for other
Commission departments and compiled a dozen pa-
pers from the second annual Citrus Business Con-
ference conducted by the department.
One of the most successful of the annual studies
is the Economic Outlook for Florida Citrus for the
Next Five Years. This report identifies the likely
size of future crops, with volumes of each fresh
fruit and citrus product predicated on historical
production and utilization records. Also identified
are the magnitude of competition from other United
States citrus-producing areas, and the degree of
probable expansion in exports. Marketing objec-


tives for the 1966-67 season also are spelled out,
as are the opportunities for achievement of these
goals.
Another annual study is information related to
the export of fresh and processed citrus products
from the United States, the most recent report indi-
cating an increase over 1963-64 in canned grapefruit
juices, frozen concentrated and canned orange
juices. A fourth annual survey showed an increase
over last season in freezer space held by frozen
citrus products in the United States and Canada.
In a comparison with earlier seasons, all citrus
products, except canned single strength grapefruit
juice, fell below 1962 figures in regard to consumer
purchases for April through September. The sharp-
est loss was suffered by canned single strength
orange juice.
Increases were noted in the fresh orange un-
loads in 41 United States and five Canadian cities,
with Florida's share of the United States market
increasing from 30 to 36 per cent, and 6 to 12 per
cent in the Canadian markets. Florida's share of
the fresh grapefruit unloads held steady, while
most of the increased supplies of tangerines orig-
inated in California.
There was no change, percentage wise, in the
estimated retail and institutional sales of frozen
concentrated orange juice in the top 125 United
States markets.
Special studies were conducted either at the
request of some segment of the industry or through
initiation by the department staff in order to answer
specific marketing economics questions, and were
required in future operations of the Commission or
industry. One of the more interesting studies dealt
with citrus synthetics and substitutes, as related to
the market structure and market preference dimen-
sions of the Florida citrus industry. The encroach-
ment of these two products is tied to a large number
of variables, including freezes, loss of industry bar-
gaining power, insufficient market and product
proliferation, inadequate and variable product mar-
gins, limited market penetration, and variable
product quality.
No recommendations are contained in a study
of the economic implications of a futures market for
Florida frozen concentrated orange juice. Rather,


. ..0,:


I





















the report presented facts and possible implications
upon which the citrus industry might base a more
informed decision.
A cooperative study with the U.S. Department
of Agriculture's Economic Research Service indi-
cated that consumers buy more grapefruit in bags
than when loose in store displays. The test also
showed that sales attributed to bagging were addi-
tional sales of grapefruit.
One project found there is no significant advan-
tage for sales area reconstitution of frozen con-
centrated orange juice to chilled orange juice, as
opposed to packing chilled juice in retail sizes in
Florida and shipping to the sales area.
To determine behavioral characteristics of cus-
tomers shopping for fresh oranges, over 4,400
customers were observed at three adjacent displays
located in 18 Grand Rapids supermarkets. The re-
sults indicated little direct competition between
Florida Interior Valencia, Florida Indian River
Valencia, and California Valencia oranges.
The structure of the.market and the attitudes
and opinions of wholesale distributors and chain
store personnel concerning Florida Temple, Tangelo
and Murcott oranges were examined in this study.
The results are being prepared for publication.
An appraisal of the consumer demand for fresh
and processed lemons has been undertaken at the
request of an industry group. Purpose is to evaluate
the economics of a producer tax for the purpose of
promoting lemon sales, with the overall objective
being a basis for determining the feasibility of a
lemon incentive advertising program involving
Florida, California and Arizona lemon producers.
A study of citrus consumption and consumer
attitudes for 1963, 1964 and 1965 reported beverage
consumption of United States families during a
seven-day period. Results indicated that more indi-
viduals consumed orange juice in 1965 than in 1963,
and that the consumption per capital had increased.
Frozen concentrated orange juice accounted for
three-fourths of the juice used. Also, 85 per cent of
the at-home consumption of orange juice was at
breakfast, and this pattern has not changed in three
years. Neither has there been any increase in the
amount of orange juice consumed away-from-home,
with slightly more than half this total consumption
listed at times other than breakfast.


