News

PPD deductions announced for June

Regional Federal Milk Marketing Orders have announced Producer Price Differentials for June which will be deducted from farmer’s milk checks.

The Central Order, which includes Kansas, Oklahoma, and parts of Colorado, Illinois, Iowa, Minnesota, Missouri, Nebraska, South Dakota, and Wisconsin, was set at -$7.51 and puts the Statistical Uniform Price at $13.53.

The Mideast Order’s was -$7.05, bringing the uniform price to $13.99 per cwt.  The Mideast Order includes Michigan, Indiana, Ohio, and parts of Kentucky, Pennsylvania, and West Virginia.

The Upper Midwest Federal Milk Marketing Order’s PPD was -$3.81, making the uniform price at $17.23 per hundredweight.  The Upper Midwest Order includes Minnesota, Wisconsin, and parts of the Dakotas, Iowa, Illinois, and Michigan.

PPD’s have gone negative because Class III milk is currently priced higher than Class I fluid milk and it is part of the Federal Milk Marketing Order accounting rules.  June Class III milk on the CME pushed past $22 during the month.