Dairy producer hopes economic turnaround begins soon |
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| Written by Love My Equines, on 19-05-2009 06:59 |
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Financial losses continue to mount up for dairy producers.
Jason Brockshus is part of Brockshus Dairy, a 300-cow operation near Ocheyedan in northwest Iowa. “We know what our cost of production is and we know what we’re getting paid,” Brockshus explains. “To be truthful, we’re losing—and a lot of other dairy farmers in the Midwest are losing—$100 to $150 dollars per cow, per month.
“So if you have a neighboring dairy farm and you know how many cows they have, do the math. It doesn’t take real long to figure out they’re chewing into some equity pretty fast.”
The combination of high input costs and low milk prices has been hard on dairy producers. Brockshus says the economic recession has hurt the demand for dairy products.
“People are having a hard time buying product in the store, when they’re concerned about their own jobs and the security of their financial situation at home,” he says. “They’re less willing to go out and eat that pizza with a bunch of cheese on it, or that sort of thing.”
Brockshus Dairy sells its milk to a plant in Sanborn, Iowa. It is processed into 640-pound blocks of cheddar cheese, mainly for use by fast food and pizza restaurants.
~by Ken Anderson~
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