# 2020 Negative PPD challenges snowballing - Brownfield Ag News

> University of Minnesota economist Marin Bozic said government coronavirus food box purchases lifted Class III prices and widened the Class III and Class IV cheese spread to a record. Cheese makers then depooled fluid milk, deepening three months of negative PPDs.

- Date: 2020-09-23 · published 2020-09-23T12:00:00.000Z
- Category: policy · region US · magnitude medium
- Page: https://feedsoft.ai/events/51131-2020-negative-ppd-challenges-snowballing-brownfield-ag-news
- Commodities: [Milk (Class III)](https://feedsoft.ai/c/MILK.md)

## Why it matters

Negative PPDs cut farm milk checks and raise pressure for a federal review of the milk marketing system, which could change future pricing.

## Read by commodity

- MILK: bearish ▼

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| MILK | 2020-10-04 | 5 | +26.2% | 2.8 | Government food box purchases lifted Class III prices and widened the cheese spread, with depooling reducing milk supply into Class III; both support the sharp rise. |
| MILK | 2020-09-29 | 1 | +19.4% | 5.0 | Government food box purchases lifted Class III prices and widened the Class III-IV spread, showing policy demand support behind the rally. |

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| MILK | 2025-06-05 | [Federal Milk Marketing Order changes kick in - Brownfield Ag News](https://feedsoft.ai/events/24383-federal-milk-marketing-order-changes-kick-in-brownfield-ag-news.md) | +0.5% | -7.2% |
| MILK | 2023-09-26 | [Milk, cheese prices fall while USDA, industry discuss proposals - Brownfield Ag News](https://feedsoft.ai/events/34251-milk-cheese-prices-fall-while-usda-industry-discuss-proposals-brownfield-ag-news.md) | -0.2% | -8.5% |
| MILK | 2020-08-05 | [Large Negative PPDs on Milk - AG INFORMATION NETWORK OF THE WEST](https://feedsoft.ai/events/8832-large-negative-ppds-on-milk-ag-information-network-of-the-west.md) | -21.0% | -19.2% |
| MILK | 2020-12-01 | [News for Dairy Co-ops - December 2020 - NMPF](https://feedsoft.ai/events/4225-news-for-dairy-co-ops-december-2020-nmpf.md) | -33.9% | -32.3% |
| MILK | 2020-06-30 | [Negative PPDs to Offset Milk Price Rally \| Farm Bureau Intel Markets \| American Farm Bureau Federation](https://feedsoft.ai/events/52775-negative-ppds-to-offset-milk-price-rally-farm-bureau-intel-markets-american.md) | +11.9% | +16.6% |

## Sources

- brownfieldagnews.com: https://www.brownfieldagnews.com/news/2020-negative-ppd-challenges-snowballing/

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