Four Midwestern dairy groups this week announced a Federal Milk Marketing Orders proposal. The proposal aims to create long-term stability in fluid milk pricing and reducing the likelihood of negative producer price differentials that cut into farmers' revenue last year during the pandemic. The proposal from the Dairy Business Association, Edge Dairy Farmer Cooperative, Minnesota Milk and Nebraska State Dairy Association comes after the groups began studying options early this year. They say the proposal, which they are calling "Class III Plus," aims to build upon the current pricing system, recent proposals by dairy cooperatives, and dairy farmer petitions to define a better Class I pricing system. The Class III Plus proposal would, among other things, tie the Class I fluid skim milk price to the Class III cheese skim milk price plus an adjuster and do away with advanced pricing, a cause of the negative Producer Price Differentials last year. The proposal is also revenue-neutral, therefore more equitable among farmers, processors and customers.
Friday Closing Dairy Market Update - New Contact Highs in Milk Futures
MILK Milk futures showed strong gains this week with July and later contracts making new contract highs. The gains have been quick a...
-
MILK There had been some optimism that lower milk production in February would get the attention of cheese buyers and they would ste...
-
Cheese prices moved up on bids and no sales taking place. Blocks increased 0.75 cent, closing at $1.8075 and barrels increased 0.50 cent, ...
-
MILK The had been some hope earlier in the week that spot prices had found a bottom and milk futures would be supported. However, th...