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Study of Milk Market Channel Pricing and Related Documents

Including Press Items and Proposed Legislation

updated 01/25/07
Milk Pricing 2005 and Earlier
Milk Pricing 2006-2007
Milk Pricing 2008-2009

Contents
Research and Policy Papers
The Northeast Dairy Policy and Prices Summit Meeting: November 17-18, 2003
Critiques and Responses
Newspaper Articles and Media
International Trade
Open Space
Proposed State Laws
Other Related Items
 

Research and Policy Papers

"Milk Prices in New England and Neighboring Areas of New York: A Prologue to Action?"
by Ronald W. Cotterill, Adam N. Rabinowitz, and Li Tian.
Paper presented at: Crisis in Dairy Farming Forum, University of Connecticut.
November 19, 2002
"A Fair Share Law for Connecticut and Other Northeast Dairy States: A State Level Solution to Retail Milk Price Gouging and the Dairy Farm Crisis"
by Ronald W. Cotterill.
December 2002
"Analysis of Two Related Milk Price Approaches to Address the Noncompetitive Pricing Problem in the Milk Industry: The 40-40 Consumer Approach and the Farmer and Consumer Fair Share Approach"
by Ronald W. Cotterill and Adam N. Rabinowitz.
December 2002
"Oligopoly Pricing with Differentiated Products: The Boston Fluid Milk Market Channel"
by Ronald W. Cotterill and Tirtha Dhar.
February 7, 2003
"Perspectives on Global Concentration and Public Policy"
Presented at the Global Markets for High-Value Food Workshop, United States Department of Agriculture, Washington, D.C.
by Ronald W. Cotterill.
February 14, 2003
"Dairy Policy for New England: Options at the State and Regional Level"
Testimony before the Committee on the Environment, Connecticut Legislature
by Ronald W. Cotterill.
February 26, 2003
"An Old and New Cooperative Alternative: Integration by Farmers Into Fluid Processing to Develop Local Brands to Capture Some of the Channel Margin."
by Ronald W. Cotterill and Adam N. Rabinowitz.
March 14, 2003
"Fair Pricing Mechanics"
by Ronald W. Cotterill.
March 19, 2003
"Responses to some questions raised at the March 14, 2003 meeting on dairy pricing and fair pricing milk"
by Ronald W. Cotterill.
March 19, 2003
"A Law to Promote Efficient and Fair Pricing of Milk in Connecticut"
by Ronald W. Cotterill, Adam N. Rabinowitz, and Li Tian.
April 9, 2003
Revised April 23, 2003
Press Release
April 11, 2003
"Explanation of Farmer Benefits of the Proposed Connecticut Milk Pricing Laws."
by Ronald W. Cotterill.
April 21, 2003
"Drafting of Connecticut Fair Milk Pricing Law: Further Thoughts on the Retail Price Collar."
by Ronald W. Cotterill.
April 30, 2003
"Answers to Questions that Often Surface When Discussing the Proposed Connecticut Fair Pricing Milk Law."
by Ronald W. Cotterill.
May 1, 2003
"Drafting a Connecticut Fair Milk Pricing Law: A Meeting the Competition Clause that Enhances the Competitive Position of Connecticut Processors and A Small Account Rule that Recognizes the Higher Cost of Supplying Such Accounts."
by Ronald W. Cotterill.
May 6, 2003
"Fluid Milk Market Channel Pricing: Monopolistic Pricing by Retailers Hurts Processors, Farmers, Consumers, and Federal Market Order Pricing."
by Ronald W. Cotterill.
September, 2003
"Testimony on the Massachusetts Milk Price Situation and the Proposed Massachusetts Milk Price Gouging Law."
Testimony before the Massachusetts Legislature Committee on the Environment.
by Ronald W. Cotterill, Adam N. Rabinowitz, and Matthew Schwane.
September 4, 2003
"Retail Milk Prices in New England, New York, and Seattle: An Unresolved Issue"
by Adam N. Rabinowitz, Matthew Schwane, and Ronald W. Cotterill.
September 23, 2003
"The Compact Plus Approach to New England Dairy Policy"
Presented at the Woodstock, CT Dairy Meeting
by Ronald W. Cotterill.
January 14, 2004
"What is the Value of Milk?"
by Ronald W. Cotterill.
February 9, 2004
"Milk Pricing Problems and Solutions: An Essay on the Need for New State Level Milk Price Regulation in the Northeast, with Special Attention to Connecticut Substitute Bill No. 5642"
by Ronald W. Cotterill.
April 12, 2004
"Analysis of the May 2004 Milk Price Survey with a Comparison to June 2003"
by Matthew Schwane, Adam N. Rabinowitz, and Ronald W. Cotterill.
September 2004
"Analysis of the July 2005 Milk Price Survey with a Comparison to Previous Surveys"
by Matthew Schwane, Adam N. Rabinowitz, and Ronald W. Cotterill.
August 2005
United States Senate Committee on the Judiciary
"Milk Market Channel Structure: Its Impact on Farmers and Consumers, and the Inadequacies of Antitrust Enforcement as a Foundation for Dairy Policies: Evidence from the Northeast Dairy Industry"
Testimony before the United States Senate Committee on the Judiciary.
by Ronald W. Cotterill, Adam N. Rabinowitz, and Li Tian.
October 30, 2003
"Milk Market Channel Structure: Its Impact on Farmers and Consumers, and the Inadequacies of Antitrust Enforcement as a Foundation for Dairy Policies: Evidence from the Northeast Dairy Industry"
Oral Testimony before the United States Senate Committee on the Judiciary.
by Ronald W. Cotterill.
October 30, 2003
"Monopsony Issues in Agriculture: Buying Power of Processors in Our Nationís Agricultural Markets."
Official Hearing Notice, Witness List, and Testimony.
October 30, 2003

