Those looking for bright spots in this year’s dairy outlook have found their search increasingly challenging.

The preliminary estimate of overall June milk production compared to a year earlier was unchanged to slightly lower in the U.S., and up just 0.2% in the major dairy states, the fourth straight month output was up less than 1% from a year ago.

We’re still waiting on a formal announcement regarding a national hearing on Federal Milk Marketing Order (FMMO) modernization proposals.

Here’s Progressive Dairy’s monthly review of the numbers to provide some additional transparency to your milk check.

The next critical step in the USDA’s “action plan” on proposed amendments to pricing provisions in the Federal Milk Marketing Order (FMMO) system is approaching.

Compared to last month, the USDA left the 2023 milk production estimate unchanged but reduced 2024 production expectations slightly. The outlook for prices continues to weaken.

There are limited expectations for an improved outlook for dairy product exports in the third quarter and lasting through the end of 2023.

January-May DMC payments averaged $36,147 per dairy operation enrolled in 2023.

The May 2023 margin continues to be what looks like a lengthy stretch of extremely small margins and high indemnity payments into July-August.