February milk production up 2.4 percent

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Milk production in the 23 major States during February totaled 14.0 billion pounds, up 2.4 percent from February 2010. January revised production at 15.2 billion pounds, was up 2.5 percent from January 2010. The January revision represented a decrease of 21 million pounds or 0.1 percent from last month's preliminary production estimate.

Production per cow in the 23 major States averaged 1,666 pounds for February, 24 pounds above February 2010.

The number of milk cows on farms in the 23 major States was 8.40 million head, 81,000 head more than February 2010, but no change from January 2011.

Read the full milk production report.

Source: USDA

Editor’s note: The following market commentary was provided by FC Stone.

USDA’s milk production report was released today for the month of February 2011. In our opinion the report was neutral. One could make the case for a slightly bullish lean as the estimated U.S. milk supply grew just 2.0 percent from a year ago slightly less than expectations for an increase of 2.2 percent. Cow numbers were revised higher by 3,000 head for the month of January in today’s report. In spite of those revisions cow numbers were actually lower than expected as February herd size was unchanged from January. The recent trend has been for upward revisions in the total cow numbers over the last few months and that is the reason we would term this report neutral with the expectation that when the March numbers are released total cows may be revised higher for February.

Milk production in 23 major states during February 2011was 14.0 billion pounds, up 2.4 percent from a year ago. Production per cow in 23 states averaged 1,666 pounds for February, up 24 pounds from the same month a year ago. Cow numbers in 23 select states totaled 8.404 million head, unchanged from the January revision.

For the estimated U.S., February 2011 milk production was 15.1 billion pounds, up 2.0 percent from a year ago. On a daily average basis, production in February was 537.7 million pounds, up 1.9 percent from the month before and up 2.0 percent from the same month a year ago. Milk yield per cow for February was 1,644 pounds per cow, up 21 pounds from the same month a year ago. And cow numbers for the U.S. in February were 9.160 million head, unchanged from last month. Cow numbers have stagnated though we would expect that to increase as producer margins were stronger in February and will also be so in March.

For February 2011, production gains were modest for California, growing just 2.4 percent to 3.162 billion pounds from a year ago. In other Western States, Arizona grew 7.3 percent to 354 million and Idaho grew 3.4 percent to 968 million pounds. In the Midwest, Wisconsin grew just 0.5 percent to 2.0 billion pounds, Minnesota declined -0.8 percent to 704 million pounds, and Michigan grew 2.7 percent to 644 million pounds. In the Northeast, New York grew 3.8 percent to 988.



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