Mideast Market Administrator's
B
u
l
l
e
t
i
n
Federal Order No. 33
D
avidZ
.W
alker, M
arketA
d
m
inistrator
Phone: (330)225-4758
T
o
llF
ree: (888)751-3220
E
m
ail: clevelandm
a1@
sprynet.com
W
ebPage: w
w
w
.fm
m
acle
v
.com
July 2006
USDA Issues Notice of Intent to Reconvene National
Public Hearing to Amend Class III and IV Milk Price
Formulas
T
h
eU
.S
.D
epartm
ent o
fA
gricultureannounceditsintent to
reconveneanationalp
u
b
lichearingtoam
endtheC
lassIIIandC
lass
IV
p
riceform
u
las.U
S
D
A
w
illre
c
o
n
v
e
n
ethenationalhearin
g
,o
rig
inally
heldJanuary2
4
-27,2006,inA
lexandria,V
irginia,toassurethatany
changestomanufacturingallow
ancefacto
rsusedinFederalo
rder
C
lassIIIandC
lassIVproductpriceform
ulasareappropriateand
reflectiveofm
anufacturingcosts. U
S
D
Aalsow
e
lcom
esadditional
proposalsaddressingtheFederalorderC
lassIIIandC
lassIVprice
form
ulasfo
rfurtherconsiderationinthereconvenedhearing. T
h
e
additionalpro
p
o
salsaredueonorbeforeSeptem
ber30,2006
Thenoticeofintenttoreconvenethehearingw
aspublishedasa
proposedruleintheJune28FederalR
egister. C
o
p
iesofthenotice
m
a
yb
eo
b
tainedfro
mtheU
S
D
A
/A
M
S
/D
airyP
rogram
s,S
T
O
P0
2
3
1R
m
.2
9
7
1
,1
4
0
0IndependenceA
venue,S
W
,W
ashington,D
.C
.2
0
2
5
0
0231. T
h
en
o
ticeisavailableonA
M
S
’
w
ebsite:w
w
w
.am
s.usda.g
o
v
/
dairy
.
T
h
en
o
ticeofintentandadditionalinform
ationisalsoavailablefro
m
thiso
ffice.
May Milk Production Up 3.7 Percent
Container Survey Completed For November 2005
A
surv
e
yo
fthetypeofcontainerandm
ethodofdistributionoffluid
m
ilkproductsisconductedbienniallyforthem
onthofN
o
v
e
m
ber.
S
a
lesinfo
rm
atio
niscollectedfrom
allM
ideastp
o
o
lhandlersoperating
plantsthatsellfluidpackagedm
ilkproductsonro
u
tes.Thesurv
e
y
includedto
talro
u
tedisp
o
sitio
n
,producttype,containersize,container
type,andm
eth
o
do
fdistrib
u
tion.
T
h
eM
ideastM
arketingA
rearo
u
tedispositionsbypoolplantsfor
N
ovem
ber2005to
taled548.7m
illionpoundsofm
ilk. T
h
isw
asan
increaseof10.6m
illionpoundsfro
mN
o
v
e
m
b
e
r2003butadecreaseof
1.3
m
illio
np
o
u
n
d
sfro
mN
o
v
e
m
b
e
r2001.Packagedm
ilksalessu
rv
e
y
e
d
includew
hole,reducedfat(2%
),lo
w
fat(1%
),fatfree(skim
),flavored
w
h
o
le,flavoredfatreduced(lo
w
fatandskim
),b
u
tterm
ilk
,andeggnog.
D
ataw
ascollectedforthreecontainertypes(glass,paper,andplastic)
andforsevencontainersizes(gallon,half-gallon,quart,pint,half-pint,
6-gallon,and5-gallon).
Product Type
R
educedfat(2%
)salesaccountedfor41.1percentoftheto
talroute
salesinN
o
v
e
m
ber2005.W
h
o
lem
ilkaccountedfor22.8percent,fatfree
14.5percent,andlow
fat 9.4percento
fto
talroutesales.F
lavoredfat
reducedm
ilkaccountedforacom
b
ined8.8percent,fla
v
o
redw
h
o
lem
ilk
1.6percent,b
u
tterm
ilk0.9percent,andeggnog0.9percentoftotal
sales fo
rthem
onth.
