# Coronavirus is Impacting Milk Prices | Red River Farm Network

> University of Minnesota economist Marin Bozic said Class III milk prices, which had reached about $18 per cwt earlier, had fallen to around $12.84. Foodservice demand for U.S. dairy is down with no replacement demand emerging. He urged farmers to set price floors through risk management tools.

- Date: 2020-04-01 · published 2020-04-01T12:00:00.000Z
- Category: macro · region US · magnitude medium
- Page: https://feedsoft.ai/events/4158-coronavirus-is-impacting-milk-prices-red-river-farm-network
- Commodities: [Milk (Class III)](https://feedsoft.ai/c/MILK.md)

## Why it matters

Persistent foodservice demand losses keep milk prices depressed, so hedging and price-floor decisions by producers become more important.

## Read by commodity

- MILK: bearish ▼

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| MILK | 2020-04-05 | 5 | -14.4% | -6.4 | Class III fell from about $18 to $12.84 as foodservice demand fell with no replacement demand, which captures the demand shock behind the decline. |
| MILK | 2020-04-06 | 5 | -14.4% | -5.9 | Foodservice demand loss with no replacement demand pushed Class III from about $18 to near $12.84, describing the demand shock behind the drop. |
| MILK | 2020-04-01 | 1 | -10.9% | -19.8 | Published 2020-04-01, it describes Class III falling from about $18 to $12.84 on foodservice demand collapse with no replacement demand, matching the move's timing and mechanism. |

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| MILK | 2020-03-31 | [Milk-Price Drops to Cost Dairy Billions in Lost Revenue as Coronavirus Bites - NMPF](https://feedsoft.ai/events/4157-milk-price-drops-to-cost-dairy-billions-in-lost-revenue-as-coronavirus-bites.md) | -14.4% | -18.8% |
| MILK | 2020-04-02 | [Dairy farmers begin to flush away milk due to coronavirus \| AP News](https://feedsoft.ai/events/4159-dairy-farmers-begin-to-flush-away-milk-due-to-coronavirus-ap-news.md) | -4.6% | -21.3% |
| MILK | 2018-07-14 | [Dairy farms weather long stretch of low milk prices \| AP News](https://feedsoft.ai/events/64182-dairy-farms-weather-long-stretch-of-low-milk-prices-ap-news.md) | -0.6% | +5.4% |
| MILK | 2023-03-17 | [As commodity prices slide, dairies brace for collapsing farmgate milk prices](https://feedsoft.ai/events/36864-as-commodity-prices-slide-dairies-brace-for-collapsing-farmgate-milk-prices.md) | +0.6% | +3.4% |
| MILK | 2020-04-08 | [Vilsack: Dairy exports improved before coronavirus - Brownfield Ag News](https://feedsoft.ai/events/5744-vilsack-dairy-exports-improved-before-coronavirus-brownfield-ag-news.md) | -2.5% | -18.1% |

## Sources

- rrfn.com: https://www.rrfn.com/2020/04/01/the-coronavirus-impacts-milk-prices/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.