National Farmers favors new dairy aid based on MILC records

     Ames, Iowa (Oct. 2, 2009)- National Farmers Organization applauded Wednesday's $350 million aid package for the country's dairy producers-who have been struggling for months with pay prices nearly $5 below the average cash cost to produce 100 pounds of milk.
     "It's critical that Ag Secretary Vilsack speed the cash payments to dairy producers, and the fastest way would be to use the MILC records they already have on file in FSA offices as a basis of their calculations," said National Farmers Ag Policy Analyst Gene Paul.
     The package was part of the 2010 Ag Appropriations Bill that took effect Oct. 1. $60 million would go to purchase dairy products, and the remaining $290 million would be distributed directly to farmers. Benefits are capped after the first 3 million pounds of milk produced, equaling the annual output of operations with 200 cows.
    While prices paid to milk producers on farms across rural America have fallen near historic lows, the cost of their inputs, including feed, fertilizer and fuel remain at 2009 levels.
     Paul said the organization's members are very appreciative of the work Senator Bernie Sanders, I-Vt., Herb Kohl, D-Wis. and Representatives Dave Obey, D-Wis. and Colin Peterson, D-Minn. contributed to the process as advocates for milk producers.
     National Farmers is a group marketing and bargaining organization for the nation's farmers, ranchers and dairymen.