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www.thelandonline.com — “Where Farm and Family Meet”
THE LAND — NOVEMBER 12/NOVEMBER 19, 2021
Milk prices continue to limp upward This column was written for the marPrices report has the ratio at 1.69, which keting week ending Nov. 5. is up from 1.50 in August, but down from 2.27 in September 2020. Farm milk prices continue to recover, but more is needed. The October Federal The U.S. all milk price averaged $18.40 order Class III benchmark was per cwt., up 70 cents from August and 70 announced by the U.S. Department of cents above Sept. 2020. The California all Agriculture at $17.83 per hundredweight. milk price, at $18.80, was up 70 cents from This is up $1.30 from September, but August and $1.50 above a year ago. $3.78 below October 2020. Wisconsin’s, at $18.30, was up 90 cents MIELKE MARKET from August and 40 cents above a year ago. WEEKLY As of late morning Nov. 5, Class III futures portended a November price at The national average corn price slipped By Lee Mielke $17.76 and December at $17.63, to $5.45 per bushel, down 87 cents which would result in a 2021 averper bushel from August, but still age of $17.00. This is down from $2.04 per bushel above Sept. 2020. $18.16 in 2020, and compares to Soybeans averaged $12.20 per bushel, $16.96 in 2019. down $1.50 from August after falling 40 cents the previous month, but were still $2.96 The October Class IV price is $17.04, up 68 cents per bushel above September 2020. from September, $3.57 above a year ago, and the highest Class IV since Nov. 2014. The Class IV averAlfalfa hay averaged $209 per ton, up $3 from age is at $15.44, up from $13.52 a year ago but com- August and $41 above a year ago. pares to $16.23 in 2019 Chicago-based Commodity and Ingredient One of the measures of dairy farm profitability Hedging LLC.’s latest Margin Watch reports, “Dairy appears to have turned the corner. A small rise in margins strengthened further over the second half the September All Milk Price and some relief in of October as milk prices continued to advance in corn and soybean prices moved the September milk deferred periods which more than offset a similar feed price ratio in a positive direction for the first rise in projected feed costs.” time since November 2020. The USDA’s latest Ag “A significant slowdown in the growth of milk pro-
MARKETING
TickeTs: greensesam.org/forum21
duction while demand has stayed strong has been attributed to some of the recent strength,” the Margin Watch stated. “The feed markets have been trending higher as strong ethanol demand for corn has helped to limit harvest pressure.” USDA’s latest Crop Progress report shows the U.S. corn crop is 74 percent harvested, as of the week ending Oct. 31. This is down from 81 percent a year ago, but 8 percent ahead of the five-year average. Soybeans were 79 percent harvested, down 7 percent from a year ago, but 2 percent ahead of the five-year average. n The milk price recovery is too little too late for the large dairies which came up for sale in California and Texas, according to the Oct. 28 Dairy and Food Market Analyst. Editor Matt Gould talked about it in the Nov. 8 “Dairy Radio Now” broadcast. He says nearly 28,000 cows were sold in New Mexico since June; 6,800 cows in Texas; and 6,150 in California. Of the auctions he tracks, Gould said some 51,000 head have been sold at dispersals over the last four months. He blames low margins and says, “Dairies in Texas and New Mexico have experienced especially low milk prices so far in 2021. January thru August, See MIELKE, pg. 13