Container Type
M
ilkproductioninthe23m
ajo
rS
tatesduringM
ayto
taled14.7
b
illio
np
o
u
n
d
s,u
p2
.8percentfro
mM
a
y2
0
0
5
.A
prilre
v
isedp
ro
d
u
c
tio
n
,
at1
4
.2b
illionpounds,w
asup3.7percentfro
m
A
p
ril2
0
0
5
.T
h
eA
pril
revisionrepresentedadecreaseof2m
illionpoundsfro
mlastm
onths
prelim
inaryp
roductionestim
ate.
P
lasticcontainersaccountedfor87.9percento
fallroutesalesin
N
ovem
ber2005.Papercontainersaccountedfor12.08percent,w
hile
glasscontainers represented0.02percentofroutesales.Salesin
singleserveplasticcontainerstotalednearly12.7m
illionpoundsof
P
roductionpercow
inthe23m
ajo
rS
tatesaveraged1,782pounds
forM
a
y
,22poundsaboveM
ay2005.
June 2006 - Pool Summary
Thenum
bero
fm
ilkcow
sonfarm
sinthe23m
ajo
rS
tatesw
as8.26
m
illionhead,1
2
8
,0
0
0h
e
a
dm
o
rethanM
a
y2
0
0
5
,and19,0
0
0h
e
a
dm
o
re
thanA
p
ril2
0
0
6
.
T
h
eM
ideastM
arketingA
reahasfo
u
rstatesrepresentedinthe23
m
ajo
rstatesusedabove. T
h
e
yareIndiana, M
ichigan, O
hio
, and
Pennsylvania.M
ilkproductionintheseM
ideaststatesduringM
ay
to
taled2.3b
illionpounds,up25m
illionpoundsor1.1percentfrom
M
a
y2
0
0
5
.
P
roductionpercowintheM
ideaststatesaveraged1,740pounds
forM
a
y
,6poundsbelo
wM
ay2005.
T
h
en
u
m
bero
fco
w
sonfarm
sintheM
ideaststatesw
as1.3m
illion
head,1
0
,000headm
o
rethanM
ay2005.
(Continued on Page 3)
Classification of Producer Milk
C
lassI
C
lassII
C
lassIII
C
lassIV
T
o
tal
505,810,075
257,354,062
624,719,977
112,911,462
1,500,795,576
Producer Prices
P
roducerPriceD
ifferential
B
utterfat P
rice
P
roteinPrice
O
therS
o
lidsPrice
S
o
m
aticC
e
llA
d
justm
ent R
ate
S
tatisticalU
nifo
rmP
rice
Percent
33.7
17.2
41.6
7.5
100.0
$0.45 /cw
t
1.2436 /lb
2.0790 /lb
0.1255 /lb
0.00061 /cw
t
11.74 /cw
t
MIDEAST MARKET ADMINISTRATOR'S BULLETIN
JULY 2006
ANNOUNCEMENT OF PRODUCER PRICES
Federal Order No. 33
JUNE 2006
COMPUTATION OF PRODUCER PRICE DIFFERENTIAL
P
O
U
N
D
S
C
lassIS
k
imV
alue
C
lass I B
u
tterfat
C
lass I Location D
ifferential
C
lassIIS
N
FV
alue
C
lass II B
u
tterfat
C
lass III P
ro
teinV
a
lue
C
lass III O
ther Solids V
alue
C
lass III B
u
tterfat
C
lassIVS
N
FV
alue
C
lass IVB
utterfat
S
o
m
aticC
e
ll V
alue II / III / IV
TOTAL PRODUCER MILK VALUE
S
K
IM/
B
U
T
T
E
R
F
A
T P
R
O
T
E
IN
496,346,025
9,464,050
N
O
N
F
A
T
S
O
L
ID
S
O
T
H
E
R
S
O
L
ID
S
505,810,075
21,521,502
17,728,168
18,533,847
35,788,984
21,021,431
9,624,199
5,615,835
1,500,795,576
53,829,484
44,368,148
85,697,098
O
v
e
rages
B
