NMPF has made a series of recommendations to the Agriculture Department on how to implement the new dairy safety net included in the 2014 farm bill. The recommendations cover issues that are either unclear in the legislation or were left up to USDA to decide. The issues include such things as the timing of enrollment, the timing and structure of premium payments, and the treatment of farms with changing ownership structures.
The new safety net, called the Margin Protection Program (MPP), is required to be established by September 1. It replaces price supports, MILC payments and other, less effective federal programs. It will help protect against the type of catastrophic equity loss that many dairy farmers experienced in 2009 and again in 2012. NMPF is pleased with its discussions with the Agriculture Department on MPP to date.
In order to help dairy farmers understand the new Margin Protection Program, NMPF is providing a set of data examining how the MPP margin has varied over time, dating back to 2007, up until the current month for which data is available.
This set of tables listing feed and milk prices is available to download in Excel as well as PDF. It will be updated by NMPF every two months going forward, using the same calculations that the USDA is expected to use as the program is implemented later in 2014.