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Benchmark Climbs 31 Cents

Financial relief is coming slowly to U.S. dairy farms. The Agriculture Department announced the November Federal order Class III milk price at $17.15 per hundredweight, up just 31 cents from October but $3.86 below November 2022 and the lowest November Class III since 202018. That put the year’s average at $17.11, down from $22.09 in 2022, but compares to $16.96 in 2021. 

Unfortunately, Wednesday’s Class III futures portend a December price at $16.11, down $1.00 from November’s price and would put the year’s average at $17.03, which would be down from $21.96 in 2022, and compare to $17.08 in 2021. 

The January Class III was at $16.22; February, $16.75; and March at $17.31, with a peak of $18.68 in October. 

The November Class IV price is $20.87, down 62 cents from October, and $2.43 below a year ago. The year’s average is at $19.11, down from $24.68 a year ago, but compares to $15.74 in 2021. Courtesy of the Mielke Market Weekly