Non-carbonated orange drinks have become an
increasing threat to orange juice.
There was no significant change in consumer
attitudes toward fresh and processed citrus over the
three-year span. The exceptions indicated that con-
sumers thought frozen concentrated orange juice
was slightly cheaper than other frozen foods, is
cheaper than soda pop, and is not the most expen-
sive way to buy orange juice.
People consider orange juice a good value,
healthful and energizing, not necessarily a break-
fast-oriented drink, and mainly for vitamin C con-
tent, rather than for any other inherent quality.
Basic research, conducted by the department
staff located at the University of Florida, includes
such areas as demand analysis, supply manage-
ment, market structure and performance, competi-
tion, prices, margins, costs, labor, foreign trade, and
long-range planning.
A mathematical method of estimating citrus
harvest labor requirements by weekly periods was
developed and the results presented to the industry
and government groups interested in citrus labor.
High speed electronic computer procedures are
being used to develop the formula and to obtain
results in a project for determining optimal alloca-
tion of the citrus crop at maximum returns to the
industry.
Preliminary results are being studied of new
analytical techniques to estimate demand relation-
ships for various price levels of frozen concentrated
orange juice.
Completion is expected in the summer of 1966
for the field survey portion of a project to deter-
mine the geographic and market distribution pat-
terns existing in the institutional segment of the
frozen concentrated orange juice market. This
study also will examine the competitive position in
schools, colleges, restaurants and other institutional
markets.
Research found that orange juice did not sig-
nificantly substitute for any other beverage in a
drug store fountain test at which orange juice was
offered at six test prices.
Another significant study during the year con-
cerned cost and volume relationships for picking,
hauling, packing and selling fresh Florida oranges,
which would result in the least cost per box.


__)_i _l _l~___lm__;1__11__~__I_- F ~ ..I
I II _










E--




T .-


--1 SCIENTIFIC RESEARCH I


Continuing cooperative research with the Uni-
versity of Florida's Citrus Experiment station in-
cluded investigations into the processing of citrus
fruits and by-products, the recovery and use of
volatile essences, the biochemistry of fruit and fruit
pigments, the control of decay and rind disorders,
the mechanization of citrus harvesting, and the
determination of pounds-solids.
The Commission also conducted cooperative
research with the U.S. Department of Agriculture
on a drying process for the production of citrus
juice powders. Grants were made to the U.S. De-
partment of Agriculture, the University of Pitts-
burgh, and the University of Florida to support
research on controlled atmosphere storage, the re-
duction of grapefruit acidity, and the nutritive
value of citrus pulp, respectively.
Funds expended for Commission scientific re-
search amounted to $470,000.
Results of trials with a tree shaker and catch
frame harvest system over a three-year period show
that fruit removal increases slightly in Hamlin and
Pineapple oranges and grapefruit as the picking
season progresses. Fruit removal was 90 per cent
or greater. Although Valencia oranges cannot be
harvested satisfactorily with present equipment,
the shaker-catch frame system is ready for further
development under commercial conditions in early
and mid-season oranges and grapefruit.
Results of a two-year test in Pineapple oranges
showed no reduction in yields.
Fruit removal with a tree shaker was inves-
tigated for a range of limb sizes, shaking frequen-
cies, limb displacement, and smoothness of shaking
action. Limb size had relatively little effect on fruit
removal, compared to the effects of frequency and
limb displacement. Fruit removal was directly pro-
portional to limb displacement. A smooth-shaking
action removed substantially more fruit than an
impact-type shaking action.
Field test of an oscillating air-blast machine
showed the direction of the air blast to be an
important design factor in reducing tree damage.
Initial studies dealing with the effect of mechan-
ical harvesting on citrus fruits involved a three-
week holding period in cartons at 70 degrees


Fahrenheit and confirmed previous reports. There-
after, samples were held at room temperature in
open containers to simulate development of decay
in fruit destined for the cannery. Decay in all varie-
ties of oranges and grapefruit averaged less than
2 per cent in the first three days, regardless of the
harvesting method. In the next two days, differences
between harvesting methods and varieties became
clearly apparent, mechanical harvesting increasing
losses severely in Pineapple and Hamlin oranges
and to a far less extent in grapefruit and Valencia
oranges.
From the point of view of fruit damage, mechan-
ical harvesting appears practical, even for Pine-
apple oranges, if the fruit can be processed within
three days after harvest. Air-blast harvesting was
considered a little harder on the fruit than was the
mechanical shaker.
A picker's aid, approved for California navel
oranges, was tested with tangerines, and losses
were approximately doubled for the fruit used in
packaging and simulated shipping experiments.
In processing studies, volatile flavor essences
from freshly extracted orange and grapefruit juices
were recovered, using a five-stage vacuum system.
Simultaneously, volatile water- and oil-soluble com-
pounds were obtained to yield an appropriate con-
centration of essence for add-back to concentrate
or single-strength juice products. Utilization of con-
sistent, high-quality essences in pilot plant and
commercial frozen concentrated orange juices
showed significant improvement in flavor quality.
Forty compounds were isolated and identified
in a study of the origin of citrus flavor components
through analyses of peel and leaf oils of sweet
oranges and tangerines.
Mitochondria, isolated from orange juice vesi-
cles, were found to be capable of converting malic,
succinic, and alpha-ketoglutaric acid to other acids,
including citric, with the conversions being de-
tected within 60 minutes by use of paper chroma-
tography.
Color analyses of sprayed Hamlin oranges
showed a rapid loss in chlorophyll during the first
week, after spraying with iodoacetic acid, Fruit
from sprayed trees, when placed in cool coloring


