Industry News

Digest Highlights

• Dairy margins squeezed by COVID-19 impact
• PMMB maintains over-order premium at $1 per cwt
• April Class I base: $16.64 per cwt
• Global Dairy Trade prices mixed
• National Dairy Board nominees sought
• DFA plans improvements at plant in Zumbrota, Minnesota
• DOT emergency declaration relaxes hours-of-service regulations
• Dairy companies urged to self-certify as part of critical infrastructure
• California QIP ‘3.5 statute’ hearing postponed
• More dairy meetings canceled due to coronavirus concerns

On the surface, February 2020 milk production jumped more than 5% compared to the same month last year. However, with February 2020 containing an extra day due to “leap year,” the adjusted increase is closer to 2% on a daily basis.

Editor's note: This article was updated on March 21 to include additional comments from Dairy Farmers of America.

An updated court docket outlines the bidding and sales procedures and timeline as Dean Foods continues its journey through bankruptcy. The order (docket number 1178) was signed by Judge David Jones at the conclusion of hearing, held March 19, in the U.S. Bankruptcy Court for the Southern District of Texas, Houston, Texas.

Editor’s update: Following an afternoon hearing on March 19, U.S. Judge David Jones said he would sign an order outlining procedures and the timetable regarding Dean Foods’ bankruptcy proceedings. As described below, Dairy Farmers of America (DFA) will not be designated the stalking horse bidder. The court docket (#1175) is available on the case website.

The judge presiding over the Dean Foods bankruptcy proceedings could hear a substantially different proposal when a scheduled hearing resumes today (March 19).

What is COVID-19?

Coronavirus disease 2019 (COVID-19) is a respiratory condition that can spread from person to person. The virus that causes COVID-19 is a new coronavirus that was first identified in the city of Wuhan, China.

Auction markets are an essential link in the food supply chain while providing a sales outlet and income for farmers and ranchers selling cattle and other livestock. The COVID-19 outbreak and efforts to control its spread are affecting how those markets operate.