The Northeast Dairy Policy and Prices Summit Meeting: November 17-18, 2003

Conference Program
"Dairy Farming in New England at the Start of the 21st Century"
by Michael Sciabarrasi, University of New Hampshire.
"Milk Plant Benchmarking"
by Corey Durling and Karol Szot, Dairy Technomics, LLC.
"Milk Retail Costs and Margins"
by George Criner, University of Maine.
"Farm Milk Prices: Forcasts and Federal Dairy Policy"
by Robert Wellington, Agri-Mark.
"Recent Retail, Wholesale, and Farm Prices in New England and New York: Analysis of Excessive Retail Margins in New England"
by Ronald W. Cotterill, University of Connecticut.
"A Review of the New York Price Gouge Law"
by Martin Mack, New York State Deputy Attorney General.
"The Economic Regulation of Milk"
by David DeSantis, Pennsylvania Milk Marketing Board.
"The Proposed Connecticut Price Collar Approach"
by Ronald W. Cotterill, University of Connecticut.
"An Act Concerning the Fair Pricing of Milk"
by Ronald W. Cotterill, University of Connecticut.
"Legal Aspects of State/Regional Policy Options"
by Douglas Eberly, Pennsylvania Milk Marketing Board.

Critiques and Responses

"An Analysis of the Cotterill Proposal"
A report prepared for the Massachusetts Food Association
by John Schnittker.
August, 2003
"A Preliminary Response to the Report Prepared for the Massachusetts Food Association by John Schnittker titled, "An Analysis of the Cotterill Proposal'"
Presented to the Committee on the Environment Massachusetts Legislature
by Ronald W. Cotterill.
September, 2003
"Controversy Over Level Of Farm Versus Retail Milk Prices Continues"
The Cheese Reporter
September 26, 2003
A letter to the editor in response to the "Controversy Over Level Of Farm Versus Retail Milk Prices Continues"
by Ronald W. Cotterill.
October 19, 2003

