The proposal is based on Foundation for the Future (FFTF), a comprehensive dairy reform proposal authored by dairy leaders across the country.
Jim Werkhoven, chairman of the Northwest Dairy Association and Darigold boards of directors and a dairy farmer in Monroe, US, said: “Our decision to support the Peterson/Simpson proposal is not one taken lightly. We began our evaluation of the proposal more than a year ago, by presenting it to the membership at our annual meeting.
“Since then, we have discussed the plan in many forums, including area producer meetings. There is an industry consensus building around Foundation for the Future that promises improved economic stability for dairy farmers and ensures food security for the nation.”
Jim Wegner, president and CEO of the NDA/Darigold organisations, said: “We have been part of the national conversation that helped formulate FFTF, and we support its multiple provisions as a package deal. Should changes to the programme be contemplated, we will be fully engaged in the conversation to assure that our member-owners’ interests are well served and that the dairy industry is positioned for future success.”
Initiated by the National Milk Producers Federation (NMPF), of which Northwest Dairy Association/Darigold is a member, FFTF proposes elimination of the federal dairy support programme that removes excess dairy products from the market in favour of a risk-management programme that insures producers against extremely low margins between milk and feed prices.
The result is less milk price volatility and a reasonable opportunity for producers to cover their costs of production. The programme includes elements that send immediate, but temporary, market signals to producers to curtail production when supply and demand fall out of balance. It also sets in motion comprehensive reform of the Federal Milk Marketing Order system, a USDA programme that ensures orderly marketing of producers’ milk within given geographic areas.
Source: NDA
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