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Seasonality of Class I Price Differential Estimates for the Southeastern United States

Published online by Cambridge University Press:  12 June 2017

Carlos E. Testuri
Affiliation:
Dairy and Poultry Science Department at the , University of Florida
Richard L. Kilmer
Affiliation:
Food and Resource Economics Department at the, University of Florida
Thomas Spreen
Affiliation:
Food and Resource Economics Department at the, University of Florida

Abstract

This study provides insight into the seasonality of Class I price differentials in the southeastern dairy industry. This is accomplished by analyzing monthly estimates of Class I price differentials obtained from the imputed price solution or dual solution of a generalized capacitated minimum cost network flow model of the dairy industry. A smooth seasonal pattern emerges through the monthly sequence with the lowest and highest estimated Class I price differentials occurring in April and September respectively. Miami and Jacksonville areas reach $ 5.40 and $ 4.36 per hundredweight in April and $ 6.79 and $ 5.53 per hundredweight in September.

Type
Articles
Copyright
Copyright © Southern Agricultural Economics Association 2001

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