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SB423 1960 Egg Products Industry of the United States, Part I

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SB423 1960 Egg Products Industry of the United States, Part I BULLETIN 423 THE EGG PRODUCTS INDUSTRY OF THE UNITED STATES PART I HISTORICAL HIGHLIGHTS, 1900-59 AGRICULTURAL EXPERIMENT STATION KANSAS STATE UNIVERSITY OF AGRICULTURE AND APPLIED SCIENCE, MANHATTAN PHOTO CREDITS Cover photo and Figures 1, 2, 7 and 8, Seymour Foods, Inc., Topeka, Kans.; Figures 9 and 16, Nebraska Egg Co., Inc., David City, Nebr.; Figures 10 and 11, Tranin Egg Products Co., Kansas City, MO.; Figure 12, Institute of American Poultry Industries, Chicago, Ill.; Figure 13, Schneider Bros., Inc., Chicago, Ill.; Figure 14, Armour and Co., Springfield, MO.; Figure 15, Sam L. Austin, Chicago, Ill. Cover photo: The “pour-off test” for yolks is a regular part of daily inspection of broken-out eggs. Contents of several cans are poured into other cans before the product is placed into a freezer. This test assures that no breaks have developed that permit pieces of shell and chalazae to pass through the straining equipment. NORTH CENTRAL REGIONAL POULTRY MARKETING TECHNICAL COMMITTEE, NCM-14 ADMINISTRATIVE ADVISOR H. J. SLOAN, Director........ Minnesota Agricultural Experiment Station STATE AGRICULTURAL EXPERIMENT STATION REPRESENTATIVES J. R. ROUSH . Illinois R. L. KOHLS . Indiana G. W. LADD. Iowa J. W. KOUDELE . Kansas J. B. ROBERTS. Kentucky H. E. LARZELERE. Michigan R. W. COX and D. F. FIENUP . Minnesota J. D. MILLER, L. D. BENDER, and L. A. VOSS. Missouri E. FEDER. Nebraska F. R. TAYLOR . North Dakota R. E. CRAY and P. C. CLAYTON . Ohio WM. KOHLMEYER . South Dakota W. P. MORTENSON. Wisconsin U. S. DEPARTMENT OF AGRICULTURE REPRESENTATIVES N. T. PRITCHARD. Agricultural Marketing Service J. J. SCANLAN. Farmer Cooperative Service R. J. SAVILLE. State Experiment Stations Division ACKNOWLEDGMENTS A regional subcommittee was responsible for the initial planning of this study and, along with other members of the Technical Committee of NCM-14, re- viewed and approved the manuscript before publication. Members of the sub- committee were: E. Feder, Wm. Kohlmeyer, G. W. Ladd, N. T. Pritchard, J. B. Roberts, J. J. Scanlan, L. A. Voss, and J. W. Koudele, chairman. The authors also express appreciation to the following persons who critically reviewed the manuscript, or certain sections thereof, and made constructive suggestions: G. F. Stewart, University of California, Davis; J. L. Fry, Kansas State Uni- versity; A. Axelrod, University of Nebraska; O. A. Day, Wilson and Co., Chi- cago; B. W. Kempers, H. G. F. Hamann, and F. E. Blood, Poultry Division, AMS, USDA; Mrs. Anne Finlay Brink, Topeka; A. C. Keith, J. M. Gorman, and H. A. Perry II, Seymour Foods, Inc., Topeka; F. L. Faber, Marketing Eco- nomics Research Division, AMS, USDA; H. A. Stamper, F. M. Stamper Co., St. Louis; O. J. Kahlenberg, University of Missouri; H. I. Henner, Uhlmann Grain Co., Chicago; M. W. Weinberg, Weinberg Bros. and Co., Chicago; W. H. Kowalski, Chicago Mercantile Exchange; and F. B. Knaup, Armour and Co., Chicago. Thanks are due to Mrs. Christine Bossler, Topeka, and P. H. Dunbar, Win- chester, Mass., for obtaining and verifying certain historical information. FOREWORD The research on which this report is based was undertaken as a part of the North-Central Regional Poultry Marketing Project, NCM-14. The project was supported by funds made available under the Research and Marketing Act of 1946, and by state funds. This is the second report in a series studying various aspects of the egg products industry. The first was by Raymond, D., A. Axelrod and E. Feder, “Federal and State Laws and Regulations Applicable to Egg Products Plants in the North Central Region (as of September, 1957),” Dept. Agr. Econ., Progress Report 13, Nebraska Agricultural Experiment Station, January 1958. Future reports will cover economic trends, operations of commercial egg breaking and/or drying plants in the North Central Region, legal-economic aspects, and integration of egg production and processing. To H. J. Keith and Mary E. Pennington Many individuals contributed to the early development of the egg products industry. However, two names stand out--H. J. Keith (1857-1923) and Dr. Mary Engle Pennington (1872-1952). Keith founded the industry. Miss Pennington, a scientist with the Department of Agriculture, conducted basic research on the principles of sanitation and refrigeration. Application of this research revolutionized the industry. [ 2 ] TABLE OF CONTENTS PAGE PURPOSE OF THE STUDY ..................................................... 5 SOURCES OF INFORMATION............................................. 5 EARLY GROWTH PERIOD: 1900-20..................................... 5 Founding of the Industry. ..................................... 5 Significance of the Egg Separator and Other Techniques. .......... 