Thursday, August 20, 2009

Eating Oil

The current report from the Florida federal order is available at:

On page four you will find:

“Receipts of producer milk during July 2009 totaled 231.4 million pounds, 13.0 million pounds less than was pooled in July of last year. Florida producers supplied 164.0 million pounds of milk in June 2009 or 74.07% of the total producer milk pooled in Florida. In June 2008, Florida producers supplied 65.77% of producer milk pooled on the Florida market.”

What that means is that almost 35% of the milk pooled in Florida came from outside the order.

On page 6, you will find that the “touch base” days for July 2009 is just ten days. In other words the milk pooled on the Florida order only has to come to Florida 10 days to have all the July milk pooled on the order.

In any event, more than 93 million pounds of milk was pooled on Florida from outside Florida. Some came, no doubt, from Southern Georgia –order 7- where some other games are played.

In 2008, for example, there were 18 farms from Indiana pooled on the Atlanta order. There were 105 farms from Kansas pooled on FMMO7. From Texas there were 227 farms pooled on order 7. The list goes on.

Then, according to Dairy Market News, more than 28 million pounds of milk was shipped North from Florida in July 2009.

This is all gaming the system for someone’s financial benefit. When the milk finally gets to the consumer, you might as well say the consumer is eating oil.

1 comment:

  1. The midwest used to have access to the Southeast Market late summer; this helps me understand why we have not seen that happen the past few years.