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2014 looks good for dairy

| December 17, 2013 | 0 Comments
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By: Bob Meyer

The latest Livestock, Dairy and Poultry outlook from USDA says dairy producers will be looking at lower feed costs for 2014. Milk production estimates for 2014 was increased to 205.3 billion pounds thanks to an increase in cow numbers to 9.25 million head and an increase in production per cow to 22,190 pounds as lower feed costs will push producers to add cows and push them more.

As for prices, cheese for 2014 is estimated to be between $1.69 to $1.77 per pound, butter from $1.50 to $1.61, nonfat dry milk $1.715 to $1.775 per pound and whey is expected to run 55 to 58 cents per pound next year. As a result, the Class III price is projected to range from $17.05 to $17.85 in 2014, Class IV will be from $19. To $19.90 per hundredweight putting the all milk price at $19.70 to $20.50 next year. That compares to $19.90 to $20 this year.

A look at the three-year trend:

Milk cow numbers went from 9.23 million head in 2012 to 9.22 million in 2013 and are expected to hit 9.26 million in 2014.

Production per cow was 21,696 in 2012, 21,866 in 2013 and projected at 22,190 in 2014

Total milk production 200.3 billion in 2012, 201.7 billion in 2013, 205.3 billion in 2014

Milk prices 2012, 2013 and projected 2014:

  • Class III $17.44 in 2012, $17.90-$18 in 2013, $19.70 to $20.50 in 2014
  • Class IV $16.01 in 2012, $18.95 to $19.15 in 2013, 19 to $19.90 in 2014
  • All milk $18.53 in 2012, $19.90 to $20 in 2013, $19.70 to $20.50 in 2014

Read the full NASS Report here:

© Copyright 2013 Brownfield, All rights Reserved. Written For: Brownfield

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Category: Agriculture

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