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An article on Federal Milk Marketing Order make allowances, the assumed processing costs used in milk pricing formulas, says these allowances have not changed in 17 years despite rising costs. The industry is working to update them.
The article notes that higher make allowances lower the minimum milk prices farmers receive.
Raising make allowances would lower the regulated minimum milk price, so farm milk income is at stake in the rulemaking. Any change would be a structural shift in how milk prices are calculated.
dairyprocessing.comNate Donnay28 nov 2023Tras 24 eventos bajista de política pasados, Leche (Clase III) se movió una mediana de -0,1 % en 5 sesiones (33% al alza; mitad central entre -1,8 % y +0,5 %), y -4,6 % en 20.
Variaciones de la referencia de cada materia prima desde el último cierre antes del evento. Las lecturas históricas agrupan eventos pasados del mismo tipo; describen lo ocurrido, no lo que ocurrirá. No es asesoramiento de inversión.
