The producers also receive an adjustment, which is calculated every month by each of the Federal Milk Marketing Orders, called the producer price differential. This differential is updated monthly by the middle of the following month. Each of the six FMMOs has a different value for their producer price differential.
The Milkpay calculator can be updated automatically for the latest component prices, somatic cell count premium, and producer price differentials. With these current values, the financial value of the milk components can be quantified to determine milk revenue. Changes in components and feed costs can be incrementally evaluated. The cost of the feed changes can also be included in the calculations to quantify Income Over Feed Cost (IOFC) and Return on Investment (ROI) from these changes.
The current production and adjusted production can also be compared based on Fat Corrected Milk, Energy Corrected Milk, and Revenue Corrected Milk calculations. The values for each are also calculated. The calculations are based on USDA energy and financial values and standardized at 3.5% Milk Fat, 3.0% Milk True Protein, and 5.7% Other Solids.
The results can be viewed on screen and can be sent by email and saved for future reference.
The calculator provided by Adisseo is for use by those in the dairy industry. Adisseo is the manufacturer of Smartamine® M and MetaSmart® methionine for ruminants. The calculations are estimates based on the data entered. Neither Adisseo, its agents, salesmen nor its employees make any warranty about the accuracy or results of numbers used in the calculations.