(Added details) Despite adjustments, February California Class 1 prices dipPrint
California’s February 2013 Class 1 milk prices are $19.83/cwt. for the North and $20.10/cwt. for the South, according to a California Department of Food & Agriculture (CDFA) announcement on Jan. 22. Both are down 41¢ from January 2013, but $1.31 more than February 2012.
The February Class 1 prices are the first to incorporate temporary formulas approved following a Dec. 21, 2012 public hearing. All California milk class prices for the months February-May 2013 will include temporary price increases. On average, these adjustments will increase the monthly pool prices for this period by approximately 25.1¢/cwt.
According to a ”Notice to Industry” from Candace Gates, chief of CDFA’s Dairy Marketing Branch:
• The Class 1 price will be increased about 5¢/cwt. by adding: $0.0006/lb. to the milk fat price; $0.0045/lb. to the milk solids-not-fat price; and $0.0001/lb. to the milk fluid carrier price.
• Class 2 & 3 prices will be increased about 10¢/cwt. by adding $0.0082/lb. to both the milk fat and milk solids-not-fat prices.
• Class 4a and 4b prices will be increased about 30¢/cwt. by adding $0.0246/lb. to both the milk fat and milk solids-not-fat prices.
The Hearing Determinations, Panel Report, Stabilization Plans and a more detailed explanation of CDFA’s decision can be obtained on the Dairy Marketing home page at www.cdfa.ca.gov/dairy by clicking on Hearing Matrix. Producers and processors with questions regarding the calculations were invited to contact Hyrum Eastman at 916-900-5014.
California’s January Class 4a/4b prices will be announced on Feb. 1, as will February and March Class 2 and 3 prices. March 2013 Class 1 prices will be announced on Feb. 8.