WASHINGTON – Neither the National Milk Producers Federation nor the International Dairy Foods Association supports a provision in the Senate farm bill to create a complex new dairy pricing system.
The system, proposed by Sen. Patrick Leahy, D-Vt., would create a pricing structure built on the federal order system with elements similar to those in the defunct Northeast Dairy Compact.
“While appreciative of the intention of the Leahy proposal to enhance dairy farmer income,” said a National Milk Producers Federation statement, the federation “cannot support the proposal as written.”
Leahy’s concept establishes a national Class I price floor with national pooling of those revenues, institutes a regional supply management system and provides some supplemental funding for Class III prices.
In a statement on its Web site, International Dairy Foods Association said, “IDFA encourages its members to contact senators now to oppose the costly Leahy dairy provisions.”
