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Home » Blog » News » DMC margin falls further in February
February 5, 2023

DMC margin falls further in February

April 8, 2021

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DMC margin falls further in February

February’s margin under the Dairy Margin Coverage program dropped $0.92/cwt below January’s to $6.22/cwt. Of that decline, $0.40/cwt was due to a lower milk price, which was $17.10/cwt for the month, while the rest was generated by a higher feed cost calculation, almost all due to a higher price for corn that was slightly offset by a lower soybean meal price. The February payment for $9.50/cwt DMC program coverage is therefore $3.28/cwt.

Current futures prices indicate that the February margin may be the lowest for the year, and that the margins going forward should rise above $9.50/cwt sometime around mid-year.

Filed Under: News

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About Pam Jahnke

Getting up at 2 in the morning might shock some of her listeners, but for Pam Jahnke, it’s part of the business. Born in Northeastern Wisconsin, Pam Jahnke grew up in agriculture. Raised on her family’s 200-acre dairy farm, she learned the “farm work ethic” first hand.

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