In the news affecting a dairy farmer's bottom line the third week of March 2026: April Class I base price gets a boost to $18.66 per cwt, the dairy checkoff launches an online database to help farmers find grant opportunities, fluid milk sales start the year lower, and applications are now open for Holstein Foundation memorial scholarships.

Federal Milk Marketing Order (FMMO) uniform milk prices rose 40 cents in February from January’s $17 per hundredweight (cwt) to start the new year. The price improvement is due in part to the USDA’s announcement to purchase dairy products for food banks and nutrition assistance programs across the country.

USDA’s March WASDE raised 2025 milk production to 231.7 billion pounds and forecasts 234.7 billion pounds for 2026. Dairy prices strengthen, beef prices rise and most feed prices remain steady.

In contrast to the start of last year, U.S. dairy markets are in a far more unsettled place to begin 2026. Dairy farmers are seeing noticeably lower pay prices than this time a year ago.

After a disappointing start to the new year, the milk markets are starting to look better for February based on a review of Federal Milk Marketing Order (FMMO) milk class prices.

By now, the dust has settled on the Federal Milk Marketing Order (FMMO) changes and it is possible to look back on their direct impacts.

Federal Milk Marketing Order (FMMO) uniform milk prices dwindled more than $1 from December 2025 in most orders, the result of robust production and waning consumer demand.

USDA WASDE raised 2026 milk production and prices, increased beef output and fed cattle prices, and projected steady corn, soybean and cottonseed prices.

The new year will not be starting out strong for most dairy producers as they can anticipate weaker milk checks in January, based on a review of Federal Milk Marketing Order (FMMO) milk class prices.