USDA Lowers 2023 All-Milk Price to $21.60

(Taylor Leach)

Milk prices in 2022 saw record highs not seen since 2014. Feed prices, labor costs and inflation however cut deep into producers profit margins. These challenges will likely remain for dairy farmers throughout 2023. But unfortunately, economists are predicting milk prices will also sing a lower tune.

 In it’s January World Ag Supply and Demand Estimates report, the USDA lowered both its 2022 and 2023 U.S. milk production estimates from December. Milk production for 2022 was lowered due to lower expected milk per cow while 2023 production forecasts were lowered due to lower average cow inventory.

Weak domestic demand for components and increased price pressure in international markets is projected to lower Class III prices in 2023. The forecasted 2023 Class III price dropped 95 cents to $18.85 per cwt. Class IV price forecasts for 2023 also sang a lower tune, dropping 85 cents to $19.25. Currently, the 2023 all-milk price stands at $21.60, down 90 cents from December 2022.

 

Latest News

February Milk Production Report Shows Lackluster Numbers
February Milk Production Report Shows Lackluster Numbers

Comparing a leap year versus a non-leap year in 2023, February milk production was up 2.4%. However, on a per-day basis, production was down 1.1%. Milk cows totaled 9.3 million head, down 89,000 compared to a year ago.

APHIS Now Thinks Wild Birds Are to Blame for Highly Pathogenic Avian Influenza's Arrival on Four U.S. Dairies
APHIS Now Thinks Wild Birds Are to Blame for Highly Pathogenic Avian Influenza's Arrival on Four U.S. Dairies

The livestock industry continues to grapple with the first confirmed cases of HPAI in cattle, while federal and state agencies continue to assure consumers there's no concern about the safety of the U.S. milk supply.

Success is All in the Details at Kansas Dairy Development
Success is All in the Details at Kansas Dairy Development

Kansas Dairy Development provides temporary housing for up to 80,000 head of cattle — from a few days old to springers nearly ready to calve. Their formula for success is all in the details.

Skills Survey Reveals U.S. Agriculture & Food Industry Workforce Needs and Gaps
Skills Survey Reveals U.S. Agriculture & Food Industry Workforce Needs and Gaps

U.S. employers report challenges in finding suitable job candidates with work-ready skills to fill open roles in ag. The AgCareers.com U.S. Skills Survey offers insights, data and trends to address skill development.

Built Out of Love: How Two Sisters Created a Super-Fast-Growing Yogurt Company
Built Out of Love: How Two Sisters Created a Super-Fast-Growing Yogurt Company

Travel to the rolling hills of Pennsylvania, and you’ll meet Hayley and Stephanie Painter who not only made the Forbes 30 under 30 list, but have also created one of the fastest growing yogurt company in the U.S.

"Boring" Technology Will Reshape Dairy Over the Next 10 Years
"Boring" Technology Will Reshape Dairy Over the Next 10 Years

Once a technology becomes a boring experience it means it has become proven, well-adopted, and easy to utilize. There are three "boring" technologies silently shaping the industry.