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USDA Lifts Milk Output Forecasts
WASHINGTON - Oct 12/05 - SNS -- Milk production in the United States 2005 and 2006 is forecast higher than last month, according to the USDA's World Agricultural Outlook Board.
Output per cow is raised for 2005 and 2006, and the milk cow herd is forecast to grow slightly more rapidly in 2006. As a result, the milk production forecast is increased 400 million pounds for 2005 and 1 billion pounds in 2006.
Fat-basis commercial demand remains relatively strong and is expected to absorb increased supplies of milk, providing support for increased forecasts of both butter and cheese prices in 2005 and forecast cheese prices in 2006.
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