November 3, 2009

Cooperatives Working Together (CWT) has tentatively accepted 154 bids in the fourth herd retirement it has conducted in the last 12 months. The 26,412 cows and 517 million pounds of milk accepted in this round, combined with CWT’s three previous herd retirements since December 2008, equal a total reduction of milk production capacity of 5 billion pounds.

“Coming into 2009, CWT’s economists estimated that we would need to remove between 5 billion and 6 billion pounds of milk, the production of approximately 250,000 cows, through herd retirements,” said Jerry Kozak, president and CEO of the National Milk Producers Federation, which administers CWT. “We are pleased that the participation in this third herd retirement of 2009 has brought us to our goal of aligning supply with demand, and hastening the recovery of farm-level milk prices that plunged because of the global recession.”

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