---





















conditions, degreened to a suitable color three to
five days before fruit from unsprayed trees. An
increase in the carbon dioxide level in controlled at-
mosphere inhibited the degradation of chlorophyll.
Specific gravity of Marsh grapefruit was found
to correlate more closely with thickness of peel than
with juice content. Heavier Valencia oranges were
found to contain from 2 to 10 per cent more juice
than lighter fruit, and possessed a higher total solu-
ble solids content. A commercial weight-type fruit
sizer is being tested for potential use in sorting out
heavier fruit from pre-dimensionally sized fruit.
Samples of commercial frozen concentrated
orange juice packed in the 1964-65 and 1965-66
seasons were graded, with the latter season pack
exhibiting the best flavor and color. The greatest
improvement in flavor was found in the midseason
products.
The Commission purchased improved citrus
colorimeters and placed for evaluation in quality
control laboratories of three concentrate plants
designated by the Quality Advisory Committee of
the Florida Canners Association.
The use of antioxidants in various ways failed
to arrest the off-flavor development in the freezing
of individual "dry" grapefruit sections. Sugar syrup
and/or benzoate in chilled grapefruit sections had
only a slight adverse effect on naringinase activity,
and this enzyme offers promise in debittering the
sections.
The carotenoid pigments in orange peel were
recovered by solvent extraction of the dried peel
and concentrated by column chromotography.
Storage studies were initiated on frozen con-
centrated orange juice in various plastic containers,
and more than 6,000 cans were packed in five
different types of experimental containers for con-
sumer acceptance tests.
Applications of arsenic by wick feeding to
calamondin plants showed the arsenic is translo-
cated unilaterally within the plant, with upward
movement only when in the vascular system.
Histological studies of the citrus fruit button
revealed large quantities of starch in the separation
layer of mature buttons, with methylated pectins
and total pectins disappearing from the separation
layer as the quantities of starch increased. Pre-


harvest applications of 2, 4-D prevented this loss of
pectin materials.
An interesting observation obtained from fruit
respiration studies was that ethylene was found in
the internal atmosphere of tangerines and Temple
oranges that had suffered some degree of freeze
damage. Increased thickness of wax applied to
damaged fruit as a protective coating caused an
increase in internal ethylene.
Tests with the experimental fungicide, Tutane,
gave evidence of suitable decay control, with no
incompatability observed. All results were con-
sidered negative for tests conducted at the request
of the Florida Tangerine Cooperative with an ozone
generator.
No causal organism was found in examinations
of thin-skinned seedless grapefruit affected with
"blossom-end clearing," a symptom of rough han-
dling and bruising.
Studies with oranges and tangerines indicated
that the stem-end rot fungi, Diplodia natalensis, was
most prevalent in early-harvested fruit degreened
with ethylene. On the other hand, Phomopsis citri
caused decay more frequently in non-degreened fruit
harvested after the first of the year, and was a
common pathogen in degreened Valencia oranges.
The satisfactory performance of seven units put
into field use at beginning of the season resulted in
recommendation by the Commission for use of a
universal sampler for the determination of pounds-
solids in citrus fruits.
The crater-type drier for citrus juices was used
both for experimental studies of dehydration and
for production of sample materials in cooperative
research by the Commission and the U.S. Depart-
ment of Agriculture. Orange crystals obtained in
this process remained highly stable when stored
slightly below room temperatures, but presented
problems at elevated temperatures. Dehydration of
orange concentrates enable the development of
foaming methods which offer highly varying char-
acteristics, such as viscosity and pulp content. Ana-
lytical studies indicated that non-enzymic browning
is a great factor in the development of storage
flavors in foam-mat crystals.
The Commission printed and distributed 27,000
copies of the 1965-66 Spray and Dust Schedule.


