—ri VP I £r. 1, m ■v*’ r nrl *
74 —Lancaster Farming, Saturday. July 10, 1976
Dairy
(Continued from Page 72)
support. Since 1949, Congress has stipulated that price
supports must be designed to return a price to the farmer to
achieve between 75-90 percent parity (ratio between milk
prices to farmers and their costs, based on a historical
period).
The support price works this way: USDA calculates the
price level needed so that farmers would receive returns at
the desired parity level as determined by the Secretary of
Agriculture.
The USDA’s Commodity Credit Corporation then provides
this price floor for manufacturing grade milk by offering to
buy butter, nonfat dry milk, and American cheese at prices
which will allow the farmer to receive the announced support
price for milk on a yearly basis, with some fluctuation durmg
the year.
Federal marketing orders also play a major role by
determining the minimum price for fluid-grade milk. This
price is determined by using the Minnesota - Wisconsin (M-
W) area manufacturing - grade milk prices as a base, then
adding a set differential for specific market areas and
transportation costs to different regions of the Nation.
The M-W price is used because it reflects prices in the area
that produces the largest bulk of milk above local needs, and
because it establishes a value for milk under -open market
conditions.
Competition for milk supplies among processors and
bottling plants often keeps the actual prices paid to the
farmer for manufacturing-grade milk above the “floor” set
by the Federal price support program. States do not regulate
manufacturing prices. This actual price for manufacturing
use is then blended with the price for fluid use on a propor
tional basis to determine the price the Grade A farmer ac
tually receives.
After the milk is bottled or processed, prices are deter
mined by private enterprise in most states, as the Federal
Government bows out of the pricing picture. In a few States,
however, State authorities regulate retail and wholesale
prices.
When the consumer enters the picture at the retail level, he
may find considerable price variations for the same product
MICK'S
Distributor for
ROOFING & SPOUTING
BAKED ENAMEL TIN ROOFS
Colors: Turquoise, Red, White (only)
FULL SERVICE DEALER
SALES & INSTALLATION
SAMUEL B. CLICK
R.D.I, Kinzer, PA Ph. (717) 442-4921
Please call before 7 A.M.
or after 6 P.M.
No Sunday Calls
on a given day. Geographic location, the nature of the retail
outlet, and pricing by individual stores, all affect prices on
the shelves. Many stores use dairy products frequently as
“specials” to draw in customers. . .
Despite these retail price variables, most consumers may
be well aware of the general price increase in recent months.
Yet, in one respect the increases may be a blessing: They
filter back to the farmer to encourage a production increase.
Looking ahead to late 1976 prospects, the dairy farmer can
afford to be a bit optimistic, while consumers may expect
retail prices to advance moderately through the end of the
year.
From a producer’s standpoint, here’s the outlook for the
last half of 1976:
SAVE WHAT YOU GROW
WHY DOES SILO-KING WORK?
Silo-King contains a POTENT COMBINATION of the SAME ANTI-OXIDANTS used to PRESERVE HUN
DREDS OF FOOD ITEMS in our super markets. Silo-King also contains a POTENT COMBINATION of FOOD
GRADE ENZYMES and FLAVORS.
This COMBINATION OF ANTI-OXIDANTS AND
ENZYMES results in a much GREATER PRESER
VATIVE EFFECT. They ABSORB THE AT
MOSPHERIC and HYDROLYTIC OXYGEN
ENERGY in the silage to PREVENT THE INITIAL
OXIDATION which causes the HEATING AND THE
LOSSES.
They also UTILIZE MOISTURE available in the
silage to help SYNTHESIZE MORE SOLUBLE
DON'T LET THIS YEAR GO BY
WITKSiIT GIVING SILO—KING A TRY
*1
/
Apply Silo-King Simply and Accurately by using a Gandy Applicator.
Southwestern Lancaster Co Lehigh & Norlha
Southeastern Penna
George F Delong
Regional Manager
225 West Woods Drive
Lititz PA 17543
Call Collect 717 626 0261
Eastern Lancaster Co
Melvin Herr
RR2 New Holland PA 17557
Ph 717 354 5977
Lebanon Co
Marvin Meyer
Earl B Cinder RD2 Box 157
RD2 Manheim PA 17545 Annville PA 17003
Phone 717 665 3126 Phone 717 867 1445
Southern Lancasl
North Western Lancaster Co
ir Co
Henry Delong, ir Roger Heller
RDI Box 106 RDI Robesoma PA
Quarryville PA 17566 Phone 215 693 6160
Phone 717 284 2683
Use . . .
%
<*4M
Ben Greenawalt
RD2 Conestoga PA 17516
Phone 717 872 5686
Chester Co
William Wmdle
RDI Atglen PA 19310
Phone 215 593 6143
Northeast Berks Ci
- Farm milk prices should remain well above 1975 levels
during comparable last-half periods. Prices will be rising
seasonally in the next few months.
-Overall, milk production should remain fairly strong
during the year, with total production for 1976 expected to be
two billion pounds over 1975 levels.
From the consumer’s viewpoint, retail prices for all dairy
products likely will rise six to eight per cent this year over
the 1975 average. This compares with an average increase of
three per cent in 1975. However, the gain may be somewhat
misleading because the 1975 price average was depressed by
relatively low prices during the first half of that year. The
consumer may have already shouldered the bulk of the in
crease.
AGRI-KING
KEY TO PROFIT
“Silo-
// King”
\rA
SUGARS which help produce a HIGH QUALITY,
SWEET SMELLING silage with EXCEPTIONAL
PALATABILITY.
By REDUCING THE LEVEL OF OXIDATION,
temperature of the silage is maintained in a RANGE
OF 100 TO 110 DEGREES.
This is the IDEAL TEMPERATURE FOR FER
MENTATION. This results in a HIGHER PH (LOWER
ACIDITY) and a SILAGE OF VERY HIGH QUALITY.
1
f
If
> * *
- «
Thomas Heist
Mam Street
Alburtis PA 18101
Phone 215 965 5124
South Central Penna
James L Yoder
Regional Manager
250 Edwards Ave
Chambersburg PA 17201
Call Collect 717 264 9321
Adams Co Area
Menno N Rissler
RR4 Gettysburg PA 17325
Phone 717 528 4849
t
m Co
Eastern Franklin Co
Eldon Martin
RDS Waynesboro PA 17268
Phone 717 762 4130
Cumberland Co
Marlin E Ebersole
R 5 Carlisle PA 17013
Phone 717 776 7324
Western W,
ishmeton
Charlie Campbell
Newville PA
Phone 717 776 7573
lon Co . MD
irn Washim
Earl H Moyer
RDS Box 277
Hagerstown MD 21740
Phone 301 739 5199