Tridge summary
The article provides an overview of the US dairy industry's current situation, focusing on recent trends in dairy margin coverage, milk base prices, and fluid sales. It highlights a decrease in the March 2023 Class I base price, which leads to lower uniform milk prices across Federal Milk Marketing Orders, impacting dairy producers. Additionally, it notes an increase in dairy cull cow marketing numbers, reflecting high beef prices and feed costs. Fluid milk sales have seen a decline both in December 2022 and throughout the year, indicating a shift in consumer preferences. Furthermore, the article discusses the closed gap between November 2022 average 'mailbox' prices and 'all-milk' prices, affecting dairy risk management. Lastly, it discusses the mixed availability of whole cottonseed for cattle feed, with regional variations due to weather conditions and increased acreage, offering a solution for producers in cotton-challenged regions to source cottonseed from other areas.
Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.
Original content
Update highlights Coming up: January 2023 DMC March 2023 Class I base price dips below $19 January cull dairy cow marketing jumps December, 2022 fluid sales lower All-milk, mailbox price spread closes slightly in November Vitaliano: Cheese key to domestic, export growth Cottonseed: Mixed outlook for availability Coming up: January 2023 DMC The January 2023 Dairy Margin Coverage (DMC) program margin and potential indemnity payments are scheduled to be released Feb. 28. Check the Progressive Dairy website for an update. March 2023 Class I base price dips below $19 March 2023’s Federal Milk Marketing Order (FMMO) advanced Class I base price moved lower, falling below $19 per hundredweight (cwt) for the first time since November 2021. The “average-of plus 74 cents” formula provided a small producer benefit over the previous “higher-of” formula. At $18.99 per cwt, the March 2023 Class I base is down $1.79 from February and $3.89 less than March 2022. Class I zone differentials are ...
Source: Progressivedairy
Would you like more in-depth insights?
Gain access to detailed market analysis tailored to your business needs.
What to read next
Read more relevant content
By clicking “Accept Cookies,” I agree to provide cookies for statistical and personalized preference purposes. To learn more about our cookies, please read our Privacy Policy.