Blimling and Associates Blog

Wisconsin Man Argues Right to Sell Raw Milk

Dairy Farmers to Get Help

$60 Million in Cheese Purchases to Assist Dairy Producers, Food Banks

Tasmanian Dairy Battle Over

Councillors Decide Fate of Ocean Dairy Factory

According to the USDA/NASS Milk Production Report, released at 2:00pm CT today:

November 50-state MILK PRODUCTION @ 15.060 billion pounds, down 1.0% versus November 2008 levels. 

November 23-state MILK PRODUCTION @ 13.955 billion pounds, down 1.0% versus November 2008 levels. 

November 50-state COWS @ 9,091,000 head, down 242,000 head over November 2008 levels and down 7,000 head from the October 2009 estimate (the October estimate was unchanged, making for a 7,000 head report-to-report change)

November 23-state COWS @ 8,310,000 head, down 209,000 head over November 2008 levels and down 6,000 head from the October 2009 estimate (the October estimate was revised unchanged, making for a 6,000 head report-to-report change)

For more insight into what this might mean for prices, request a free trial subscription to the Dairy Research Service.

Block cheddar cheese closed at $1.7025/lb, up $0.0025/lb with 6 trades.

Barrel cheese closed at $1.4400/lb, down $0.0200/lb with 2 trades.

Butter closed at $1.3250/lb, down $0.0225/lb with 1 trade.

Grade A NDM closed at $1.3700/lb, unchanged with no trades.

Extra Grade NDM closed at $1.4000/lb, unchanged with no trades.

Recent stories in The Wall Street Journal and The New York Times spotlight polls that seek to assess consumer sentiment amid high unemployment. To put it mildly, neither story is an uplifting read. From the Journal article entitled "US Hurting in Wallet -- and Spirit": 

More than four in 10 Americans said they considered it extremely likely that they would lose a job, have wages and bonuses cut, or be forced into a lower-paying job in the next year. (A third said one of those things already has happened.) A quarter of Americans fear a double-whammy, expecting to simultaneously lose income while also having to assume the burden of housing or financially aiding other family members.

From the Times dispatch entitled "Poll Reveals Trauma of Joblessness in the U.S.": 

More than half of the nation’s unemployed workers have borrowed money from friends or relatives since losing their jobs. An equal number have cut back on doctor visits or medical treatments because they are out of work. Almost half have suffered from depression or anxiety. About 4 in 10 parents have noticed behavioral changes in their children that they attribute to their difficulties in finding work. Joblessness has wreaked financial and emotional havoc on the lives of many of those out of work, according to a New York Times/CBS News poll of unemployed adults, causing major life changes, mental health issues and trouble maintaining even basic necessities.

It is tempting to look at the proliferation of stories along these lines as an indicator that the worst is way behind us and that things might get a lot better, a lot quicker than expected. Sometimes, in other words, all of the media attention is a contrary indicator. At the same time, no one really has a contemporary frame of reference for the depth of the current despair. Anxiety could linger for months, perhaps years -- which, of course, can dramatically influence consumer behavior.

Dairy Farmers in Line for Federal Dollars

Lactate Helps Clean Polluted Soils

Slightly Less Milk Production and Firm Global Demand Combine to Raise 2010 Milk Price Forecast

US to Slash Dairy Cow Emissions by 25%

Emergency Dairy Spending Causes Rift Among States

USDA announced details today about the Dairy Economic Loss Assistance Payment Program (DELAP).

The $290 million intended for direct payments to dairy farmers made available in the 2010 Ag Appropriations bill will be made in one-time direct payments on up to 6 million pounds of milk per dairy.  Production records from February through July will be used to arrive at an annual production figure.  USDA expects the payment rate to be approximately $0.32/cwt. 

Press Release

Dairy cow slaughter for the week ending December 5 was 54,026 head, up 3.2% from the same week last year.

This puts slaughter up 244,000 head year-over-year, YTD through week 49.

Block cheddar cheese closed at $1.7000/lb, unchanged with 6 trades.

Barrel cheese closed at $1.4600/lb, unchanged with no trades.

Butter closed at $1.3475/lb, down $0.0525/lb with 2 trades.

Grade A NDM closed at $1.3700/lb, down $0.0100/lb with 1 trade.

Extra Grade NDM closed at $1.4000/lb, unchanged with no trades.

General Mills Profit Climbs 49%

CA Dairy Farmer Get Temporary Price Increase

'Only Way is Up' for Milk Price as Demand Rises

Minister Says He Cannot Stop Cadbury Takeover

Price of Amul Butter Up

Judge Rules in Favor of Daiy Construction

EU Dairy Exports Surge

Block cheese closed at $1.7000/lb, unchanged with 8 trades.

Barrel cheese closed at $1.4600/lb, unchanged with no trades.

Butter closed at $1.4000/lb, down $0.0500/lb with no trades.

Grade A NDM closed at $1.3800/lb, unchanged with no trades. 

Extra Grade NDM closed at $1.4000/lb, unchanged with no trades.