DairyProfit Friday, April 1, 2011

An (almost) daily recap of dairy information: April 1, 2011

March federal, California order prices announced

Federal and California milk marketing order prices for manufacturing classes of milk were announced April 1.

The March 2011 federal order Class III price is $19.40/cwt., up $2.40 from February 2011 and $6.62 more than March 2010. The March 2011 Class IV price is $19.41/cwt., up $1.01 from February 2011 and $6.49 more than a year ago.

The California milk marketing order’s March 4b milk price is $16.76/cwt., down 16¢ from February 2011, but $5.63 more than March 2010. The 4a milk price is $19.06/cwt., up $1.18 from February 2011, and $6.22 more than March 2010.

IDFA advocates funding for LGM-Dairy

Connie Tipton, CEO of the International Dairy Foods Association (IDFA), called on Congress to
maintain funding for a federal risk management insurance program for dairy farmers.

In a letter to U.S. Sen. Debbie Stabenow (D-Mich.), chair of the Senate Committee on Agriculture, and U.S. Sen.  Pat Roberts (R-Kan.), ranking member of the committee, Tipton restated IDFA’s support for the Livestock Gross Margin-Dairy program.  Tipton pointed out the program’s increased relevance, with more than 1400 contracts issued in FY 2011.  Tipton cautioned that USDA has nearly reached its underwriting capacity for the program, and urged the senators to fund the program for the remainder of the year.

MARKETS: Cheese dips below $1.60/lb.

Closing on Friday, April 1:

Cheddar barrels: down 3.25¢, to $1.5725/lb.

Cheddar blocks: down 3.0¢, to $1.5950/lb.

Butter: down 1.0¢, to $1.99/lb.

Extra Grade nonfat dry milk: unchanged, at $1.80/lb.

Grade A nonfat dry milk: unchanged, at $1.70/lb.

Class III milk futures: mostly lower, steady to -16¢/cwt. through March 2012.

Corn futures: +10.0¢ tto +42.6¢/bushel through September 2012.

Soybean futures: -16.6¢ to -4.4¢/bushel through September 2012.

Soybean meal futures: -$9.80 to -5.00/ton through September 2012.

Drug residues … your problem?

The U.S. dairy industry is now under increased surveillance for drug residues in both meat and milk.  The Food & Drug Administration is stepping up its efforts to detect these substances in the food supply and has threatened stronger actions. To help dairy producers, veterinarians and industry professionals, two free webinars are scheduled, April 5 &  6.  These hour-long informational sessions are presented by American Farmers for the Advancement and Conservation of Technology (AFACT), and feature Dr. Mike Lormore, director of U.S. Dairy Veterinary Operations for Pfizer Animal Health. Register by visiting http://www.itisafact.org or e-mailing information@itisafact.org.


Monday: DMI Update

In Monday’s DairyLine broadcast, Dairy Management Inc.’s Joe Bavido reviews the “Fuel Up to Play 60” program, which is gaining popularity. Launched by the National Dairy Council and the National Football League, with support from USDA, the program is now in about 70,000 schools.  To read the DairyLine broadcast comments, visit www.dairyline.com under “Today’s Dairy News.” Or, listen to the conversation with DairyLine’s Lee Mielke by clicking on “DairyLine Daily Broadcast.”

Check for daily DPW news updates at www.dairybusiness.com.

For a sample copy of Dairy Profit Weekly, or subscription information, visit www.dairyprofit.com or phone: 800-334-1904, ext. 244.

Dave Natzke, Editor