~____________)_ I_


















~Z TRANSPORTATION I


Transportation matters affecting the Florida cit-
rus industry were in the forefront again this season,
and the Commission once more retained the staff
and facilities of the Growers and Shippers League
of Florida to assure reasonable rates and adequate
and efficient service.
Rates on fresh citrus fruit from Florida to
destinations throughout the country received more
attention, perhaps, than any other commodity group
from and to any area in the nation. Numerous
increases and reductions have been affected in
recent years, although some present applicable
rates became effective as long ago as 1951. Expira-
tion dates have been extended from year to year,
except this season, when such extensions were
almost on a month-to-month basis, requiring con-
stant attention and handling with the rail lines.
Recently the industry was advised that Eastern
Railroads rates would be increased by 10 per cent
excluding the newly published per-car charges
to Western Trunk Lines, Illinois Freight Associa-
tion, and Western Canada-and that such increases
would become a permanent part of the rate struc-
ture.
The Pennsylvania Railroad and the Baltimore
and Ohio Railroad agreed to publish delivery
charges, effective July 23, 1966, on trailers to receiv-
ers of piggyback Plan II shipments of citrus fruit
to specified destinations in the east. The agreement
came only after a protest was lodged by the League
with the Interstate Commerce Commission, and an
investigation ordered into the publication.
Southern Lines have approved a proposal to
publish piggyback to Arizona and California desti-
nations for fresh citrus fruit at the same rate level
that applies to shipments of deciduous fruits, mel-
ons and fresh vegetables, based upon two trailers
to the flat car. The proposal is being considered by
Trans-Continental Lines.
A conference of shippers and truck lines result-
ed in amendment of a rate proposal that voided
increases to principal points in the south, and lim-
ited the increase to points in all other territories to
5 per cent, based upon an increase in minimum
weight to 36,000 pounds.
Similar conferences concluded with a decision
by the truck lines to reduce the proposed level of
rates on citrus juices in glass containers .for eastern


destinations to the rates listed for canned citrus to
the same destinations, with a minium of 40,000
pounds.
Pending for decision before the Interstate Com-
merce Commission is a protest which the League
joined in opposition to proposed increases by Sea-
Land Service, Inc., in piggyback rail rates for
canned citrus products to eastern destination states.
Reductions in rail rates on frozen citrus products
have been requested of the rail lines, and these
proposals are being considered by the various rail
rate jurisdictions, or are under consideration for
filing by the origin rail lines.
A revision in the truck tariffs on frozen and
chilled citrus products is under study by the League,
and a proposal to simplify these tariffs has been
filed and approved, with publication expected in
September 1966.
The League also was active in the establishment
of reduced export rail rates on fresh citrus fruit to
Jacksonville, Florida. A proposed 10 per cent gen-
eral increase in export rates on citrus products to
destinations in Europe was reduced to 5 per cent
through efforts of the League.
Because of the importance of railway express
service to Florida citrus fruit shippers, the League
has supported the REA Express in efforts to retain
terminal pickup and delivery areas, rather than
abide by restrictions to the terminal areas as defined
by the Motor Carrier Act. Support also has been
offered REA Express efforts to remove rail line haul
restrictions in truck operating certificates where
rail service has been discontinued.
Because of possible adverse effect upon REA
Express revenues, the League also opposed a bill
in the Congress to increase the weight and size
limitations of parcel post shipments.
The C6ngress is considering a bill that imple-
ments the recommendation of the President of the
United States that a Department of Transportation
be established at the cabinet level to consolidate
safety rules and functions of the various govern-
mental agencies concerned with transportation.
Another bill would require application and proof
of eligibility for agricultural cooperatives before
such cooperatives could offer transportation service
to shippers.












