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Article: Forecast tool for milk production developed.(milk prices looks very pessimistic)
- Article from:
- Feedstuffs
- Article date:
- May 8, 2006
- Author:
CopyrightCOPYRIGHT 2006 Miller Publishing Company, Inc. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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DAILY average milk production has been growing at rate of 4.9-5.3% per month relative to a year ago during the first three months of this year. This has been an unprecedented rate of growth.
Both cow numbers and yield per cow have been growing. The result is that the outlook for milk prices looks very pessimistic. Class Ill milk futures have fallen from an average $14.05/cwt. in 2005 to a low of just less than $11 during the spring of 2006.
There are many variables that affect the outlook for milk prices. On the supply side, they include milk production and imports. On the demand side, they include commercial domestic use and exports, change in ...