Newspaper Articles and Media

Audio and Video - Windows Media Player is Required
New England Cable News. Too Much For Milk (Video).
November 20, 2002
NBC30.
November 20, 2002
NBC30. CT Attorney General on Milk (Video).
January 3, 2003
CBS Evening News. Milk, Got Money? (Video).
August 31, 2003
The Osgood File. Too Much For Milk (Audio).
September 1, 2003
NBC30 Connecticut News. Rising Prices (Video).
September 2, 2003
ABC Boston, Newscenter 5. Milk Prices (Video).
September 4, 2003
Print and Electronic
Boston Globe Series by Bruce Mohl
Boston Globe. Economists find high markup of regional milk prices.
November 13, 2002
Boston Globe. Hood plans to merge with Dallas dairy farm.
November 13, 2002
Boston Globe. Study finds milk price disparity.
November 20, 2002
Boston Globe. N.E. states eye milk-price controls.
January 8, 2003
Boston Globe. Dairy to raise milk price. Key Article - Read This!
January 9, 2003
Boston Globe. Galvin targets milk prices: Files legislation to limit retail cost
January 10, 2003
Boston Globe. National Dairy, Hood Scrap Deal Plan Alternative to Merger to Skirt Regulatory Worries
May 13, 2003
Boston Globe. Grocery chains mull charging more for milk.
August 29, 2003
Boston Globe. Grocery chains hike milk prices.
September 3, 2003
Boston Globe. Study slams effort to cap price of milk.
September 4, 2003
Boston Globe. Milking the pricing system; Despite fluctuations in the farm rate, supermarkets hold on to hefty profits.
February 1, 2004
Other Press Items
NBC30. UConn Economist Says Milk Prices Are Sour.
November 20, 2002
Norwich Bulletin. Milk costs too much, economist says.
November 20, 2002
The New London Day. Study says dairy farmers are losing out on milk profits.
November 20, 2002
Associated Press. Study: chain stores overcharging for milk. November 20, 2002.
The AP article appeared in many regional newspapers, including The Hartford Courant, titled, Stores Overprice Milk; Farmers Struggle, Study Says.
November 21, 2002
In response to the AP article: Dr. Cotterill's Letter to the Editor of The Hartford Courant.
November 21, 2002
The Hartford Courant. Supermarket Milk Prices Need To Come Down (Opinion piece by Ronald W. Cotterill).
November 26, 2002
The Providence Journal. Supermarkets, stop the gouging - Milk prices should tumble (Opinion piece by Ronald W. Cotterill).
November 27, 2002
The Hartford Courant. Blumenthal to launch milk-price investigation: retailers, processors suspected of gouging consumers.
January 4, 2003
Connecticut Post. Corporations accused of dairy profiteering.
January 4, 2003
Bangor Daily News. Grocers gouge on milk sales, experts allege Shelf prices remain constant even though farmers get less.
January 25, 2003
Supermarket News. Spill It; An Outpouring of Support for Milk-Price Ceilings from Consumers and Lawmakers has Retailers on the Defensive.
February 10, 2003
Country Folks New England Farm Weekly. CT Legislators Discuss Help for Dairy Farmers and Consumers.
February 10, 2003
The Barre Montpelier Times Argus. State plans aid to farms.
February 12, 2003
The New York Times. Got Milk? Yes, but That's Not the Issue.
March 2, 2003
Press Release from Senator Olympia Snowe, U.S. Senator for Maine. Snowe Calls on the GAO to Investigate Milk Markets in the Northeast.
March 7, 2003
New Haven Register. Fair prices could rescue dairy farms (Opinion piece by Mark Winne).
March 13, 2003
Associated Press. Professor seeks legislation capping milk prices.
April 11, 2003
Hartford Courant. Time To Put Dairy Farmers Out To Pasture.
April 17, 2003
Hartford Courant. Regarding Cohen's Dairy Disdain.
April 20, 2003
The New York Times. A Breakdown of Milk Prices.
April 20, 2003
Norwich Bulletin. Farmers say bill that would give tax breaks desperately needed.
April 23, 2003
Hartford Courant. Losing Farms, Gaining Pounds And Paying A Steep Price (by Mark Winne and Lucy Nolan).
April 28, 2003
Brattleboro Reformer. State hopes programs will shore up ailing dairy industry.
April 30, 2003
Bennington Banner. Vt. farmers offered loans to reduce debt.
May 1, 2003
WCAX. Milk Money.
May 6, 2003
CBS MarketWatch. Gotten milked? Retailers accused of gouging milk buyers.
June 9, 2003
Wall Street Journal. Secret in the Dairy Aisle: Milk Is a Cash Cow.
July 28, 2003
