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Is Fat-Corrected Milk Sufficient?

Dairy Consultant, Dairy Monitoring of America, North Logan, Utah 84321

ABSTRACT

Since milk plant administrators are investigating protein as a milk accounting and pricing variable, a study determined whether the fat content of milk and dairy products with the weight, were sound criteria for estimating their respective values in the market place. Clearly the fat content and weight of milks and milk products failed to describe their respective wholesale prices.

An alternative approach for evaluating milk from lactating dairy cows is suggested. This approach reduces milk equivalents, based on protein and fat contents, to dollars for a hypothetical milk arbitrarily valued at $5 per hundredweight. Several advantages inherent in the suggested milk evaluation system are discussed including benefits which could accrue to milk producers and milk consumers. Milk processors could also benefit because of an improved accounting system which may prove to have extensive effects upon the present price structure in marketing milk and milk products.