MILC payment projections updated

Got your fiscal year 2013 Milk Income Loss Contract (MILC) program payment “start month” established?

Brian Gould, UW-Madison dairy economist, updated projected FY ’13 MILC payments based on milk and feed futures prices at the close of trading on Feb 7. The projected payments (cents/cwt.) are down slightly from forecasts a week ago. Projected payments are: January – 11.41¢; February – 39.06¢; March – 60.44¢; April – 42.95¢; May – 34.95¢; June – 26.77¢; July – 3.67¢; and August-September – 0.00¢.

A reminder: The “relief period” for dairy producers with annual production above the payment cap of 2.985 million lbs. and wishing to change their “start month” in FY ’13 is Feb. 1-28.

• The enrollment period for new dairy operations started before Feb. 1, 2013 is Feb. 1-28.

• The retroactive payment rate for September 2012 milk marketings is approximately 59¢/cwt. on eligible milk. FSA began making payments on Feb. 5.

• The retroactive payment rate for October 2012 milk marketings is approximately 2¢/cwt. on eligible milk. But, before the October MILC payment can be issued, dairy farmers must complete a new form, CCC-933 Average Adjusted Gross Income (AGI) Certification and Consent to Disclosure of Tax Information, available at local USDA Service Centers or online at

For additional information, visit Gould’s “Understanding Dairy Markets” website: