USDA yet again raised its 2021 milk production estimate as farmers continue to add cows to their herd.
In its February supply and demand report, USDA forecast cheese and butter prices lower because of current prices, increased production, and larger stocks. Nonfat dry milk and whey prices are projected higher because of strong demand.
The Class III price was lowered because of expected lower cheese prices along with the Class IV prices because of lower butter prices.