i-
co' W


I REGULATORY [


Continued efforts in behalf of the Florida citrus
industry saw the Commission adopt 38 amend-
ments to existing regulations and enact three new
regulations in the 1965-66 season. Two of the new
regulations had immediate impact on the industry,
offering rebates to the brand advertisers of proc-
essed orange products and of fresh citrus.
Pursuant to legislation enacted by the 1965 State
Legislature, the Commission staff worked with the
governor-appointed Processors Advertising Com-
mittee to draft Regulation 105-1.40, the "Orange
Products Incentive Brand Advertising Rebate Pro-
gram."
The program permits any brand advertiser of
Florida orange products to submit claims for 50
per cent of the total consumer advertising costs
expended in promoting an orange product pro-
vided the advertiser has accumulated sufficient
credits through a system of product purchases.
Media qualified under the provisions of the pro-
gram are newspapers, magazines, radio, television,
billboards and transit advertising. Under certain
conditions, an advertising allowance is permitted
on chilled juice for home delivery.
Basically, this program returns one dollar for
every two dollars spent in brand advertising which
meets Commission specifications.
Another new regulation is 105-1.41, which
establishes guide lines for the "Fresh Fruit Brand
Advertising Refund Program," and is similar to the
processed orange products program. Participation
is limited to fresh fruit dealers owning brands and
advertising those brands in the prescribed media.
One dollar is refunded for every two dollars spent
by a dealer in promoting fresh oranges, grapefruit,
and Temple, tangelo and murcott oranges.
Purpose of these two programs is to encourage
the cooperation of brand owners in increasing the
advertising and promotional efforts for Florida
orange products and fresh fruit.
In an historic move to increase the sales of
oranges, the Commission amended its regulations
to establish an improved quality of frozen concen-
trated orange juice based upon an increased mini-
mum percentage in the weight of soluble solids.
This increase, from 41.8 to 44.8 degrees Brix, cou-
pled with the elimination of all washed fruit pulp
solids and less pressure in the squeeze necessary


to extract the juice from oranges used for concen-
trate, has resulted in an improved product that is
considered "tastier and sweeter."
Consumer acceptance of the new concentrate
is expected, since the product is patterned upon
results of taste tests the Commission conducted at
the New York World's Fair, measuring the opinions
of more than 50,000 visitors to the Fair.
Administrative activities of the Commission
involved the handling of seven different funds,
representing approximately $17,800,000 in receipts.
These accounts were the Citrus Advertising Fund,
the Emergency Orange Reserve Fund, the Grape-
fruit Fund Rebates for Processed, Products, the
Florida Orange Product Advertising Trust Fund, the
Special Sales Promotion Fund for Fresh Fruit, the
Brand Advertising Reserve Fund for Fresh Fruit,
and the Special Citrus Campaign Fund.
Fiscal responsibilities of the two new rebate
programs were assigned to the Controller's office.
Involving more than 2,500 separate private label
accounts, this office handled all receipts, issued
monthly statements, and audited and paid rebate
claims.
The mail room, operating at near-peak capacity,
processed 1,954 work orders for duplication work
during the season. This represented the reproduc-
tion and distribution of approximately 4,000,000
pieces of copy, plus more than 500,000 pieces of
mail. Another 1,600,000 pieces of material were
mailed to fill requests for school training aids.
A total of 1,695 license applications was proc-
essed and submitted to'the Commission after care-
ful examination and investigation. Of this total, 22
licenses were disapproved, 25 were withdrawn for
various reasons, and the remaining 97 per cent were
approved and issued licenses by the office of the
Florida Commissioner of Agriculture.
In addition, 331 applications for special permits
were processed, with 311 of this total issued for
the interstate movement of fruit. The other permits
were for organic gift fruit shippers, export, chari-
table purposes, and concentrate with sweeteners
added.
In an efficiency move, an administrative assist-
ant was added to the staff, to serve as personnel
director and as an internal auditor of systems and
procedures.


(/


_ ___ ~ ~~~~~~_~_~~~__


I I








STATEMENT OF RECEIPTS AND EXPENDITURES FOR FISCAL PERIOD

July 1, 1965 to June 30, 1966


CITRUS ADVERTISING TRUST FUND
Cash Balance July 1, 1965 ..................... $2,147,438.85
RECEIPTS: From All Sources.................. 7,821,023.13
TOTAL AVAILABLE ...................... $9,968,461.98
EXPENDITURES:
General Administrative ..........$ 194,119.86
Furniture and. Equipment ....... 29,709.30
Building Improvements ......... 35,583.06
General Revenue Fund .......... 160,985.10
Transportation Problems ........ 66,062.65
Economic Research ............. 258,983.14
Scientific Research ............. 474,358.22
Market Research and Development 442,914.74
Roadside Inspection Service ..... 2,164.10
Personnel Procurement Expense 11,068.14 $1,675,948.31
Merchandising and Promotions:
Salaries and Expenses .................... 1,060,585.05
Point-of-Sale Materials ................... 430,323.28
Institutional ............................. 87,591.08
Public Relations and Publicity ............ 498,358.70


Consumer Advertising:
Advertising Media ............ $2,681,063.01
Professional Journals ......... 285,265.44
By-Products ................ 86,003.08
European Program ........... 182,715.48
TOTAL EXPENDITURES .................
CASH BALANCE JUNE 30, 1966 ..............


