Dairy economists Bob Cropp (left) and Mark Stephenson discuss the milk price outlook.
Economists discuss the milk price outlook against the backdrop of higher dairy cow culling, slowing milk output and $8 corn.
It’s reasonable to expect milk prices at $20 per cwt. or higher in the last quarter of 2012 and into early 2013, says dairy economist Bob Cropp.
Declining milk production, higher cattle slaughter rates, and decreased milk-per-cow yields point to a supply-demand situation that favors strong milk prices, Cropp says in an August 2012 dairy outlook in a podcast with University of Wisconsin colleague Mark Stephenson.
Cropp and Stephenson also discuss what’s happening with cheese, butter and nonfat powder markets, as well as feed prices and dairy exports.