Class II Up 13¢ $10.49/cwt. Class III Up 34¢ $10.78/cwt. Class IV Up 18¢ $9.82/cwt. Butterfat Up $0.0455 $1.2049/lb. CALIFORNIA APRIL CLASS PRICES Class 4 A Class 4 B U.S. All Milk Price Up Down APR '08 12¢ 4¢ $18.00 cwt. $9.79/cwt. $10.41/cwt. APR $12.00 '09 cwt. WORLD MARKET REPORTS Apr 20 – May 1, ‘09 Butter Skim Milk Powder Europe $1.23$1.32/lb $0.80 $0.95/lb $0.93 $1.02/lb $0.82 $1.00/lb Oceania Cheddar Cheese --$1.09 $1.23/lb Whole Milk Powder $1.05 $1.11/lb $0.95 $1.05/lb U.S. MARKET REPORT Apr 2025, 2009 AA Butter Non-Fat Dry Milk Block Cheddar Cheese United States $1.16/lb $0.82/lb $1.25/lb MARCH COLD STORAGE Dry Whole Milk $1.16 $1.25/lb 04/20/09 Butter stocks: Up 5% from last month; down 4% from a year ago. American Cheese: Unchanged from last month; up 7% from a year ago. Total Cheese: Up 2% from last month; up 8% from a year ago. MARCH MILK PRODUCTION 04/17/09 Milk Production in the 23 major States during March totaled 15.2 billion pounds, down 0.2% from March 2008. February revised production at 13.6 billion pounds, was down 2.7% from February 2008. The February revision represented an decrease of 23 million pounds or 0.2% from last month’s preliminary production estimate. Production per cow in the 23 major States averaged 1,788 pounds for March, 6 pounds below March 2008. The number of milk cows on farms in the 23 major States was 8.48 million head, 15,000 head more than March 2008, but 4,000 head less than February 2009. Organic Valley average pay price For MARCH 2009 $27.56/cwt. Considering Organic? Organic Valley Farmer Hotline 888-809-9297 FA IR P RIC IN G By Wayne Moore, Dairy Risk Management Director March milk production is down 0.2%. Secretary of Agriculture Vilsack announces that 200 million pounds of NFDM will be donated to various food programs. 2009 milk production is projected down 0.4% and consumption projected up 1.1%. The May Class III futures is below $10.00. The barrel cheese price is $1.05 and the block price is $1.13. What is going on here? The same old thing that has been going on for years; the industry is setting your milk price! They are building inventories with cheap milk and when the cheese price goes back up they will reap the profits. Then they will use those profits to out pay cooperatives and gain even more control over dairy farmers. With milk prices at less than half of the cost of production, how long can dairy producers stay in business? The loss in equity is terrible. It is critical that farmers react. The consolidation in the industry continues; and if it goes on a few more years dairy producers will be at the complete mercy of the industry, just like grain and livestock producers. Someone recently said, “If NFO is not around to fight for farmers, who will?” The answer is no one. Now is the time to act while you can. Talk to your neighbors and your NFO representatives. Get organized to protest this disastrous situation. The time is now and now is the time. CLASSIII Comparisons 2007 2009 2008 24.00 Dollars per hundredweight APRIL MONTHLY PRICES 22.00 20.00 18.00 16.00 14.00 12.00 10.00 8.00 JAN FEB MAR APR MAY JUN Volume VII, Issue 5 Available at nfo.org Dairy Tab – Dairy Report JUL AUG SEP OCT NOV DEC GREAT LAKES REGION PRODUCER SPOTLIGHT Guernsey Farms Dairy N OR T HVI L L E , M I C HI G A N By Gary Sc h miesi ng , Reg ion al Di re cto r Saturday April 25th 2009 brought a day of intermittent rains to the Detroit area, but that didn’t keep the crowds away from the open house at Guernsey Farms Dairy located in the suburb of Northville. The lines were long and the many thousands of consumers who participated learned about Guernsey Farms Dairy history along with the modern processing techniques in the industry today. All visitors to the dairy enjoyed ice cream cones compliments of the McGuire family. A live Guernsey cow was also present for the crowd to see where the milk for processing comes from for their ultimate consumption. Guernsey Farms Dairy has a rich history dating back to 1940. John McGuire the patriarch of the dairy, along with his wife Pat and their fourteen children, made the dairy the success it is today. Many of the children, grandchildren and even great grandchildren work in the dairy today. John is 100 years old and helped welcome the visitors on this particular Saturday. John had completed a dairy program from Michigan Agricultural College in 1940, now known as Michigan State University and was anxious for the opportunity to use the formula he developed to produce ice cream, chocolate milk, buttermilk, sour cream and eggnog. In 1940 he began working at the dairy, took part ownership in 1945, and full ownership in 1952. Representatives from NFO including staff, National Directors, and farmer members were also present at the open house with a booth set up to answer questions about the farms supplying the milk, the quality and care of animals at the farm level, and the pickup, transportation, and delivery of the milk to Guernsey Farms Dairy. Explaining to consumers that Happy Cows well cared for, provide more and better quality milk tied in with the mission statement of Guernsey Farms Dairy. Their mission statement, “We believe service isn’t expensive—it’s priceless” Today, Guernsey Farms Dairy operates not only the dairy, but also an ice cream store, a restaurant, and gift shop at the same address. If you haven’t had their ice cream, eggnog, or other products, you are missing out on the best. NFO supplies all the raw milk used by this dairy and the quality of the milk for processing by processing plants is important to them and to us. Our compliments go out to Guernsey Dairy and the McGuire family for their very excellent open house, consumer education and public outreach program. John and Pat McGuire, their 14 children and extended families John and Pat McGuire wanted a big family and all fourteen children have had extensive work experience in the dairy.