Dairy Report: Markets “React in a Significantly Negative Way”

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There's been big demand at the grocery stores for milk, but it isn't enough to help milk prices right now. 

There was panic selling on Friday with cheddar blocks falling 15 cents and Class III also saw limit moves lower.

I talked with Anna-Lisa Laca, the editor of Farm Journal's Milk, about the industry right now. She expects we will show a record for fluid milk consumption for the first quarter.

“Unfortunately, that’s not being offset by restaurant demand and it’s not being offset by our lack of ability to export dairy products in a meaningful way at the moment, so we are seeing the markets react in a significantly negative way,” Laca says. 

It comes as producers enter a time when production typically ramps up, and that could lead to some farmers having to dump milk.

The National Milk Producers Federation is trying to help producers through the coronavirus crisis. On its website, it has added several key guidance documents.

It includes information from the Department of Labor, Occupational Safety and Health Administration, the Small Business Administration and others. All designed to help ag employers navigate complex workforce matters. Meanwhile, documents important to both employers and employees, including NMPF's Dairy Farmer Handbook on Coronavirus Prevention and Management, are being made available in Spanish, ensuring that essential information is available across all facets of dairy production.