“Maybe we need a new supply threat to get back to $19 to $20 Class III milk prices,” he said. “It’s been an exhausting three or four months. We don’t have a lot of milk or dairy products compared to consumption. But the cheese market flips back and forth each week from thinking we have too much cheese to too little in a very, very short period of time. We’ve seen this pretty dramatic correction to the Class III milk-corn ratio. We’re headed back to levels we haven’t seen since the middle of last year, and we haven’t seen on a lasting basis for the last 2½ years.”
We lost a lot of milk production in the southwestern U.S., particularly Texas,” he said. “And dairy cow slaughter is still 4% to 6% above what it was a year ago. I think milk output per cow will look very bearish for the foreseeable future.”
At the same time, New Zealand milk production is also contracting for the first time in 2023.
“The U.S. and New Zealand are the two largest dairy exporters in the world,” Buckner explained. Seeing New Zealand’s milk production collapse at the same time U.S. milk production is down points to higher prices.
“The balance sheet is tightening, and the outlook is bullish based on consumption trends and seasonal trends,” Buckner said. “We are back to where we were at the beginning of 2023.”
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California dairy farmer, Steve Maddox, found a newfound love for Amazon Prime, after the company hauled premium alfalfa dairy hay from his Logan, Utah, hay ranch to his Riverdale, Calif., dairy farm.
https://t.co/vrL9dms5ga
Our Dairy Team @CompeerFinance has compiled a virtual series on dairy robotic decision-making. There are on-demand videos with producers and industry experts and downloadable resources. We conclude with a producer panel on June 23. Check it out here https://t.co/J3QaHVHSoA
Interesting results reported on farms. Yelp reports post-COVID comeback in US business openings, but not in major cities https://t.co/EarY1yIkPA via @Yahoo
Growing up in SE WI I never really knew much about the old Agricultural School near Burlington, but it was a resource for many youth from 1912 until it closed in 1959, helping advance and pave the way for a new generation of WI agriculture. https://t.co/9lfmjA6qx7 #wihistory
Did something I never thought I would do…give a college lecture. Thanks Dairy Science 535 class at UW Madison for the time and great discussion on dairy business production and financial management principles. #backincollege#uwmadison#futureofdairyisbright
As demand for milk in China surges, dairy firms across the country have embarked on a farm-building frenzy. But finding the millions more cows needed will be challenging https://t.co/MstfOA3Gbh by @dpattonbeijing
A cyberattack on JBS, the world’s largest meat producer, has forced the shutdown of some of the largest slaughterhouses globally, and there are signs that the closures are spreading.
Read more @business: https://t.co/QjM6rCEjOg