As the courts decide the fate of President Trump’s tariffs, another measure could offer dairy farmers some relief. Changes to the Federal Milk Marketing Order took effect over the weekend.
The Farm Bureau says the updates were long overdue and could provide some much-needed certainty.
“This was a need of the industry to say that the Federal Milk Market Order system has been outdated. These formulas needed to be updated in order to reflect more accurate market conditions. With all these trade disruptions, supply disruptions going on as well, the total impact might be stunted or sort of covered by some of these bigger market movers,” said Danny Munch.
Changes that are now in effect include the switch to the Higher-of Class 3 and 4 price formula. Class 1 differentials have also been raised, which Munch says will help offset transportation and service costs.
Rising beef supplies and lower cattle prices, weaker hog markets, and softening dairy prices will shape producer margins heading into 2026.
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Rooster is a full-time farmhand, right-hand man on Shawn Raff’s cattle and dairy operation in Eatonton, Georgia.
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Milk output is rising, but steep drops in Class I–IV prices are tightening margins heading into 2026.
December 04, 2025 07:00 AM
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Weaker U.S. dairy prices come as value-added exports expand and ingredient inventories tighten, creating mixed market signals for producers.
December 03, 2025 06:52 PM
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The National Milk Producers Federation will launch a new advocacy campaign to secure a final vote, urging House lawmakers to approve the bill as soon as they return from the Thanksgiving recess.
November 25, 2025 01:09 PM
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Sen. Roger Marshall discusses the Senate’s unanimous passage of the Whole Milk for Healthy Kids Act and what expanded milk options could mean for students and dairy farmers. Industry groups say it is a win for student nutrition and dairy producers.
November 21, 2025 01:19 PM
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Crop producers face tightening credit and lower incomes, while strong cattle markets continue to stabilize finances in livestock-heavy regions.
November 21, 2025 11:58 AM
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Cattle and hog supplies continue to tighten while dairy output expands, creating a split outlook in which red-meat prices soften and milk values come under pressure from larger supplies.
November 18, 2025 03:02 PM
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Firm live cow prices and shifting dairy-side culling suggest cull cow values may stay stronger than usual this winter despite weaker cow beef cutout trends.
November 18, 2025 01:02 PM
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