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At an April 23 Special Sunshine Meeting held via teleconference due to the ongoing COVID-19 pandemic, the Pennsylvania Milk Marketing Board approved an emergency order increasing the over-order premium for May and June 2020. The order essentially sets a Class I floor price of $15.00 and provides that the difference between the $15.00 floor and the announced Class I mover be added to the existing $1.00 per hundredweight over-order premium. For May, the over-order premium, including the $0.06 fuel adjuster, is $3.11 per hundredweight.
Closures of schools and restaurants due to the COVID-19 pandemic continue to cause severe disruption in normal milk and milk product demand. Reports received by Pennsylvania Milk Marketing Board staff indicate that some milk dealers are reacting to the demand disruption and loss of markets for packaged fluid milk and manufactured dairy products by telling farmers to dump their milk on the farm. Click
to view Bulletin.
Borden Dairy Company voluntarily filed for Chapter 11 bankruptcy protection on January 6. Borden does not operate any dairy processing or manufacturing plants in Pennsylvania and does not purchase Pennsylvania producer milk. Even though Borden does sell some of its products in the western part of the state, the Board anticipates no direct impact on Pennsylvania’s dairy industry as a result of Borden’s bankruptcy filing.
The Pennsylvania Milk Marketing Board issued an order on November 6, 2019, distributing the proceeds of Trickling Springs Creamery’s milk dealer bond. The bond proceeds of $453,749.40 will be distributed to the three producers who were not paid when Trickling Springs ceased operations at the end of September.