USDA’s All-Milk Dairy Price Shows Continued Decline

Farm Journal logo

The all-milk price received by U.S. dairy farmers during March fell to $15.10/cwt., down 4.9% from February's levels, USDA's National Agricultural Statistics Service (NASS) said in its Agricultural Prices report released today.

 

March's all-milk price is 80¢ lower than last month's $15.90/cwt., but up $3.30/cwt., or 29%, from March 2009.

 

This month's price drop doesn't surprise Dr. James Dunn, an economics professor at Pennsylvania State University.

 

"Markets have been soft, and with recent cheese price futures, I don't think prices are going to be very good for the next couple of months,” Dunn said.

 

Dairy prices look better for July, Dunn said, but "unfortunately that's a long way away, given the hammering everybody took in 2009.”

 

Feed prices were also lower, with NASS estimating March corn prices at $3.49/bu., down from February's $3.55/bu.

 

By his calculations, Dunn put income over feed costs -- dairy producers' milk margin after paying their feed bill -- for March in the $9.19 range, about where it was in November 2009. He estimated December 2009's income over feed cost at $10.44, January 2010's at $9.89, and February's at $9.97.

 

NASS said the fluid grade milk price dropped 80¢ from last month, while the manufacturing grade milk price is 70¢ lower.

 

Earlier this year, NASS pegged the all-milk price for January at $16.10/cwt.

 

Read today's USDA Agricultural Prices report at http://www.nass.usda.gov/.

 

Catherine Merlo is Western editor for Dairy Today. You can reach her at cmerlo@farmjournal.com.

 

Latest News

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.

Influential Dairy Leaders Awarded World Dairy Expo Recognition Awards
Influential Dairy Leaders Awarded World Dairy Expo Recognition Awards

World Dairy Expo is delighted to announce the recipients of the 2024 Expo Recognition Awards. These individuals have made remarkable contributions to the dairy industry and their communities.