Fluid Milk:

Farm and Retail Prices and the Factors That Influence Them

GAO-01-730T: Published: May 14, 2001. Publicly Released: May 14, 2001.

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Lawrence J. Dyckman
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This testimony discusses fluid milk prices and the factors that impact them. GAO found that although the farm price of milk has some influence on the retail price, other factors may ultimately have a greater impact on the retail price. Given that farm prices account only for about 40 percent of the retail price, other factors, such as wholesale processing costs and retail pricing strategies, can significantly influence the retail price. This testimony summarized an October 1998 report (GAO/RCED-99-4).

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