Bob Krucker, who serves on the board, wrote that the “National Dairy Producers Organization Inc. calls upon all dairy producers whose milk goes into making Class III inventoried products to voluntarily reduce their milk production by 5 percent.”

In his statement, Krucker quoted over a billion pounds of cheese in inventory. “With cheese inventories rising and the price of cheese plummeting, clearly the supply of milk exceeds profitable demand,” he noted.

In their foremost commitment to producer profitability, the National Dairy Producers Organization, Inc. released the statement in hopes that producers will work together to regain market control. As Krucker notes, “When dairy producers choose to be milk supply regulators they will become milk price regulators and will become profitable.”

The National Dairy Producers Organization Inc. stands firmly in a unified effort to secure a nationwide production and supply management program. Earlier this year, they proposed the Dairy Industry Stabilization and Sustainability Act of 2011 (DISSA), in alliance with their mission.

Their stated efforts will not abate until U.S. dairy producers regain profitability and achieve long-term sustainability for producers nationwide and all of the industry.  

“Milk will not be worth what it costs to make so long as supply exceeds profitable demand,” Krucker said. But in the attempts to suppress the supply, the arranged plan will be used to stabilize the industry and once again increase the value of milk.  PD

—Agribuisness Publications news release