Milk pool

A milk pool is a financial pooling system used by dairy farmers to ensure that all dairy producers receive similar per-gallon payments for their product at or above a legally regulated minimum. Farmers producing milk "of equal quality and composition" will receive the same amount of per-gallon payment regardless of how their product is utilized. Milk pooling allows farmers to reduce the financial risk associated with the milk market.[1]

Milk pooling is usually regulated at the state or province level; however in some countries, for example Canada, there exist milk pooling programs that encompass several provinces.[2]

References
  1. Jesse, Ed; Cropp, Bob (January 1). "Basic Milk Pricing Concepts for Dairy Farmers" (pdf). UW Extension. University of Wisonson. p. 8. Retrieved August 31, 2013. Check date values in: |date= (help)
  2. "Milk Pools". Canadian Dairy Commission. Retrieved August 31, 2013.


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