The proposal from the Dairy Business Association (DBA), Edge Dairy Farmer Cooperative, Minnesota Milk, and Nebraska State Dairy Association comes afte.
By Travis Cleven
Apr 29, 2021 | 5:53 AM
The proposal from the Dairy Business Association (DBA), Edge Dairy Farmer Cooperative, Minnesota Milk, and Nebraska State Dairy Association comes after they took a look at options early this year. They said the proposal, which is deemed âClass III Plus,â aims to build off of the pricing system currently in place, proposals by dairy cooperatives, and dairy farmer petitions to figure out a better Class I pricing system. âOur proposal looks to the future. It would make lasting changes to the milk pricing system that will limit negative PPDs (Producer Price Differential) in the future and the possible negative effects from future crises,â DBA President Amy Penterman said.
By Travis Cleven
Apr 29, 2021 | 5:53 AM
The proposal from the Dairy Business Association (DBA), Edge Dairy Farmer Cooperative, Minnesota Milk, and Nebraska State Dairy Association comes after they took a look at options early this year. They said the proposal, which is deemed âClass III Plus,â aims to build off of the pricing system currently in place, proposals by dairy cooperatives, and dairy farmer petitions to figure out a better Class I pricing system. âOur proposal looks to the future. It would make lasting changes to the milk pricing system that will limit negative PPDs (Producer Price Differential) in the future and the possible negative effects from future crises,â DBA President Amy Penterman said.
Midwest dairy groups announce FMMO proposal to improve milk pricing
Dairy Business Association, Edge Dairy Farmer Cooperative, Minnesota Milk and Nebraska State Dairy Association have banded together to propose their new milk pricing plan, Class III Plus, which ties Class I milk prices to Class III prices.
The groups said during a press conference Apr. 27 that this proposal would create a more equitable market across the board for the nation s dairy farmers. The plan comes after negative producer price differentials, or PPDs, reached record lows during the economic crisis of the pandemic and affected many dairy farmers bottom lines. Class III Plus aims to fix those holes in the system for more crisis preparedness.
4 hours ago in Agriculture Photo: WNAX
Four Midwest Dairy groups are offering an alternative proposal to a change to the Federal Milk Marketing Orders. That’s in contrast to one proposed by the National Milk Producers Federation. John Holevoet, Government Affairs Director for the Dairy Business Association says their Class III plus plan ties the Class 1 milk price to the Class 3 milk price.
He says their Class III plus plan calls for a set adjuster and an end to advance pricing.
Minnesota Milk Producers Association Executive Director Lucas Sjostrom says by tying Class 1 to Class 3 price, that’ll also be beneficial for cheese plants.