The Seattle Times. Highest milk prices in the nation found in Puget Sound area.
August 12, 2003
Chicago Sun-Times. Cost of breakfast just got steeper.
August 30, 2003
Times Union. Dairies deliver dose of sticker shock at stores.
September 2, 2003
Associated Press. Secretary of State calls for restrictions on milk prices.
September 4, 2003
The San Francisco Chronicle. Dairy farmers cull cattle to boost price of milk; Producers complain retailers are skimming too much profit.
October 19, 2003
Wall Street Journal. Bully Buyers: How Driving Prices Lower Can Violate Antitrust Statutes; 'Monopsony' Suits Mount As Companies Are Accused Of Squeezing Suppliers; Farmers vs. Cigarette Makers.
January 27, 2004
Cheese Reporter. Northeast Order To Tighten Pooling Standards, Rejects Marketwide Credit.
March 26, 2004
Cheese Reporter. March Milk: No Negative PPDs, But Almost 3 Billion Pounds Depooled.
April 16, 2004
Cheese Reporter. Future of Northeast Dairy Industry Seen Depending On State, Regional Dairy Policies.
April 16, 2004
The Providence Journal. Rising dairy prices continue to milk consumers.
April 29, 2004
The Hartford Courant. A Losing Proposition.
May 3, 2004
Cheese Reporter. National Dairy Equity Act Is A Flawed Proposal.
June 25, 2004
Cheese Reporter. Upper Midwest Order: Distant Pooling Hurts All Producers, Depooling Just Hurts Some.
June 25, 2004
Hartford Courant. A Toast to State Farmers.
July 8, 2004
Chicago Tribune. Small dairy farmers take on `Goliath' cooperative.
September 7, 2004
Hartford Courant. Got Milk? Saving Simsbury's Last Dairy Farm.
November 7, 2004
Hartford Courant. Farmers Largely Unfazed by Talk of Subsidy Cuts; State's Growers Receive Relatively Little Aid.
February 22, 2005
Hartford Courant. A Town's Utopian Quest; Even Supporters of a Fantasy-Like Development in Preston, Between Two Casinos, Have Their Doubts.
March 27, 2005
Associated Press. Governor announces new dairy task force.
April 7, 2005
Hartford Courant. Don't Cry Over Spilled Milk - Letter to the Editor.
May 2, 2005
New York Times. Got Toxic Milk?
May 30, 2005
Journal Inquirer. Farmers launching new milk business.
June 04, 2005
Maine
Governor Baldacci Announces Dairy Relief Plan for Maine.
April 4, 2003
Bangor Daily News. Farmers' reactions mixed on dairy relief package.
April 5, 2003
Portland Press Herald. Extra aid puts off vote on milk tax.
April 12, 2003
WMTW. A Way of Life: A Special Report by Lisa Gardner.
May 6, 2003
Portland Press Herald. Baldacci names members to panel on dairy industry.
May 7, 2003
Portland Press Herald. Milk prices rise, but farmers get little benefit.
September 3, 2003
Related Press Items
The New York Times. Pastoral Poverty: The Seeds of Decline.
December 8, 2002
The Barre Montpelier Times Argus. Douglas tuned in to farmersí needs.
January 4, 2003
The Barre Montpelier Times Argus. State House hearing focuses on farm woes.
January 17, 2003
The New York Times. Irregularities Push Parmalat Closer To Insolvency.
December 20, 2003
The New York Times. Connecticut Lawmakers Debate Strict Bill on School Nutrition.
May 10, 2005
Hartford Courant. Junk Food Limit Clears Senate.
May 26, 2005
Hartford Courant. Family Saw Need to Preserve Farmland.
May 31, 2005
Hartford Courant. Bill To Save Farmland Passes.
June 8, 2005
Hartford Courant. Rell Vetoes Junk Food Bill.
Jun 15, 2005
H.P. Hood's Merger with National Dairy Holdings
The Burlington Free Press. Merger proposal controversial.
February 9, 2003
The American Antitrust Institute Competitive Issues in the Dairy Industry: The Pending DFA/NDH/Hood Transaction
February 17, 2004
International Trade
International Herald Tribune. Talks to consider farm tariffs, WTO group faces March deadline for agreement.
February 13, 2003
The New York Times. Global Talks On Farming Begin Friday.
February 13, 2003
The New York Times. The Middle East Belongs in the World Economy.
February 22, 2003
Open Space
Hartford Courant. When Our Farms Are Gone, They're Gone Forever; Connecticut's Endangered Acres (Opinion piece by Mark Winne).
November 9, 2003
Hartford Courant. A Farm-Friendly Town (Opinion piece by Mark Winne).
January 11, 2004
Hartford Courant. Where Growth Is Concerned, Denser Can Mean Smarter (Opinion piece by Donald J. Poland).
January 18, 2004