6 Early Drying Operations ........................................ 6 Imports of Frozen Eggs ........................................ 7 Legal Battles Over Liquid and Frozen Eggs. ..................... 7 Sanitary Requirements Established for Egg Breaking Plants. 9 Government Inspection Requested by the Industry. 10 Use of Dried Eggs in World War I . 11 HEAVY IMPORTS OF EGG PRODUCTS FROM CHINA: 1921-31. 12 Industry Trends in the United States. .......................... 12 Imports of Frozen and Dried Eggs. 13 The Chinese Egg Industry. 13 Tariffs on Egg Products. ....................................... 16 Early Methods of Packing Frozen Eggs. 17 THE REVIVAL OF EGG DRYING IN THE UNITED STATES: 1932-40. 17 Factors Favorable to Re-establishment of Egg Drying. ............ 17 The Demand for Yolks and Whites. ............................. 19 The Spray Dryer and Other Technological Developments . 19 Types and Quantities of Dried Eggs Packed, 1938-40. .............. 20 EXPANSION DURING WORLD WAR II: 1941-46. 21 Egg Production Stimulated by Price Supports. 21 The Increase in Egg Drying Facilities. 21 Government Purchases of Egg Solids. 22 Continuous Inspection Program for Egg Products. 23 Shelf Life Problems with Whole Egg Solids. 23 Contributions of USDA’s Mobile Laboratory. 25 Lessons from Feeding Dried Eggs to Undernourished People. 25 POSTWAR TRANSITION: 1947-50. 26 Reduction of Egg Drying Capacity .......................... 27 Influence of Price Supports and the Egg Drying Program on Egg Quality . 27 Research on Egg Products. 27 Industry Laboratory for Egg Products. 29 Implications of Reduced Imports of Dried Egg Yolk. 29 [3] PAGE EXPANDING DOMESTIC USE OF EGG PRODUCTS AND AUTOMATION IN EGG BREAKING: 1951-59 . 31 Dried Eggs Officially Renamed Egg Solids. 31 Increased Demand for Egg Products. 31 Use of Egg Solids by Schools. 31 The Demand-Supply Situation for Yolks and Whites. 32 Automation in Egg Breaking. 32 Contract Egg Production and the Egg Products Industry. 33 Trading in Frozen Egg Futures. 34 Technological Advances in Albumen Solids for Angel Food Cake Mixes . 39 LIST OF REFERENCES . 41 APPENDICES: Appendix A-Tables 1-2 . 42 Appendix B-Egg products: Specifications and principal uses. 46 Appendix C-Chronology of, and Persons or Firms Responsible for, Significant Technological Developments in the Egg Products Industry . 47 [4] The Egg Products Industry of the United States Part I. Historical Highlights, 1900-591 BY JOE W. KOUDELE AND EDWIN C. HEINSOHN2 PURPOSE OF THE STUDY Since its humble beginning in 1900 events, and technological develop- the egg products industry has under- ments that have shaped the industry’s gone many significant changes which history and to serve as background probably will be accelerated in the for the new generation which is future. The purpose of this study is gradually assuming the direction of to provide a brief but authentic re- this industry. cording of the major economic forces, SOURCES OF INFORMATION Part of this history is based on associated with the industry in various observations, personal experiences, capacities. In addition, valuable 3 and knowledge of one of the authors reference material was drawn from whose major life work has been spent various industry and governmental in the egg products industry. Other sources, in particular certain periodi- valuable information was obtained cals and research publications of the through consultation and correspond- Department of Agriculture. ence with various persons directly EARLY GROWTH PERIOD: 1900-20 Founding of the Industr y and soiled shells, he conceived the In the late 1890’s, H. J. Keith, a idea of removing the egg meats and young ex-schoolteacher from Maine, freezing them. In his first attempt to was engaged in the shell-egg business pack frozen whole eggs the product in St. Paul, Minn. Distressed by in- was frozen before mixing the yolks ability to market eggs with checked and whites. Upon thawing, the prod- 1. Contribution No. 326, Department of Agricultural Economics, Kansas Agricultural Experiment Station, Manhattan. 2. Associate agricultural economist and instructor, respectively. 3. E. C. Heinsohn holds a B. S. degree from Cornell University (1915) with a major in poultry marketing. From 1915-19, he worked under Dr. Mary E. Pennington in the Food Research Laboratory, Bureau of Chemistry, USDA. He helped conduct research to improve the performance of railroad re- frigerator cars for shipments of perishables, particularly poultry and eggs. During 1919-22, he was in charge of branch egg buying stations for a plant of the Amos Bird Company (Boston) in Shanghai, China. While associated with Seymour Foods, Inc. his responsibilities included sales representative (shell eggs, frozen eggs, and poultry) at Albany, New York (1923-42); supervision of egg drying opera- tions (1942-46)
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