$3,235,047.01
$6,987,853.43
$2,980,608.55


SPECIAL CITRUS CAMPAIGN FUND


RECEIPTS:
Estimated Payments from Concentrators ....
Loan from Orange Emergency Reserve Fund ..
Appropriation from Citrus Advertising Fund .
Loan from Citrus Advertising Fund ..........
1965-66 Season Receipts ....................
Interest Earnings ..........................
TOTAL AVAILABLE .....................
DISBURSEMENTS:
Coupon Redemptions .......................
M edia .....................................
Legal and Other ...........................
M merchandising ........................... .
Broadcast ................ .................
Loan Repayment ...........................
TOTAL DISBURSEMENTS ................
CASH BALANCE JUNE 30, 1966 ...............

GRAPEFRUIT REBATE FUND
Balance Forward July 1, 1965 ..................
RECEIPTS:
1965-1966 Season .......... ..........
Investment Earnings .......................
TOTAL AVAILABLE ....................
DISBURSEMENTS:
Rebate Claims ...........................
Transfer to Citrus Advertising Trust Fund ....
TOTAL DISBURSEMENTS ................
BALANCE ON HAND JUNE 30, 1966 ..........
1966 . .


$1,072,750.00
2,100,000.00
250,000.00
350,000.00
1,903,344.75
48,668.52
$5,724,763.27


$1,638,312.27
972,690.07
18,105.28
197,307.59
764,172.85
1,903,344.75
$5,493,932.81

$ 230,830.46


$ 200,000.00


100,000.00
1,259.96
$ 301,259.96


$ 61,970.41
139,289.55
$ 201,259.96

$ 100,000.00


ORANGE EMERGENCY RESERVE FUND
Balance Forward July 1, 1965 .................. $ 135,135.30
Balance due from Special Citrus
Campaign Fund Loan .......... .$1,129,288.75
Repayment from Special Citrus
Campaign Fund ................ 970,711.25 2,100,000.00


RECEIPTS:
1965-1966 Season ...........................
Investment Earnings .......................
TOTAL AVAILABLE .....................

DISBURSEMENTS:
General Revenue Fund .....................

BALANCE ON HAND JUNE 30, 1966 ...........


1,776,310.47
6,398.20
$4,017,843.97


$ 36,654.42

$3,981,189.55


INCENTIVE BRAND ADVERTISING FUND
(PROCESSED)


RECEIPTS:
1965-1966 Season ...........................

DISBURSEMENTS:
Rebate Payments ............... ...........
General Revenue Fund .....................
The ACB, Inc ..............................
Data Processing Expense ...................
Attorney Fees .............................
Telephone & Telegraph .....................
Postage & Express ..........................
Travel Expense ............................
Registration Fee ...........................
O office Supplies .......................... .
Clerical H elp ..............................
TOTAL DISBURSEMENTS ..............

BALANCE ON HAND JUNE 30, 1966 ..........


$2,776,551.72


693,489.97
55,531.04
16,761.33
4,652.40
3,800.00
394.15
211.93
111.20
100.00
272.53
6.83
$ 775,331.38

$2,001,220.34


BRAND ADVERTISING RESERVE FUND
(FRESH)


RECEIPTS:
1965-1966 Season ..........................
Investment Earnings .......................
TOTAL AVAILABLE .....................


$ 265,278.96
835.46
$ 266,114.42


DISBURSEMENTS:
Rebate Payments ........................... $ 19,759.66
General Revenue Fund ..................... 5,322.29
TOTAL DISBURSEMENTS ............... $ 25,081.95

BALANCE ON HAND JUNE 30, 1966 ........... $ 241,032.47


SPECIAL SALES PROMOTION TRUST FUND
(FRESH)


RECEIPTS:
1965-1966 Season .........................
Investment Earnings .......................
TOTAL AVAILABLE .....................

DISBURSEMENTS:
General Revenue Fund ...................
BALANCI~ nrM HarnTn TTT' ...,.


$ 265,278.96
835.46
$ 266,114.42



$ 5,322.29


JUNE 30, 1966 ...*-* -. $ 260,792.13


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