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California producers still pushing to join Federal Orders

Those pushing to have California join the federal milk marketing system are continuing the effort. A week ago, California Department of Food and Agriculture Secretary Karen Ross announced a one-year increase in the whey value used to formulate the state’s 4b price, the price for milk going into cheese. The move would increase the farm milk price at the expense of processors.

The California Dairy Campaign (CDC) says while the change is welcome, it is too little and short-lived. The change comes at a time when whey prices have plunged; had the new formula been in effect in January of 2012 the result would have been an increase of more than $3 per hundredweight at the farm gate. At the current whey price the difference is 65 cents. CDC says even with the one-year increase, California’s 4b price will continue to be 50 cents below the Federal Class III price. California consistently has the lowest farm milk price in the country.

CDC, a statewide association of family dairy farmers says it will continue to call for a federal order for California to bring producer prices into line.