Next LGM-Dairy policy sale is Sept. 27
The next Livestock Gross Margin-Dairy (LGM-Dairy) sales period begins Friday afternoon, Sept. 27, according to Alan Zepp, Risk Management Program coordinator with Pennsylvania’s Center for Dairy Excellence. LGM-Dairy will be offered for sale by crop insurance agents, with producers eligible to purchase margin insurance for a 10-month period (November 2013 to August 2014), or any combination of months during that period.
The November 2013-August 2014 average of expected margins ($0.00 deductible policy) is $13.65/cwt., still more than $1.22/cwt. above the five-year average actual margin of $12.23/cwt.; and 21¢/cwt. more than the three-year average of $13.44/cwt.
The premium for a $0 deductible policy to insure a $13.71/cwt. margin is estimated at 52¢/cwt. (12¢/cwt. to insure a $12.71/cwt. margin for a $1 deductible policy).
Approximately $5.28 million in LGM-Dairy funding remains for fiscal year 2013, which ends Sept. 30; approximately $9.62 million has been used.
“Protecting Your Profits” information and a recorded podcast will be posted at http://centerfordairyexcellence.org/protecting-your-profits/. The website also adjusts LGM-Dairy estimated margins weekly, based on updated futures prices. For further information, producers can contact Zepp at firstname.lastname@example.org or phone 717-346-0849.