Milk Component Pricing BY ROBERT E. LEIBY AND DAVID L. DUNBAR ‘ Lehigh Co. Agents Component pricing of milk is not a new concept Dr. Robert Yonkers, Penn State Ag. Econom ist says it has been widely dis cussed in the dairy industry for much of the past 30 years. Today, several factors have once again focused attention on the subject including the consumer shift away from higher-fat dairy products, successful implementation two years ago of a milkfat-protein pricing scheme in Federal Order 136 (The Great Basin Market in Utah), and USDA’s ranking of sires based on animal model eco nomic indexes which include protein. Under the current butterfat differential-volume milk pricing system, the value of milkfat is determined directly, while the remainder, or residual value of raw milk is allocated to the skim portion. Some handlers and coops in the Northeast and Middle Adantic states do pay premiums to producers based on protein per cent according to Yonkers. How ever, this is not a true multiple component pricing scheme, since SUPPOSE WIPING OUT WEED AND GRASS PROBLEMS WERE THIS SIMPLE. Bicep® plus Pnncep® give you superior, cost-effective control across the board Particularly for no-till weeds and grasses. Because together. Bicep plus Pnncep penetrate trash and topsoil giving you control where you need it. In the weed-germinating zone With Bicep plus Prmcep, you get control that lasts all season long So even late germinating weeds like crabgrass and fall pamcum aren’t given a chance to get started So try the powerful combination that's proven and cost effective. Bicep plus Prmcep. And see how easy it is to wipe out weeds and grasses in one easy stroke. OIBA—GEIGY buyers of raw milk are not always charged based on protein content of the milk. Rather, this is a milk procurement incentive used by those handlers manufacturing dairy products (primarily cheese) whose yields are sensitive to the protein content of raw milk. Class I milk, which is used for fluid dairy products, is usually exempt from pricing based on pro tein or solids-not-fat content. The yield of fluid products is not sensi tive to these components; 100 pounds of raw milk yields 11 5/8 gallons of fluid milk product regardless of protein or solids-not fat content Yonkers reminds us that’s not true for other classes of dairy products. For example, the yield of non-fat dry milk is depen dent entirely on the solids-not-fat content of raw milk. Therefore, only handlers manufacturing Class II (and Class 111, where applicable) dairy products are charged for milk based on protein or solids-not-fat under a multiple component pricing scheme. So, what does all this mean to Pennsylvania Dairy producers? A group of dairy cooperatives in the Federal Order 4 marketing area (which includes IS counties in southeastern Pennsylvania) has petitioned USDA requesting a hearing on the issue of pricing milk for both milkfat and solids not-fat. In addition, it is expected that within a year or two a similar petition will be filed covering Federal Order 36 (including 14 western Pennsylvania counties), except protein may replace solids not-fat as a priced component. Regardless of the type of pricing scheme, the average price per hun dredweight paid to producers for milk in any Federal Order is expected to remain the same. However, the milk check of any individual producer may change based on the value of milk components. Dairy producers should remain informed about such pricing schemes because, if USDA recommends that a referendum be held, all producers in a Federal Order could vote on replacing but terfat differential-volume milk pricing with a multiple component milk pricing system. In addition, dairy producers may wish to eva luate current nutrition and breed ing programs in order to be pre pared to make changes should a new. multiple component milk pricing scheme be introduced. Lancaster Farming Saturday, January 13,1990-Di Protect Drainage System By Checking Outlet Flow LEESPORT (Berks Co.) — A subsurface (tile) drainage system is only as good as its outlet. The investment of a little time, paint, and a steel post can help farmers protect substantial investments in subsurface drainage systems, according to Duane Pysher, Dis trict Conservationist, USDA Soil Conservation Service. “The key to a good subsurface drainage system is a free-flowing outlet,” said Pysher. “However, with the passing years following original installation, many outlets become ‘lost’ or damaged.” Heavy vegetative growth, siltation from flooding, livestock tram pling, and snow plow damage combine to clog or obliviate the outlet’s location. The result is a drainage system that is less effi cient or ceases to function altogether. Evidence of a malfunctioning drainage system includes a stream of water that pops up in the Held where there was none before or an area that remains wet long after the test of the field has dried out To correct or prevent this prob lem, the outlet must be returned to a free-flowing condition. But how do you And a Tost’ outlet without spending a lot of time and effort digging in a hit-or-miss fashion? “Simple,” said Pysher. “Just paint fluorescent orange on a stan dard 6-foot steel fence post and place one post beside each drain age outlet on the farm.” Pysher indicated the posts are readily available at reasonable cost The posts serve as permanent markers to quickly locate outlets during semi-annual maintenance checks, they alert equipment oper ators to be more careful in the post areas, and they are particularly helpful in pointing out drainage outlets to new landowners or ten ants when farms change hands or management A small investment in time and materials now can pay big dividends in preventing future drainage system damage and loca tion problems. “All subsurface drainage sys tems should be checked after every major storm for damage or at least semi-annually in the spring and fall,” said Pysher. “Remember, your drainage sys tems will only serve you as well as you maintain their outlets.” Land use planning assistance is available from the U.S. Soil Con servation Service located in the Agricultural Center in Bern Township. Corn And Crops Day Scheduled NEW BLOOMFIELD (Perry Co.) — Farmers are invited to attend the Perry County Com Day Program scheduled for Friday, January 26, 1990, at Messiah Lutheran Church in Elliotsburg. The program will feature topics cm new tillage equipment, com sil age, grain storage safety and fumi gation, and an update on Pennsyl vania’s pesticide laws. The meet ing, beginning at 9:30 a.m., has been approved for four credits of update training for restricted-use pesticide license holders. For more information or to reserve lunch at $3.50 per person, call the Perry County Extension office at 582-2131 ext. 243. ‘Animal Rights’ Focus Of Meeting OCTORARA (Lancaster Co.) — The Octorara Young Far mers Association will hold a meeting to discuss the controversy surrounding animal rights on January 15, 1990, at 7:30 p.m. in the Ag Ed Room of Octorara High School. The speaker will be Carl Brown of the Pennsylvania Farmers Association.
Significant historical Pennsylvania newspapers