CWT lauches fourth herd retirement program

US - The Cooperatives Working Together (CWT) program has launched their fourth herd retirement effort. Chris Galen with National Milk Producers Federation says the decision to conduct this round was based on, “A variety of indicators about where the dairy markets are and where we think they are going in 2007.”
calendar icon 7 February 2007
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Of particular concern were the most recent reports from USDA that show milk and cheese production continues to increase, cow numbers are growing and replacement heifer numbers are at record levels. “So clearly, there are some things that need to be done to pare the national dairy herd,” says Galen.

A couple of months ago, Western United Dairymen sent a letter to CWT requesting another buyout stating that California producers were loosing in the neighborhood of $2.79 for every hundred pounds of milk they produced. While the buyout will again have regional protection safeguards, one would think western producers would jump at the chance. CWT Chief Operating Officer, Walt Wosje, says they have no way of knowing how many cows will come out of the west.

Source: Brownfield Network

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