In November 2024, the USDA released their final decision detailing changes to milk pricing under Federal Milk Marketing Orders (FMMO), most of which goes into effect in June 2025. There are multiple changes to the pricing formulas, including changes to make allowances, Class I differentials, milk composition factors, the Class I mover, removing barrel cheese prices from the Class III pricing formulas and provisions for extended shelf-life milk.

The USDA’s World Ag Supply and Demand Estimates (WASDE) report offers forecasts for dairy, beef and feedstuffs.

Dairy producers should anticipate another month of lower milk prices based on a preview of Federal Milk Marketing Order (FMMO) milk class prices. Announced April 30, April 2025 FMMO Class II, Class III and Class IV milk prices were lower than March’s prices.

March’s margin was $11.55 per hundredweight (cwt), the result of a relatively stable feed cost but sinking all-milk price as then-talks of a looming trade war pressured the export market while domestic consumer spending cooled at the same time.

In news affecting dairy producers' bottom lines the last full week of April 2025: May Class I drops to $18.37 per cwt, a final rule reauthorizes the Dairy Forward Pricing Program, IDFA to eliminate artificial colors in school dairy products, and Chobani invests $1.2 billion in New York processing plant.

The USDA’s World Ag Supply and Demand Estimates (WASDE) report offers forecasts for dairy, beef and feedstuffs.

Producer milk checks will be lower once again in March based on a preview of Federal Milk Marketing Order (FMMO) milk class prices. Announced April 2, March 2025 FMMO Class II, Class III and Class IV milk prices were down once again from the month prior. Class I milk class prices also fell, as announced previously.

The USDA National Agricultural Statistics Service (NASS) released its Agricultural Prices report March 31, which includes feed costs and milk prices used to calculate the February Dairy Margin Coverage (DMC) program margins and indemnity payments. February’s margin was $13.12 per hundredweight (cwt), the result of an improved market for corn coupled with a 50-cent drop in the all-milk price.