MD_DA902 Organic Dairy Fluid Overview Report 4 - Released on January 27, 2023 ORGANIC DAIRY FLUID OVERVIEW Organic Milk Utilization and Fat Content. Federal Milk Market Order 1, in New England, reports utilization of types of organic milk by pool plants. During December 2022, organic whole milk utilization totaled 16.7 million pounds, up from 14.7 million pounds the previous year. Butterfat content, 3.27 percent, decreased from 3.35 percent a year ago. The utilization of organic reduced fat milk, 17.1 million pounds, increased from 16.7 million pounds a year ago, while December 2022 butterfat content, 1.41 percent, increased from 1.39 percent the previous year. Organic Dairy Marketing Assistance Program. The new ODMAP program has been allocated up to $100 million, to be administered by USDA's Farm Service Agency (FSA), is intended to help smaller organic dairy farms that have faced a unique set of challenges and higher costs over the past several years that have been compounded by the ongoing pandemic and drought conditions across the country. The assistance will help eligible organic dairy producers with up to 75 percent of their future projected marketing costs in 2023, based on national estimates of marketing costs. This program is still in development. Details about the Organic Dairy Marketing Assistance Program will be available and updated at www.farmers.gov. European Average Organic Milk Pay Prices. The November 2022 organic milk pay price in Europe adjusted higher over the previous month in Germany, Bavaria, and Austria. However, the pay price transitioned lower in France. Additional information is shown in the table below. Organic Milk Pay Prices in Europe November 2022 Euros/100L *($USD/100L) % Change % Change Oct. 2022 Nov. 2021 Germany 63.18 $68.80 + 1.43 + 22.80 Bavaria 62.99 $68.59 + 1.99 + 22.98 France 49.69 $54.11 - 0.28 + 4.01 Austria 62.86 $68.45 + 2.14 + 30.25 *Results are based on the Jan 27, 2023, exchange rate. Organic Cow Auction Prices. In a recent report from a Pacific Northwest livestock auction, organic cull cows traded higher than conventional cows. The average price for the top 10 organic cows auctioned was $119.86 per hundredweight, compared to an average price of $94.00 per hundredweight for auctioned top 10 conventional cows. ORGANIC GRAIN FEEDSTUFF OVERVIEW National Organic Grain Feedstuff. Organic feed corn trade activity is moderate on good demand, while trading 64 cents higher delivered elevator. There were few forward contracts procured for Q1-Q3 2023. Organic feed soybeans trade activity is light on good demand with trades occurring 28 cents lower delivered elevator. Forward contracts for Q1 2023 are limited. Negotiations were quiet on all other organic grains. Bids remain unchanged on small grains. For additional information, access the link: https://www.ams.usda.gov/mnreports/lsbnof.pdf Organic Enforcement Rule. The National Organic Program (NOP) recently introduced the Strengthening Organic Enforcement (SOE) final rule. The update to the USDA organic regulations aims to reduces fraud in the organic marketplace, while strengthening oversight of organic producers, handlers, certifiers, and enforcement of the production, handling, and sale of organic products. The final rule implements the 2018 Farm Bill mandates and responds to industry requests for updates to the USDA organic regulations. Learn more about the final rule: www.ams.usda.gov/organic/SOE. Information for the period January 16 - 27, 2023, issued biweekly Published by: Dairy Market News - Madison, WI DANIEL JOHNSON, 608-422-8605 Email: daniel.johnson4@usda.gov Additional Dairy Market News Information: Dairy Market News (DMN) by Phone: (608)422-8602 DMN Website: https://www.ams.usda.gov/market-news/dairy DMN MARS (My Market News): https://mymarketnews.ams.usda.gov