Missouri Dairy Business Update
Volume 2, Number 4
April 2002

Milk/Feed Price Ratio

Current low milk prices are no fun for dairymen, but as the graph below shows, the current milk/feed price ratio is currently almost exactly at the five year average for the month of March. This price ratio represents number of pounds of 16% Mixed Dairy Feed equal in value to one pound of milk. The value of the 16% mixed dairy feed is based on current U.S. prices received for corn, soybeans and alfalfa hay