June Dairy Budgets Improve Slightly
June dairy budgets for the western Corn Belt did improve slightly, with milk prices up 8¢/cwt and feed costs down a few cents per hundredweight of milk produced.
Nevertheless, these budgets were still bleeding a lot of red ink. Freestall herds producing 20,000 lb. of milk per cow per year were losing $2.32/cwt in June compared to losing $2.59/cwt in May. Herds producing 24,000 lb. of milk per cow were losing 85¢/cwt in June compared to $1.14 in May.
Bottom line: Dairy farms are still having difficulty paying all cash expenses, says Robert Tigner, University of Nebraska Extension dairy educator.
The net mailbox price calculated in Tigner’s budget was $14.46/cwt in June compared to $14.38 in May. Corn prices came down 15¢/bu in June to $3.66/bu, and soybean meal prices dipped $30/ton to $365. Hay was budgeted at $180/ton, unchanged from the previous month. Cull cow prices also improved $10/cwt to $88 in June.