Dairy Industry exam 2

Milk marketing, Lactation, and Nutrition

Milk Class

Category of milk based on final use

Milk grade

Sanitary conditions under which milk is produced

Classified pricing

Structure of pricing that differs according to its category of use

Multiple component pricing

 Pricing system based on the market value of the milk components

Make allowance

fixed cost deduction subtracted from commodity price to determine what processors can pay

Mailbox price

net price received by producers for milk based on pounds of milk shipped and percent of each component

Pooling

Processors pay different prices for milk in each category and pay into/ draw out of pool on basis of utiliation. Producers are paid blend price 

Blend price

 weighted average price for all uses of milk

Milk base

Specific amount of milk allocated to producer fixed by the market to sell

  What are the broad goals for milk marketing from a consumer's standpoint?

a.     Adequate supply

b.     Reasonable and competitive prices

  What are the broad goals for milk marketing from a producer's standpoint?

a. Reasonable process

b. opportunity for profit      

c.  Secure market

What type of dairy products can Grade A milk be utilized for that Grade B milk cannot? 

Beverage milks

  What percent of milk marketed in the United States is marketed through a Federal Milk Marketing Order (FMMO)?

  70%

What are the program objectives of FMMOs?

a.     Establish minimum milk prices paid to producers

b.   Ensure timely and accurate payments   

c.      Provide market information

 How many FMMOs exist today?

11

How many FMMOs use multiple component pricing?

  7

What are the three C's of FMMO pricing?

a.     Commodity

b.     Component

c.      Class

Class I

Beverage milks

Class II

 Soft products

Class III

Cheese and cream cheese

Class IV

Butter + dried products

Which USDA agency surveys dairy plants and calculates monthly average prices of dairy commodities?

  AMS

Which commodities are used in the survey?

a.     Cheddar Cheese [protein] {class III}

b.     Butter price [butterfat] (class III and IV)

c.      Dry Whey [other solids] {class III}

d.     Nonfat dry milk {nonfat milk solids} [class IV]

What factors affect the blend price that farmers receive for their milk?

a.     Commodity prices (cheese, butter, NFDM, whey) 

b.     Class prices

c.      Class utilization

d.     Composition (fat + protein content)

What other factors affect the net price they receive?

a.     Quality premiums (SCC, bacteria count)

b.     Hauling charges

c.      Other marketing charges (Promotion check-off, handlers fee)

 What three parts of the milk check are under producer control?

a.     Volume of milk shipped

b.     Levels of components

c.      Milk quality

 Do state milk commissions/orders have the power to set minimum retail prices?

No

What is the purpose of milk supply control?

Equalizes supply and demand

 What three major alternatives does a dairy producer have for marketing his/her milk?

a.     Private supply contract

b.     Cooperative

c.      Produce, process, and retail own milk

What are the key considerations when making the decision on which alternative to use?

a.     Price

b.     Security risk

What is the top dairy cooperative in the U.S. based on member milk volume?

Dairy Farmers of America

What percent of the milk produced in the U.S. in 2024 was marketed through the top 50 dairy cooperatives?

 82%

What is the purpose of the Dairy Margin Coverage (DMC) program?

Offers financial assistance when margin between all-milk price and average feed price goes below a coverage level chosen by producer

Futures and/or options for what dairy commodities are traded at the Chicago Mercantile Exchange?

a.     Butter

b.     Cheese

c.      Dry Whey

d.     Milk

e.     Nonfat dry milk

What organization administers the NEXT program?

National Milk Producers Federation

What is the major thrust of the NEXT program today? 

  Expanded the program's product mix

 Since 1975, what has happened to U.S. per capita consumption of Dairy products overall

Increased by 21%

Since 1975, what has happened to U.S. per capita consumption of Fluid milk (all)?

Decreased by 49%

Since 1975, what has happened to U.S. per capita consumption of Whole milk?

Decreased by 55%

Since 1975, what has happened to U.S. per capita consumption of cheese?

Increased by 124%

Ruminant

 an animal that digests food through fermenting it in a four chambered stomach and ruminates.

Rumination

Fermentation of food in a four chambered stomach

Reticular groove

Opening in calves abomasum lining that delivers milk directly from esophagus.

Peristalsis

wave-like muscle contractions to move food through tubes of body

Forage

Whole plant material

Concentrate

Supplemental nutrients not provided in forage

Macrominerals

 Major nutrient requirements

Microminerals

Trace minerals that are needed in lower quantities

Intake energy

Total energy consumed

Digestible energy

Intake energy minus energy lost in waste

Metabolizable energy

 Intake energy minus energy lost in waste and gas

Net energy

metabolizable energy minus energy lost as heat

 Total digestible nutrients (TDN)

Sum of digestible portion of protein, fat, fiber & nitrogen free extract

What are the basic functions of the mouth in the digestion system?

1. Ingestion

2. Chewing to reduce particle size

3. adds saliva

The production of saliva is directly related to the amount of time a cow spends _____?

 eating and ruminating

What affects the amount of saliva produced?

