April Uniform Milk Prices, PPD Rise

Article by Jenn Coyne, Progressive Dairy

The Federal Milk Marketing Order (FMMO) uniform milk prices rose an average of $1.48 per hundredweight (cwt) from March to April for an average price of $20.03 per cwt across the 11 orders. April’s prices were the result of continued dairy demand and the ability to provide it with abundant processing capacity, a trend that carried over from March.

Regional uniform milk prices are used as a baseline measurement to calculate milk check levels, although not an indicator of the specific milk prices received by producers. In April, uniform prices gained ground in all orders (Table 1). However, the amount by which milk prices rose varied. The Upper Midwest FMMO reported the smallest gain at 77 cents per cwt greater than March’s for a uniform milk price in April at $17.43 per cwt. Conversely, the Florida FMMO reported the largest gain of $2.49 per cwt from the previous month for an April uniform milk price of $24.04 per cwt. Seven of the orders had a uniform milk price in the $17 to $19 per cwt range, while the remaining four orders had uniform milk prices that broke through the $20 per cwt threshold.

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