eginningInvento
ry and O
SC
harges
P
R
IC
E
V
A
L
U
E
$8.57 /cw
t$ 42,536,854.36
1.2810/ lb 12,123,448.09
(240,724.70)
0.7622/ lb 16,403,688.84
1.2506/ lb 22,170,846.90
2.0790/ lb 38,531,867.95
0.1255/ lb
4,491,517.50
1.2436/ lb 26,142,251.62
0.6753/ lb
6,499,221.60
1.2436/ lb
6,983,852.41
470,713.74
$ 176,113,538.31
$ 26,780.10
83,075.19
TOTAL ADJUSTMENTS
TOTAL HANDLER OBLIGATIONS
$
109,855.29
$ 176,223,393.60
T
o
tal P
rotein V
alue
T
o
tal O
ther S
o
lids V
alue
B
u
tterfat V
alue
T
o
tal S
o
m
aticC
e
ll V
alues
TOTALS
44,368,148lbs
85,697,098lbs
53,829,484lbs
@
@
@
$2.0790
0.1255
1.2436
$ (92,241,379.71)
(10,754,985.80)
(66,942,346.27)
(660,860.96)
$
5,623,820.86
N
et P
roducer Location A
djustm
ents
1/2U
n
o
b
ligated B
alance Producer Settle
m
e
n
tF
u
n
d
T
o
tal - D
iv
id
e
db
yT
o
tal Pounds
R
ateof C
ash R
eserve
PRODUCER PRICE DIFFERENTIAL at Cuyahoga County, OH*
1,500,795,576 lbs
0.4906234
(0.0406234)
$ 0.45 cwt
1,500,795,576
COMPONENT PRICES
2006
$1.2436 /lb
2.0790 /lb
0.1255 /lb
0.00061 / cw
t
0.6753 /lb
7,363,254.68
(609,674.19)
6,753,580.49
June
2005
$1.5932 /lb
2.5741 /lb
0.1139 /lb
0.00074 / cw
t
0.7780 /lb
C
lass III P
rice -3.5%B
F
P
roducer P
rice D
ifferential*
S
tatistical U
niformP
rice
2006
$11.29
0.45
$11.74
2005
$13.92
0.44
$14.36
CLASSIFICATION OF PRODUCER MILK
June
C
lass I*
C
lass II
C
lass III
C
lass IV
$
COMPUTATION OF UNIFORM PRICE
CLASS PRICES
2006
$12.75
11.00
11.29
10.22
972,433.82
767,000.00
$
June
B
u
tterfat P
rice
P
rotein Price
O
ther S
o
lids Price
S
o
m
aticCell A
djustm
ent R
ate
N
onfat S
o
lidsPrice
$
June
2005
$15.62
13.06
13.92
12.33
*S
u
b
ject toL
o
c
a
tionA
d
justm
ent.
C
lass I
C
lass II
C
lass III
C
lass IV
Total
2006
Product lbs.
505,810,075
257,354,062
624,719,977
112,911,462
1,500,795,576
2005
Product lbs.
483,526,827
275,005,786
755,199,241
114,930,585
1,628,662,439
ORDER 33 MARKET SUMMARY
TheProducerPriceD
ifferentialfo
r theM
ideast M
arketingA
reafo
r June
2006w
as$0.45andtheS
tatisticalU
nifo
rmP
ricew
as$11.74forthem
onth.
T
h
eS
tatisticalU
nifo
rmP
riceis$0.09higherthanlastm
onth,andis$2.62
low
erthanJune2005.
T
h
eP
roducerB
u
tterfatP
riceof$1.2436perpounddecreased1.46centsfro
m
M
ay2006andisd
o
w
n34.96centsfro
may
e
a
rago. T
h
eP
roteinPriceof
$2.0790isup16.75centsfro
mlastm
onthandisdow
n49.51centsfro
mJ
u
n
e
2005.T
h
eO
therS
o
lidsPriceinJunew
as$0.1255perpound,anincreasefrom
lastm
onth’
spriceof$0.1251andanincreaseof1.16centsfro
mlastJune.
