December Federal Milk Marketing Order Class II, III and IV milk prices will be announced Jan. 5.

• January 2023 Class I base price lower
• USDA awards dairy export funding
• November cull cow marketing mixed
• Butter inventories continue to shrink

With recent forecasts predicting lower milk prices and tighter dairy income margins ahead, is 2023 the year you explore dairy risk management options? 

Progressive Dairy summarizes issues in the news and attempts to describe how they might affect dairy farmers.

Class IV pooling across all FMMOs represented about 7% of the total milk pooled. It was the ninth month so far in 2022 that Class IV pooling was below 10% of total milk pooled.

The USDA’s December World Ag Supply and Demand Estimates and Crop Production reports provide production and price forecasts.

The spread between Class IV and Class III milk prices continues to decline, suggesting a reduction in Class IV depooling – but maybe not yet.

Reminder: Dairy producers can enroll and make 2023 DMC coverage elections through Dec. 9 at USDA Farm Service Agency offices.

The Dairy Margin Coverage program October margin will be announced on Nov. 30. Check back with Progressive Dairy.