FOOD TECHNOLOGY

FOOD QUALITY AND SAFETY

QUALITY CONTROL IN FOOD PROCESSING

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
Under Federal Orders milk is priced based on the finished dairy product in which it is used. This is called ____
A
minimum pricing
B
maximum pricing
C
creative pricing
D
classified pricing
Explanation: 

Detailed explanation-1: -Federal Milk Marketing Orders (FMMOs) establish certain provisions under which dairy processors purchase fresh milk from dairy farmers supplying a marketing area. In Federal order provisions, dairy processors are referred to as handlers and dairy farmers are known as producers.

Detailed explanation-2: -Class I covers milk used for fluid, or beverage, milk products. Class II refers to milk going into ‘soft’ manufactured products such as sour cream, cottage cheese, ice cream, and yogurt. Class III takes in milk used for making hard cheeses.

Detailed explanation-3: -Federal orders specify four different components: butterfat, which derives its value from the price of butter; nonfat solids, which derive their value from the nonfat dry milk price; protein, which derives its value from cheese and butter prices; and other solids, which derive their value from the dry whey price.

Detailed explanation-4: -According to the two-axis pricing policy, the price of milk is calculated by fixing a pre-determined rate for fat and solids-not-fat. In this system fat and SNF are, generally, given equal value and per kg. price for fat and SNF are fixed in that ratio at which these occur naturally i.e. round 2/3 of fat price per kg.

There is 1 question to complete.