Land O’Lakes’ producer members in the co-op’s Mid Western Dairy Region have received a letter informing them that they would join the Eastern and Western Dairy Region in the organisation’s base programme, Lucas Sjostrom reports in the US publication Dairy Herd Management.
The organisation’s base programme states that farmers could produce as much milk as they want, but if the milk could not be marketed, the over quota milk would have to carry the cost of displacing that milk.
The co-op operative will use 2016 as the base year, commence operation in 2017 and will be reviewed each September thereafter.
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Members producing less than 90% of their new Land O’Lakes quota would be eligible for reallocation in September, which would provide base pounds to other members or to be retained by the co-op.
Milk production growth in the Midwest pushing processing to capacity is driving this move.
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Land O’Lakes’ producer members in the co-op’s Mid Western Dairy Region have received a letter informing them that they would join the Eastern and Western Dairy Region in the organisation’s base programme, Lucas Sjostrom reports in the US publication Dairy Herd Management.
The organisation’s base programme states that farmers could produce as much milk as they want, but if the milk could not be marketed, the over quota milk would have to carry the cost of displacing that milk.
The co-op operative will use 2016 as the base year, commence operation in 2017 and will be reviewed each September thereafter.
Members producing less than 90% of their new Land O’Lakes quota would be eligible for reallocation in September, which would provide base pounds to other members or to be retained by the co-op.
Milk production growth in the Midwest pushing processing to capacity is driving this move.
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