Twenty-eight dairy manufacturers have sent 2,013 Farm Bill letters to the Senate. In the letters, the dairy manufacturers call on the Senate to accept the dairy title passed by the House that does not include a controversial program that would limit milk supplies periodically. Among the twenty-eight dairy manufacturers are the largest food companies in the U.S. The program is known as the Dairy Market Stabilization Program, and it was a key component of the Farm Bill that the Senate passed in June. However, the House rejected the controversial program in July by a margin of more than two–to-one, 291-135. It was an unusual bipartisan show, 196 Republicans were joined by 95 Democrats to support comprise dairy language to establish an effective program for revenue insurance targeting dairy farmers.
About the Letter
According to the letter, the bill requires dairy farmers to enroll in a margin insurance program that will limit the amount of milk that their farms can sell periodically. Additionally, the USDA will be empowered to regulate the farmers’ businesses. The manufacturers said that supporting the convoluted system was a wrong move. It is not fair for dairy farmers who take advantage of the margin insurance to be required to take part in a program that will empower the government to interfere directly with milk supply. Limiting milk supply will not only discourage further growth and investment in the dairy industry, but it will also impose unnecessary and extra regulations in dairy businesses.
According to IDFA Senior Vice President of Economic and Legislative Affairs, Jerry Slominski, the bill allows dairy companies, especially dairy exporters to create jobs and grow. He further added that the bill gives an effective safety net to help dairy farmers through hard times without lowering the effectiveness of the nutritional safety net of the government.