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No decision on California Federal Order request

USDA has yet to determine if it will conduct a hearing on a petition from three dairy cooperatives to form a Federal Milk Marketing Order for California. California Dairies, Dairy Farmers of America and Land O’Lakes, the three largest dairy co-ops in the Golden State filed the petition on February 5^th requesting the ag department conduct a hearing to consider the FMMO.  California producers operate under a state pricing plan.

Cheese Market News says the California plan would have the same pricing formula of all other federal orders for all classes of milk. The California quota would continue as it is today as would the California transportation and fortification subsidy programs.  All dairy producers in the state would receive the same blend price and all California plants purchasing Grade A milk would be pool plants.

USDA is asking that additional proposals be submitted to the Ag Marketing Service by April 10. After analyzing all proposals, USDA will decide if a hearing should be conducted.