T
h
eS
o
m
aticC
e
llA
djustm
entratefo
rJunew
as$0.00061.
Juneproducerreceiptsof1.50billionpoundsw
ere4.9percentlow
erthan
M
ay2006, and7.9percentlowerthanJune2005productionof1.63billion
pounds.P
roducerm
ilkallocatedtoC
lassIaccountedfor33.7percento
fthe
totalproducerm
ilkinJune2006,lessthanthe35.4percentinM
ay2006and
m
orethanthe29.7percent inJune2005. Ato
talof8,612producersw
ere
p
o
o
ledontheM
ideast O
rdercom
paredto9,714producersp
o
o
ledinJune
2005.
T
h
em
arketaveragecontento
fproducerm
ilkwasasfollow
s:B
u
tterfat3.59%
;
P
rotein2.96%
;O
therS
o
lids5.71%
andN
o
n
fatS
o
lids8.67%
.
MIDEAST MARKET ADMINISTRATOR'S BULLETIN
JULY 2006
(continued from Front Page)
m
ilkduringthem
onthsurveyedascom
paredto9
.3m
illionpoundsin2003.
Container Size
T
h
em
ajorityo
ffluidm
ilksalescontinuedtobeingalloncontainers,w
hichaccountedfor68.2percento
fto
talsales.G
alloncontainerusage
w
asdow
nslightlyfro
m
thesurveyinN
o
v
e
m
ber2003w
hengallonsaccountedfor70.1percento
fto
talsales.H
alf-galloncontainersrepresented
16.1percento
fsales,anincreasefro
m1
5
.5percentin2003and14.9percentin2001,quarts2.7percent,andpints1.6percento
fto
talro
u
tesales.
H
alf-pintsaccountedfor10.0percento
fro
u
tesales,w
hichw
asanincreasefrom
8.8percentin2003and9.2percentin2001.Salesfo
r5-gallon
containersaccountedfor0.9percento
fro
u
tesales.
Method of Distribution
W
holesaledeliveriesaccountingfornearlyallro
u
tesalesinthe2005surveyashom
edeliveriesvolumeswereminimal.Ofthewholesale
distributionto
tal,42.0percentw
eretosuperm
arkets;8.2percenttodairyandconveniencestores;6.4percenttoinstitutionssuchasschools
andm
ilitary
;and43.4percenttootherw
holesalesestablishm
entssuchassupersto
res/hyperm
arkets,w
arehousesto
res,andotherw
holesale
o
u
tlets.T
h
ed
istrib
u
tiontosuperm
arketshasdecreased9.8percentfro
mtheN
o
v
e
m
ber2001surveyresults. D
airyandC
o
n
v
e
n
iencehas
decreased2.4percentandinstitutionaloutletshavedecreased0.2percentw
hileotherw
holesaleestab
lishm
entshaveseenanincreaseo
f12.8
percentsinceN
ovem
ber2001(S
e
eP
ieC
h
a
rt).
