November Milk/Feed Margin $12.21
Dairy Farmers of America calculates the November milk/feed margin to be $12.21, the highest margin since 2014 when milk prices were above $23/cwt.
The margin is calculated using the United States Department of Agriculture’s Dairy Margin Coverage Program milk/feed margin formula.
The November 2019 all-milk price has been announced at $21/cwt. Corn is at $3.68; alfalfa hay, $191/ton, and soybean meal, $303/ton.
In 2014, under the old Margin Protection Program formula, the milk/feed margin peaked as high as $15.51/cwt when milk prices soared to $25.
Sign-up for the 2020 Dairy Margin Coverage program ended December 20.
In 2019, 23,255 operations were enrolled in the program. Their expected payments are an estimated $310 million, or an average per farm payment of $13,350.
Wisconsin is projected to receive the largest amount at $69 million. California is projected to receive $29 million, New York, $28 million, Minnesota, $25 million and Pennsylvania, $24 million.