PA Milk Marketing Board Extends Farm Milk Premium Again KARL BERGER Special Correspondent The Pennsylvania Milk Market ing Board has extended its $1.05 premium on Class I milk sales throughout the commonwealth until June 30,1991, smoothing the way for the continuation of over order pricing efforts by dairy far mers throughout the Mid-Atlantic region. In a decision announced April 12, the three-member board, which regulates minimum farm and retail milk pricing in Pennsyl vania, voted two to one to extend the premium handlers are required to pay producers above the mini mum price established by formu la, according to PMMB spokes man Tom Kugel. The premium had been due to expire May 31. Kugel said the “crop assistance” order was issued in response to testimony provided by spokesmen for the farm com munity at a recent hearing before the board. Witnesses discussed the poor forage quality resulting from last year’s wet weather, continu- VAL’S BIG Broilers, Oucks Layers. 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Contracts Available: FARMER BOY AGb 410 East Lincoln Aye., Myerstown, PA 17067 SALES, SERVICE AND INSTALLATION SWINE S POULTRY BUILDINGS AND EQUIPMENT HOURS: Menday Thru Friday 7:00-5:00 bus. <7i7)MO-7sas Saturday 7:30-11:30 FAXitTiTjaaMaS Full Line Parts Dept. CALL US TODAY FOR SPECIAL PRICING ing increases in the cost of various farm inputs and the significant decline in federal order prices since last fall. “It was determined that (the farmers) still needed help,” Kugel said of the decision. Board members Leon Wilkin son of Chester County and Don Lamius of York County, both dairy fanners, voted in favor of continuation. J. Robert Derry of Indiana, Pa., a former executive in the dairy processing industry, opposed the extension. The pre mium is tacked onto the minimum prices PMMB sets for farm milk used for-fluid purposes in each of its six regions statewide. Howev er, the increase does not affect milk used in manufacturing and PMMB’s authority does not extend to milk that crosses state lines. Nevertheless, the premium is a key element in efforts to insu late local farmers from price declines dictated by national poli cy, according to Jim Fraher, an economist for Atlantic Dairy Cooperative. For instance, the Middle Atlan- VBI4O Drink«r This drinker is designed to supply adequate water for 15 broilers or 10 ducks. It is the easiest triggered of the three drinkers and allows just the right amount of water. Clean water with little maintenance, dryer litter, excellent feed conversion and very low condemnation rates are the strong points of this drinker. No mini drinkers are required'unless birds are debeaked day old. VLI4O Drinkar The VLI4O wHI supply 12 caged layers, 25 pullets up to 5 weeks or 17 pullets up to 20 weeks, 10 broiler breeders on the floor, with the right amount of water. This nipple triggers harder than the VBI4O, gives less water, yet adequate and maintains very dry litter. Dry litter, peak production, clean water with very little maintenance, makes this drinker one you can't pass up. VTI4O Drinker This drinker is designed especially for turkeys. It is easy to trigger and gives more water than the other two drinkers. The VTI4O will handle 10 turkeys from day old poults up thru finish. No mini drinkers required even if debeaked day old. (Note) anti roost wire must be hooked up to shocking unit. Being a closed water system turkeys cannot splash around in water, maintaining dryer litter and always guaranteeing clean water. Dry litter, minimum maintenance, good feed conversion makes the job of raising old Tom alot easier. tic Cooperative Milk Marketing Agency, the over-order bargaining agency for cooperatives in Federal Order 4, has charged area handlers the same $1.05 premium on Class I milk since PMMB first issued its order. This MACMMA premium remains in effect indefinitely, Fraher said, and likely will con tinue for at least as long as the PMMB premium does. The PMMB order also affects the various individual over-order premiums being paid elsewhere in the region, particularly among producers and handlers regulated by Federal Order 2. Because they affect only a portion of the milk supply, the MACMMA and PMMB premiums do not translate into farm milk prices $1.05 higher than they otherwise would be. The gains farmers realize in their milk checks depends on the Class I per centage of their markets. For Fed eral Order 4 producers, for instance, the premium has been worth an extra 42 to 60 cents a hundredweight. Fraher, representing MACM- Trigger Pm Best in Poultry Watering! WE SHIP UPS! MA and several other farm orga nizations, was one of several wit nesses to present testimony at a recent hearing on the possible extension of the PMMB premium. He argued that several factors, including a tight supply-demand situation locally and some increases in cost of production, argue for the need of local dairy men for higher prices than those provided by the federal order sys tem. Through last fall and winter, regional milk production has lagged behind output from the previous year. In Pennsylvania, for instance, February milk pro duction of 785 million pounds was eight percent less than the total produced in February 1989, according to U.S. Department of Agriculture figures. In Maryland, production was down slightly in January and level with year-ago totals in February. The shortfall has created a kind of consensus on the need for higher prices between producer and processing interests. Milk dealers did not oppose the extension of the PMMB order and re Cap— issembly lather Img Seal iss Steel ihul OH less Steel le Seal •r •My •etlon 1985 VAL Patent #4,524,724 #4,610,221 #4,610.063 /*4&\ ] Ask Any Chick! Uncut* Fuming, Saturday, April 21,1990445 have by and large accepted the regional MACMMA premium, according to industry officials. In that regard, it probably helped that the PMMB extension came up at a time when farm milk prices are in decline. After climbing to record heights earlier this year in the wake of the skyrocketing Minnesota-Wiscpnsin price, prices in the various federal orders have settled back to earth recently. The May Class I price in Federal Old* 4 is just $15.05 a hundred weight, down $2.91 from its February peak. Similarly, the May Class I price in Federal Order 2 is $14.57, down from the February peak, but still .$1.04 above the Class I price a year ago. Moreov er, the precipitous decline in the M-W price in January and Febru ary slowed to 20 cents in Match and may have bottomed out. Flatt er said. One good sign: in recent weeks, cheese prices in the upper Midwest have risen, he said. The extension is the third since the marketing board originally okayed the premium in September 1988. At that time, concerns were focused on the impact of a pro longed drought on crop produc tion and dairymen’s incomes, Kugel said. The rationale for the most recent extension, in Septem ber 1989, was the negative impact of overly wet weather. Allied Milk Producers Indiana Co. Correspondent JOHNSTOWN (Cambria Co.) —The Allied Milk Producers, one of the oldest dairy promotion agencies on the East Coast, held its 40th annual meeting April 3 at the Masonic Temple. The organization, formed in 1950, represents more than 200 members in nine counties. Dorothy Naugle of Hoovers ville RD 1, Somerset County, dairy marketing specialist for the organization, said the highlight of the evening was the unveiling of a new promotional billboard designed by fourth-grader Brianne Duffner of the Third Ward Elementary School in Blairsville, Indiana County. Brianne’s design was chosen in a contest from 289 entries submit ted by students in 91 fourth grade classes in a four-county area. Her billboard will be rotated with 12 others designed by an ad agency for the organization’s southwest ern Pennsylvania campaign. At the meeting to present their dairy promotional skits were dairy princesses Tracy Blair of Somer set County and Jenifer Veach of Bedford County. Longtime board member Wil liam Blough was recognized for approximately 20 years of service to the Allied Milk Producers. In her slide presentation and report, Naugle reviewed the year’s marketing activities, which included mall promotions, school assemblies, and other special events. According to Naugle, 342 peo ple attended the meeting. MUC IT'S FITNESS YOU CAN MONK. Meet RANDY WELLS
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