December USDA Hearing on MMO Pricing Formulas

Chuck ZimmermanDairy Group, Government, Milk, Price

National Milk Producers FederationThe National Milk Producers Federation says that USDA will hold a hearing in December at its request to consider new pricing formulas for Class I and II milk.

In October, NMPF asked the USDA to hold an emergency hearing on a proposal to adjust the Federal Milk Marketing Order pricing formulas for Classes I and II. NMPF’s proposal would establish a direct relationship between dairy product prices and the Class I and II price. Because the cost of supplying Class I (fluid milk) and II (ice cream, yogurt) milk have risen, NMPF’s request would also add up to 73 cents per hundredweight to the prices that move, or support, Class I and II prices – resulting in higher prices for dairy farmers. The USDA said yesterday that the hearing will be held starting Dec. 11th in Pittsburgh, PA.