Tag: Federal milk marketing order

The United States dairy industry operates under a highly structured system where milk is categorized into different classes based on its end use. This classification significantly influences how milk is priced, with the Federal Milk Marketing Order (FMMO) system defining Class 3 milk as that used for hard cheeses and dry whey, among other items. This system creates a uniform pricing mechanism for farmers within specific regions.

According to USDA data from 2016, Class 3 milk represented over 40% of all milk utilization within Federal Milk Marketing Orders, showcasing its significant market share. So, what is Class 3 milk used for and why is this classification so central to the modern dairy industry? This article explores the specific products, purposes, and economic implications tied to this specialized milk category.