_Shelling._—Within the past two years the shelling of almonds has taken a prominent place in the consideration of the men charged with the disposal of the almond crop. The increasing popularity of shelled almonds, and the limited market for unshelled almonds, makes the production of more shelled almonds imperative in view of the prospects of greatly increased production in the next few years. A small proportion of the shelled almonds marketed are those accidentally shelled during the hulling process. This probably averages less than 30 pounds per ton of almonds hulled in ordinary years. The varieties most commonly shelled are the papershells. They are much more easily shelled without breaking the kernels than are the harder shelled varieties and, in addition, are worth more for shelling because of the high percentage of kernel compared to shell. _Grading._—Grading almonds for size is not done at present but probably will be within the next few years. Grading for quality is done regularly by testing an entire lot rather than attempting to separate inferior nuts. The standard grade consists of all lots having the required percentage of good kernels, free from worms or gummy nuts. This requirement varies between 90 and 95 per cent, depending on the condition of the crop as a whole and on the market conditions. The standard grade of a given variety sells on guarantee that it shall be up to advertised standard. All lots which cannot pass this are sold on sample, and therefore, on their own individual merits. MARKETING The marketing of the California almond crop is at present on a firmer basis than at any time in the past. Previous to 1910 there was little or no coöperation among growers and the buyers had everything their own way. In May of that year, however, Mr. J. P. Dargitz, an almond grower near Acampo, California, successfully organized the California Almond Growers’ Exchange, consisting of nine local associations with a total membership of 230 growers. The Exchange started business with $1000 borrowed capital, personally guaranteed by the directors. On June 1, 1918, there were 22 sub-associations representing about 2000 growers, controlling about three-fourths of the crop. The Exchange now is not only out of debt but owns investments aggregating $100,000 in value, including warehouses, a central shelling plant and other property. At the same time, the growers have been receiving about 50 per cent more for their almonds than before the Exchange was organized. The success of the Exchange, with the consequent higher prices to the grower, has resulted in a large increase in the acreage of almonds in California. This increase is making it necessary to develop new markets to absorb the greater tonnage, and this can only be done effectively or satisfactorily by coöperative effort.