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Debate continues on supply control

PD Staff Published on 24 June 2011

Foundation for the Future magazine published,website updates unveiled
NMPF recently published the Foundation for the Future magazine, a 20-page publication that provides an explanation of the proposed dairy policy reform programs from dairy producers’ perspectives, along with independent expert analyses. The magazine is available as a downloadable PDF on www.futurefordairy.com.

In addition, NMPF updated the Foundation for the Future website to accommodate details about the Summer Grassroots Tour. Other updates include improved accessibility of program details, the addition of producer testimonials, and the option to sign up as an official supporter.

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The website also offers dairy producers and industry stakeholders interactive tools and resources, including a margin protection calculator that helps producers determine an appropriate coverage level for supplemental margin insurance under the program’s Dairy Producer Margin Protection Program.

—From NMPF’s Foundation for the Future update

IDFA presents policy positions to House Dairy Caucus
IDFA went to Capitol Hill in May to brief staff members of the U.S. House of Representatives Dairy Farmers Caucus on dairy policy. The caucus is a bipartisan group comprised of 97 House members from across the country.

IDFA’s legislative team briefed the attendees on IDFA’s positions on dairy policy issues, specifically outlining IDFA’s opposition to the National Milk Producers Federation’s Foundation for the Future because it relies upon a new mandatory government program to limit milk supplies and fails to reduce the complexity of the Federal Milk Marketing Order system.

—From IDFA news release

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New York producers, co-ops oppose supply control
A May 20 discussion regarding the 2012 Farm Bill was hosted by New York State Agriculture Commissioner Darrel J. Aubertine and held at the State Fairgrounds in Syracuse. The discussion focused on the controversial topic of federal milk supply control, as proposed in the National Milk Producers Federation’s (NMPF) “Foundation for the Future” policy proposal.

Two dairy producer co-ops advocated for supply control as proposed in Foundation for the Future, while others, both producers and processors, expressed opposition to it.

Opponents said federal supply control would be counter to the state’s efforts to encourage dairy development, interrupting New York’s milk supply and the growth needed to attract plants to locate in New York. Dairy producers also raised the concern that milk supply control would impede a farmer’s decision to be able to grow to a size that could support the next generation.

While there was no consensus on Foundation for the Future, there was general support for risk management tools that would allow producers to independently choose their coverage package. Several people advocated for the federal Livestock Gross Margin (LGM) insurance program, currently out of funding for the remainder of 2011, along with better risk-management education for producers.

A few regional issues also came to light at the hearing, including the endorsement by the New York Farm Bureau of a proposal from California to set higher fluid nonfat-solid standards nationwide. Dairy producers were also divided on whether milk supply control could be tailored to accommodate regional differences, instead of the nationwide program proposed by NMPF.

Commissioner Aubertine said the information gathered will be compiled into a working document that he will use to communicate New York’s positions on federal agriculture policy to policy makers in Washington, D.C. PD

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—From IDFA news release

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