American Dairy Coalition Urges USDA Action on Farm Bureau's Emergency Class I Pricing Request
Source: The DairyNews
In a bid to address ongoing challenges faced by dairy farmers, the American Dairy Coalition (ADC) has called upon USDA Secretary Tom Vilsack and AMS Dairy Programs Administrator Dana Coale to heed the urgent plea put forth by the American Farm Bureau Federation (AFBF).
The request, submitted by Farm Bureau economist Danny Munch during the Federal Milk Marketing Order (FMMO) hearing, advocates for an emergency decision to revert the Class I skim price formula to the 'higher of' method.
The ADC highlights the critical need for action, citing significant financial losses incurred by dairy farmers over the past five years under the 'average of' method. With Class I revenue losses exceeding $1.1 billion and projected to surpass $1.6 billion by 2024's end, the ADC underscores the urgency of reinstating the 'higher of' formula to mitigate further harm to dairy farm families and rural communities.
Backed by over 30 state, regional, and national dairy organizations, along with numerous individual producers and allied industry stakeholders spanning 33 states, the ADC emphasizes widespread support for the Farm Bureau's initiative. The coalition stresses the imperative of prioritizing dairy farmers' well-being and economic stability, particularly amidst the industry's continued decline and the challenges posed by the COVID-19 pandemic.
Drawing attention to the enduring hardships faced by dairy farmers, the ADC underscores the detrimental impact of prolonged delays in addressing pricing disparities. Despite legislative changes introduced in the 2018 Farm Bill, which were intended to enhance revenue neutrality, dairy farmers have yet to witness tangible benefits. The ADC asserts that the 'higher of' method offers a more equitable solution, ensuring timely compensation for producers and safeguarding against future financial uncertainties.
Echoing sentiments expressed during the FMMO hearing, ADC board member Bryan Henrichs, himself a dairy farmer, underscores the urgent need for immediate action to alleviate mounting financial pressures. Henrichs emphasizes the detrimental consequences of prolonged delays in compensation, highlighting the adverse effects on farm viability and the broader rural economy.
In concluding its appeal to Secretary Vilsack and Administrator Coale, the ADC underscores the pivotal role of the USDA in restoring hope and economic vitality to the dairy industry. With dairy farm families' livelihoods hanging in the balance, the coalition urges swift action to address pricing disparities and pave the way for a brighter future for the dairy sector.
The ADC highlights the critical need for action, citing significant financial losses incurred by dairy farmers over the past five years under the 'average of' method. With Class I revenue losses exceeding $1.1 billion and projected to surpass $1.6 billion by 2024's end, the ADC underscores the urgency of reinstating the 'higher of' formula to mitigate further harm to dairy farm families and rural communities.
Backed by over 30 state, regional, and national dairy organizations, along with numerous individual producers and allied industry stakeholders spanning 33 states, the ADC emphasizes widespread support for the Farm Bureau's initiative. The coalition stresses the imperative of prioritizing dairy farmers' well-being and economic stability, particularly amidst the industry's continued decline and the challenges posed by the COVID-19 pandemic.
Drawing attention to the enduring hardships faced by dairy farmers, the ADC underscores the detrimental impact of prolonged delays in addressing pricing disparities. Despite legislative changes introduced in the 2018 Farm Bill, which were intended to enhance revenue neutrality, dairy farmers have yet to witness tangible benefits. The ADC asserts that the 'higher of' method offers a more equitable solution, ensuring timely compensation for producers and safeguarding against future financial uncertainties.
Echoing sentiments expressed during the FMMO hearing, ADC board member Bryan Henrichs, himself a dairy farmer, underscores the urgent need for immediate action to alleviate mounting financial pressures. Henrichs emphasizes the detrimental consequences of prolonged delays in compensation, highlighting the adverse effects on farm viability and the broader rural economy.
In concluding its appeal to Secretary Vilsack and Administrator Coale, the ADC underscores the pivotal role of the USDA in restoring hope and economic vitality to the dairy industry. With dairy farm families' livelihoods hanging in the balance, the coalition urges swift action to address pricing disparities and pave the way for a brighter future for the dairy sector.
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