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Dairy cow prices have fallen $500-$650 over the past 12 months to reach their lowest levels since 2009. The fall in prices has mirrored the drop in dairy the payout with the average milking cow now costing around $1500-$1600 compared to $2100 in June 2014.
The average net price received per 100 pounds of milk was $11.85 which was less than total costs of $13.56. The average price received for milk in 1999 was $14.58. On a per cow basis, total returns from milk were $2,265 compared to the total cost to produce milk of $2,589 per cow.This is the first year since 1997 total costs exceeded total returns.he average net price received for milk was $11.85 per 100 pounds. This is $2.73 per 100 pounds or 19 percent lower than the average price received in 1999. Based on 19,100 pounds of milk produced per cow, this decrease in price decreased total returns per cow by $521.