Method of Distribution
November 2005
Method of Distribution
November 2001
Institutional
7%
O
therW
h
o
lesale
4
4
%
O
therW
h
o
lesale
31%
D
airy&
C
o
n
v
e
n
ience
1
1
%
Institutional
6%
D
airy&
C
onvenience
8%
S
u
perm
arkets
5
1
%
S
u
perm
arkets
42%
Weighted Averages - Butterfat, Protein, Other Solids, Somatic Cell Count by State
Federal Order No. 33
May 2006
S
tate
M
ichigan
O
hio
W
isconsin
Indiana
N
e
wY
o
r
k
Pennsylvania
Illinois
W
estV
irg
inia
O
ther
N
umberof
P
roducers
Poundsof
M
ilk(000) B
utterfat
-----W
eighted A
verages----O
ther
S
C
C
P
rotein
S
o
lids
(000)
May 2005
------W
eighted A
verages-----Poundsof
O
ther S
C
C
M
ilk(000) B
utterfat P
rotein S
o
lids (000)
2,146
2,352
1,046
1,160
419
1,288
14
66
126
547,063
363,020
193,958
164,813
147,596
131,110
8,971
6,197
15,332
3.59
3.68
3.66
3.66
3.64
3.73
3.41
3.74
3.65
2.97
3.01
2.98
2.99
2.96
3.03
2.85
3.13
3.02
5.73
5.71
5.75
5.73
5.74
5.71
5.71
5.71
5.73
237
263
260
273
208
306
226
341
338
547,027
368,148
337,848
161,632
156,853
126,490
18,385
6,696
21,944
3.57
3.61
3.66
3.59
3.59
3.69
3.47
3.65
3.58
2.98
3.02
2.96
2.99
2.97
3.04
2.95
3.13
2.98
5.74
5.72
5.76
5.74
5.71
5.72
5.76
5.73
5.75
240
269
247
268
223
322
234
359
293
T
o
tal/A
verage* 8,617
__________________
1,578,059
3.64
2.99
5.73
254
1,745,023
3.61
2.99
5.74
255
*T
o
tals m
aynotaddduetorounding. D
ata p
rovidedonaonem
o
n
thdelaybasis.
United States
Department of
Agriculture
PRSRT STD
U.S. POSTAGE
PAID
Cleveland, Ohio
Permit No. 2511
Mideast Market Administrator Bulletin
1325 Industrial Parkway North
P.O. Box 5102
Brunswick, Ohio 44212
POSTMASTER: Time Sensitive Material - Deliver Promptly
The United States Department of Agriculture (USDA) prohibits discrimination in all its programs and activities on the basis of race, color, national origin, gender, religion, age,
disability, political beliefs, sexual orientation, and marital or familial status. (Not all prohibited bases apply to all programs.) Persons with disabilities who require alternative
means for communication of program information (braille, large print, audiotape, etc.) should contact the USDA's TARGET Center at (202)720-2600 (voice and TDD).
To file a complaint of discrimination, write USDA, Director, Office of Civil Rights, Room 326-W, Jamie L. Whitten Building, 1400 Independence Avenue SW. Washington, DC
20250-9410 or call (202) 720-5964 (voice and TDD). USDA is an Equal Opportunity provider and employer.
FEDERAL ORDER DATA
JUNE 2006
M
arketingA
rea1/
F
O1
F
O5
F
O6
F
O7
F
O30
F
O32
FO 33
F
O124
F
O126
F
O131
1/
2/
N
o
rtheast- (Boston)
A
ppalachian- (Charlotte)
F
lorida- (Tampa)
S
o
u
theast-(Atlanta)
U
pper M
idw
est- (Chicago)
C
entral- (Kansas City)
M ideast-(Cleveland)
PacificNorthwest-(Seattle)
S
o
u
thw
est- (Dallas)
A
rizona-LasV
egas-(Phoenix)
T
o
tal
P
roducer M
ilk
C
lassI
C
lassI
Percent
(000)
(000)
%
1,901,318
544,056
251,066
678,355
2,157,909
1,021,266
1,500,796
662,476
990,921
305,918
841,635
331,977
207,984
382,230
352,013
341,642
505,810
184,796
328,324
106,854
44.3
61.0
82.8
56.4
16.3
33.5
33.7
27.9
33.1
34.9
P
roducer
P
riceD
ifferential
$1.37
S
tatistical
U
nifo
rmP
rice
$12.66
12.84
14.14
12.90
11.52
11.62
11.74
11.30
12.36
11.67
2/
2/
2/
0.23
0.33
0.45
0.01
1.07
2/
N
am
esinparenthesesareprincipal points of m
arkets.
P
roducers inthesem
arketsarepaidonthebasis o
fauniformskimandbutterfat price.
MINIMUM PARTIAL PAYMENT PRICE FOR JULY 2006 .......................................... $10.22 /cwt.
Printed on recycled paper.