State Laws

Proposed State Laws
Connecticut 2005 Proposed Bill
AN ACT CONCERNING SOUTHERN NEW ENGLAND MILK PRICING.
To authorize the adoption of regulations establishing a minimum price to be paid to producers of milk and to authorize a common program of uniform administration of milk prices among states in the region.
View the 2005 Bill Status

AN ACT CONCERNING THE REVISION AND MODERNIZATION OF MILK REGULATION STATUTES.
To update statutes regarding the safe production, handling, manufacture and sale of milk and milk products and to address changes in the milk industry.
View the 2005 Bill Status

AN ACT CONCERNING THE MILK REGULATION BOARD AND A STUDY OF THE CONNECTICUT DAIRY INDUSTRY.
To increase the number of members on the milk regulation board and to complete a comprehensive study of the dairy industry in Connecticut.
View the 2005 Bill Status
2005 Session
2004 Proposed Bill
AN ACT CONCERNING THE MILK REGULATION BOARD
To require the Commissioner of Agriculture to adopt regulations concerning milk prices, premiums and fees.

View the 2004 Bill Status
Watch the 2004 House vote
2004 Session
Attorney General's Proposed Bill
AN ACT CONCERNING THE FAIR PRICING OF MILK
To limit the mark-up on milk prices charged by processors and retailers.

View the 2003 Bill Status
2003 Session
Connecticut Attorney General's Press Release
Attorney General Investigates Milk Company Merger, Proposes Legislation Concerning Fair Pricing Of Milk
January 3, 2003
Hartford Food System Supports Milk Price Gouging Bill
January 3, 2003
Transcript of the Public Hearing of the Environment Committee, Connecticut General Assembly
February 26, 2003
Letter from the State of Connecticut Attorney General regarding constitutionality of proposed legislation.
January 26, 2004
Massachusetts Secretary of the Commonwealth's Proposed Bill
Track the Current Bill Status
January 2003
New Hampshire Proposed Bill
January 2003
Maine Proposed Bill
January 2003
An Act to Provide Financing Relief for Maine Dairy Farmers.
Track the Current Bill Status
May 2003

Other Related Items

Connecticut's Dairy Crisis: A Working Lands Alliance Position Paper
December 23, 2002
      
University of Connecticut
College of Agriculture and Natural Resources
Departmnet of Agricultural and Resource Economics

 
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