The United States Department of Agriculture announced this week that the March Milk Income Loss Contract (MILC) payment for March will be 75.5¢/cwt, based on a feed-cost adjusted target milk price of $22.73.
This is the third consecutive month dairy farmers will receive a MILC payment (if they have not reached the annual limit of 2.955 million lb. starting October 1, 2012).
The January MILC payment was 12¢/cwt and the February rate was 52¢/cwt.
The program was extended January 2 when President Obama signed the American Taxpayer Relief Act, which prevented the so-called "dairy cliff" and reversion to permanent farm law and parity pricing. You can read more on the Act here. You can read more about the MILC program here.