Source:  Rita Jane Gabbett, MEATINGPLACE.COM, 5/28/10

Cooperatives Working Together (CWT) announced its tenth herd retirement program since 2003, accepting bids from May 28 through June 25.

CWT, funded by dairy cooperatives and individual dairy farmers, said the decision was made after reviewing economic benchmarks including cull rates and cull cow prices. The most recent prior retirement program was conducted in the fall of 2009.

"With beef prices very strong, and replacement cow and springer prices still relatively low, CWT has determined that it will consider bids up to, but not to exceed, $3.75 per hundredweight (of milk production)," said Jerry Kozak, president and CEO of the National Milk Producers Federation, which manages CWT, in a news release.

As was the case in 2009's herd retirement rounds, CWT has no set target for the volume of milk or the number of cows to be removed in this herd retirement.

"Whether CWT will remove a significant number of dairy animals will depend on the number of bids received and the price level of those bids. CWT will not pay more for cows than what they are currently worth in the marketplace," Kozak said.

For more information, visit www.cwt.coop.

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