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USDA Issues Final Decision on Amendments to Milk Orders

February 8, 2013

Source: USDA

The United States Department of Agriculture has issued a final decision proposing permanent amendments to all Federal milk marketing orders.

The decision proposes a permanent adoption of changes that are currently implemented on an interim basis. The amendments are based on the record of public hearing sessions held in 2007 in Strongsville, Ohio; Indianapolis, Ind.; and Pittsburgh, Pa.

The manufacturing allowances adopted:

Cheese: $0.2003/lb.

Butter: $0.1715/lb.

Nonfat Dry Milk: $0.1678/lb.

Dry Whey: $0.1991/lb.

This decision would permanently adopt changes to the manufacturing cost allowances and the butterfat yield factor used in Class III and Class IV product-price formulas applicable to all Federal milk marketing orders. These amendments were adopted in an interim final rule in July 2008 and became effective in October 2008.

This document also terminates the proceeding with regard to additional proposals that addressed the collection of manufacturing cost information, the use of an energy cost adjustor, and providing for a cost add-on feature to Class III and Class IV product-price formulas.

The amendments finalized by this decision require producer approval.

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