1) June milk output: June 2010 milk production in the 23 major dairy states totaled 15.2 billion lbs., up 2.7% from June 2009. Cow numbers in those states were estimated at 8.347 million head, 87,000 head less than June 2009, but 10,000 more than May 2010.

2) Cow earning power up a little: The “cow” economy is making a slow recovery. The “average” gross income from milk sales generated by an “average” cow is up about $283/cow in the first half of 2010 compared to the same period in 2009, but trails 2008 and 2007.

3) DPW Trends: The August 2010 federal order Class I base milk price is $15.77/cwt., up 11¢ from June 2010 and $5.73 more than August 2009. USDA’s National Ag Statistics Service estimated 214,200 culled dairy cows were slaughtered under federal inspection in June 2010, up about 5,100 head from May 2010, but 41,800 head less than June 2009. 

4) DPW Industry: A study presented at the School Nutrition Association Annual National Conference reveals eliminating chocolate and other flavored milks from school cafeteria menus resulted in a 35% drop in milk consumption.

5) DPW Washington: The U.S. dairy industry has apparently gained some time to avert a potential disruption of some dairy product exports to the European Union (EU). Dairy products entering EU countries must be made from milk with somatic cell counts less than 400,000 cells/milliliter (cells/ml), a provision in place since 1997. However, the new standards require certification of those SCC levels at the individual farm level. 

Later: The National Agricultural Statistics Service’s mid-year Cattle inventory report was released July 23 (after Dairy Profit Weekly’s press deadline). Of special interest, inventories of dairy replacement heifers. Check for daily Dairy Profit Weekly news updates at www.dairybusiness.com.