In New York's metro region, including Dutchess County, a gallon of milk will cost $3.14, while upstate New Yorkers, including residents in Ulster County, will pay $2.92.

The New York state Department of Agriculture and Markets sets the retail prices. It reflects a decrease in supply and an increase in demand, said Jessica Chittenden, a spokeswoman for the department.

"People are doing a lot more baking, using creamy products, more butter and cream and are eating more cheese. This is normal for the holiday season, for people to drive up demand," she said.

At the same time, milk production has tightened, mostly due to rainy weather that affected the hay and corn feed crops.

"Feed going into cows hasn't been as good. If you aren't feeding cows the highest quality feed, you don't get as good production," Chittenden said.

Source: Poughkeepsie Journal