Understanding milk pricing

06/27/2007 | Sacramento Bee (Calif.) (free registration), The

Milk prices are at an all-time high, leading many people to wonder how milk value is determined. To determine pricing, state officials look at four globally traded commodities: butterfat, dry milk powder, whey powder and cheddar cheese. Right now milk powder and whey are very expensive, which raises the base price of milk.

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Sacramento Bee (Calif.) (free registration), The

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