SACRAMENTO, Calif. (AP) -- California agriculture officials have dropped the wholesale price of milk, a measure of relief for residents who pay more for milk than anyone else in the country.
Citing a nationwide increase in the milk supply, the state Department of Food and Agriculture is trimming 50 cents per gallon off the minimum wholesale price of milk -- from $1.71 per gallon to $1.21 per gallon as of April 1."It's the largest drop we've ever had in the farm price of milk," spokeswoman Myrlys Williams said Wednesday.
California, the nation's biggest milk producer, also has the most expensive milk in the country. The average retail price for a gallon of whole milk in the Sacramento area was $3.06 a gallon in January.
Consumer advocates blame a combination of state price regulations, quality standards and markups by the big grocery chains.
It will be up to retailers to pass the latest price cut along to consumers. Dave Heylen, a spokesman for the California Grocers Association, said retail prices will also depend on costs such as advertising.