|Missouri Dairy Business Update|
|Volume 2, Number 6|
Mailbox milk prices in North Missouri and South Missouri have moved much closer together during the last year, due to the changing butter/powder tilt in government supports that brought Class III and Class IV prices closer.
In this description, North Missouri includes all counties to the north of Vernon, Cedar, Polk, Dallas, Laclede, Texas, Dent, Crawford, Washington, St. Francois, and Perry.
The "mailbox price" is defined as the net price received by dairy farmers for milk, including all payments received for milk sold and deducting costs associated with marketing the milk.
All payments for milk sold include, where applicable: over-order premiums; quality, component, breed, and volume premiums; payouts from state-run over-order pricing pools; payments from superpool organizations or marketing agencies in common; payouts from programs offering seasonal production bonuses; and, monthly distributions of cooperative earnings. All payments are shown for the month in which received. Annual distributions of cooperative profits / earnings -- 13th checks -- are not included. Also, equity repayments are not included.