US Milk price hike boosts farmers

US - The price for a gallon of milk could increase by about 2 cents this week.
calendar icon 3 January 2007
clock icon 1 minute read

The Pennsylvania Milk Marketing Board approved an increase in payments to help struggling dairy farmers keep up with operating costs. "Farmers have been facing low milk prices and higher costs for the greater part of this year. Farmers are operating at a loss," said Kristina Watson, a dairy specialist for the Pennsylvania Farm Bureau.

"For them, it means holding more loans to help pay bills and putting less investment into the farm, or a greater chance they will sell cows or go out of business." In 2006, the average dairy farmer was operating at a loss of $5 per hundredweight (about 11.6 gallons), Watson said. The Pennsylvania Milk Marketing Board approved a 25-cent increase to $1.85 per hundredweight.

For local dairy farmers, the announcement was welcome news. "I'm looking forward to it. Prices for everything else have increased, but the milk price just hasn't kept pace the last few months," said Ronald Hissong, who has about 1,200 cows at his Mercersburg dairy farm.


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