Dairy Report: Milk Hits $20 Mark, Farm Workforce Bill Applauded

The Dairy Report 110519
Money and markets matter in the dairy industry. ( Farm Journal Media )

Milk prices have witnessed a wild roller-coaster ride during the last five years but seem to be holding steady at $20 as of lately. Meanwhile, producers are starting to catch a glimmer of light at the end of what’s been a long legislative tunnel for labor reform. AgDay’s Clinton Griffiths explains more in the video above. 

Milk Futures Hit the $20 Mark

Milk futures have seen some increases lately as Class III prices jumped 29 cents for November last week and 39 cents for December. The result? Twenty-dollar milk on the board for the first time since 2014.

Class IV milk also traded slightly higher as well. Barrel cheese has now risen 91 and a quarter cents per lb. That’s just 16 and a half cents from its all-time high. 

Farm Workforce Bill Gets Dairy Nod of Approval

The dairy industry and other members of the agriculture industry might see a glimmer of light at the end of what’s been a long legislative tunnel for labor reform, thanks to the Farm Workforce Modernization Act.

The bipartisan immigration bill would provide legal status to current agricultural workers and their families and reform the H2A guest-worker visa program.

Specifically, the bill offers a path to legal status, either five-year visas or citizenship, for longtime U.S. agricultural workers with clean records, journalist Tal Kopan wrote in a San Francisco Chronicle article. “It would also overhaul the farm visa system to make it easier for employers to file applications, would limit mandatory wage increases, and would provide year-round visas for industries like dairy farms that are not seasonal,” Kopan reported.

 On Wednesday, The National Milk Producers Federation (NMPF) announced its support for the bill.

“America’s dairy farmers are eager to advance and improve this legislation as it moves through the Congress,” said Mike McCloskey, a dairy farmer and chairman of NMPF’s immigration taskforce, in a news release.

“As producers of a year-round product, dairy farmers face a unique labor crisis because our jobs are not seasonal or temporary. From our years of work on these issues, we know first-hand just how hard immigration reform is,” he added. “But we simply cannot and will not stop working to find a solution. Dairy needs workers for our industry to sustain itself. It’s that simple, and it’s that dire.”

Negotiations on the bill have been in the works for several months. To date, roughly 100 farm labor groups have said they support the effort. The bill was sponsored by judiciary immigration subcommittee chair Zoe Lofgren (D-CA) and Congressman Dan Newhouse (R-WA).

Jim Mulhern, President and CEO of NMPF, said the bill is a critical first step in the legislative process.

“We urge the Senate to work with us on this important issue so we can get an ag worker bill across the finish line in this Congress,” Mulhern said, in a prepared statement. “The bipartisan Farm Workforce Modernization Act provides an important starting point for badly needed improvements to agriculture immigration policy.”

If the bill passes the House, it still faces an uncertain future in the Senate. In addition, President Trump has not indicated yet that he will back it.

For more Dairy Report coverage, watch:

Submitted by Iowa dairy momma on Tue, 11/05/2019 - 12:42

Isn’t it a coincidence that farmers have paid for risk management protection and now the milk price is magically staying just above the price when MPP payments might have to be made? Things that make you go hmmm...