An ag economist says rising feed costs can actually be good for milk prices. Dan Basse with AgResource tells Brownfield when corn prices rise, the farmer re-evaluates the bottom five to ten percent of the herd. “He says well maybe she’s not making me as much money as she might or maybe even losing me some money when prices reach $5.50 a bushel, spot, Chicago. With that in mind, what usually happens is we start to see an elevated cull rate, and that’s been happening now for the last three, four weeks.”
Basse tells Brownfield that gives dairy farmers some optimism out in the fourth quarter and early next year.
