National Milk Producers Federation officials say they can live with the compromise worked out on the dairy title in the farm bill. Federation’s Chris Galen says while they would have liked to have seen a market stabilization component be part of the farm bill, they’ll still push for Farm Bill passage in the Senate now that the House has approved it.
Galen says the margin insurance provision was the most important part of the dairy title because it accounts for the higher cost of production seen in livestock. He says it’s tied to the gap between milk prices and feed costs.
Galen says the former direct payments which are not part of the farm bill tied the insurance to just milk prices.