AMSFinal Rule

Milk in the Northeast and Other Marketing Areas: Uniform Pricing Formula Provisions

AgricultureFinance & Banking

Summary

This regulation updates how milk prices are calculated and set in the Northeast and other U.S. milk marketing areas. The changes affect how dairy farmers are paid and ultimately influence the price consumers pay for milk and dairy products at the grocery store.

Key Points

  • 1Establishes a uniform pricing formula that determines how much dairy farmers receive for their milk based on how it's used (fluid milk, cheese, yogurt, etc.)
  • 2Applies to milk producers and handlers in the Northeast marketing area plus other designated regions across the country
  • 3Updates pricing mechanisms to reflect current market conditions and dairy product values
  • 4Affects both what farmers earn and what processors pay, which can trickle down to retail prices consumers pay
  • 5Takes effect as of the published date and replaces previous pricing calculation methods

Impact Assessment

If you are a dairy farmer, this means your milk payment will be calculated using an updated pricing formula that may increase or decrease your income depending on market conditions in your region.

Impact Level
Moderate
Geographic Scope

Regional

Compliance Cost

Minimal

Who is Affected
FarmersConsumersManufacturers

Key Dates

Published

January 17, 2025

Regulatory Connections

Amends CFR Sections
7 CFR Part 10017 CFR Part 1005

This summary is for informational purposes only. It may not capture all nuances of the regulation. Always refer to the official text for authoritative information.