Tuesday, March 22, 2011

Dairy News

Dairy Industry Still Struggling With Aftermath of Difficult Years

Sacramento-Milk prices continue to rise but dairy farmers are still struggling with the aftermath of several difficult years. Dairy farmers are facing high corn prices and many are finding it difficult to get production loans.

Farm gate milk prices are expected to average $17 per hundredweight this year, compared to about $12 during the recession of 2009 that hit many dairy farmers hard.

Tom Barcellos, Tipton, Calif., dairy farmer, said the value of dairy cows has slipped, which makes it hard for many farmers to get credit. “It’s hand to mouth,” he said. “They have no feed, they have used up equity and they have to buy a load of feed at a time to try to hang on.”

Associated Press article


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