1. Order in which feed ingredients are fed

2. Particle size of feeds

3. Number of times fed during the day

4. Type of feed consumed 

5. Rumination time

What are the basic functions of the esophagus?

1. Deliver food bolus to stomach

2. Eructation (release of gasses)

3. Rumination (antiperistalsis)

What is the function of the reticular groove?

Transports milk directly from esophagus to omasum 

What stimulates closure of the reticular groove?

1. Suckling

2. Consuming milk proteins, glucose, and salt

3. Neural stimulation in anticipation of drinking milk

What are the four compartments of the ruminant stomach?

1. Rumen

2. Abomasum

3. Reticulum

4. Omasum

What are the functions of the reticulum?

1. Begins microbial digestion

2. Free mixing between rumen and reticulum

3. Prevents hardware from moving further into digestive tract

he rumen makes what up percent of the mature stomach volume?

80%

What are the functions of the rumen?

1. Non-glandular fermentation

2. Bacterial and protozoal fermentation

What two compartments of the ruminant stomach are not fully developed at birth?

1. Rumen

2. Reticulum

Why are rumen papillae important?

Increase surface area and absorb for VFA’s

What has the greatest impact on rumen papillae growth?

Grain

What role do rumen microbes play in digestion?

1. Synthesize Vitamin K

2. Breakdown fiber to VFAs

3. Synthesize Microbrial protein

What are the major three volatile fatty acids that are produced in the rumen?

1. Acetic Acid

2. Propionic acid

3. Butyric acid

What are the four steps of rumination?

1. regurgitate

2. Remasticate

3. Resalivate

4. Reswallow

What are the two main purposes of rumination?

1. Reduce particle size

2. Acid Buffer

 What are the functions of the omasum?

1. Absorb Water

2. Reduce particle size of digesta

 In what stomach compartment are hydrochloric acid, pepsin, and renin secreted?

Abomasum

Microbial and bypass feed protein digestion is initiated in which stomach compartment?

Abomasum

What nutrients are digested in the small intestine?

1. Fat

2.  Protein

3. Carbohydrates

What nutrients are absorbed in the small intestine?

1. Amino acids

2. Fats

3. minerals

4. vitamins

 What are the roles of the large intestine?

1. Water absorption

2. Some microbial digestion in the cecum, but it is not well digested

Ruminants digest feed through…

Mechanical, Chemical, and Microbial actions.

What are three types of enzymes that play a role in digestion?

1. Amylase

2. Protasses

3. Cellulases

What roles do hormones play in digestion?

1. Regulate enzyme production

2.  Intestinal mobility

What is the main site of absorption of volatile fatty acids?

Rumen

What is the main site of absorption of amino acids, fatty acids and glycerol, and glucose?

Rumen

What nutrients are absorbed in the rumen?

1. Volatile fatty acids

2. Ammonia

3. Amino acids

4. Dipeptides

5. Water

What vitamins are synthesized in the rumen?

1.  B vitamin

2. K Vitamin

What are the six major nutrients required by dairy cattle?

A. Carbohydrates

B.  Fats

C. Proteins

D. Vitamins

E. Minerals

F. Water

Daily requirements for water depend upon what factors?

1. Animal Size

2. Milk production

3. Environmental temperature

4. Feed intake

5. Mineral intake

What practices should be implemented to encourage water consumption by dairy cattle?

1. Ad. lib

2. Clean

3. Free of biological and chemical contamination

4. Location

Energy requirements of the dairy cow are dependent on what factors?

1. Size= maintenance

2. Milk production 

3. Age + 1st two lactation

4. Reproduction  → Last 2 months of gestation

5. Exercise

What nutritional requirement accounts for roughly 70% of ration cost?

Energy

The dairy cow’s sources of dietary energy come in what forms?

1. Carbohydrats

2. Protein

3. Fat

 What are the two digestible structural carbohydrates in feedstuffs?

1. Cellulose

2. hemicellulose

What are three nonstructural carbohydrates found in feedstuffs?

1. Starch

2. Sugar

3. Pectin

 Fats contain how many times the energy value of starch?

2.25x

What are three forms of fat found in dairy cattle rations?

1. Amino Acids

2. Whole oil seeds

3. Protected fats

 What are three purposes for which protein is used in the body?

1. Milk synthesis

2. Body growth

3. Hormones

Protein requirements for the dairy cow are dependent on what factors?

1. Size (Maintanence)

2. Milk production (Quantity and protein %)

3. Age(1st 2 lactations)

4. Reporoduction (last 2 mo gestation)

Where is protein stored in the body?

Muscle

How does the cow meet her amino acid requirements?

1. Microbial protein

2. Dietary protein whcih escaped rumen degredation

What are the three objectives of protein nutrition in the dairy cow?

1. Meet N needs of rumen microbes

2. Adeuqate “bypass” protein to meet cows need for qauntitny and quality of amino acids

3. Minimize N that is excreted into environment

What are three examples of non-protein nitrogen that may be included in a dairy cow’s diet?

1. Ammonia

2. Urea

3. Amino acids

What percent of ration dry matter usually consists of minerals?

4-5%