To the Editor:

(March 2013) Officials of the Progressive Agriculture Organization were in Washington, D.C., Tuesday, March 21, discussing cost of production figures for dairy farmers with dairy economists William McBride and Don Blayney of the Economic Research Service, a division of the USDA. Both economists feel that the sequestration cuts the USDA may make will not affect the ability of the ERS personnel from continuing to develop the dairy farmers’ cost of production figures.

This was good news, as the ERS’ figures concerning dairy farmers’ cost of production figures are a key element in the Federal Milk Marketing Improvement Act.

I’ve had conversations with a representative of the Congressional Budget Office, and they are willing to score S-1640, the latest version of the Federal Milk Marketing Improvement Act, which was introduced by Senator Robert P. Casey, Jr. (D-PA) Oct. 3, 2011. We have been working with Senator Casey and his staff to have S-1640 sent to the CBO. Senator Casey’s staff informed me Thursday that the Bill had been sent to the CBO. An official of the CBO said they expect a “quick turn-around” in scoring the Bill.

All of this information that Pro-Ag has received appears to be critical as the Secretary of Agriculture has announced various cuts in several Agricultural programs, including but not limited to the Milk Income Loss Contract Payments. The margin insurance program (which we oppose) that was passed in the previous session of Congress by the U.S. Senate was counting on eliminating the MILC payments to dairy farmers (as well as other programs) and converting these funds to subsidize the margin insurance program.

Would these funds still be available in case the margin insurance program is still considered?

Pro-Ag, along with many organizations like the National Family Farm Coalition, will now accelerate all of our efforts to have a new version of S-1640 introduced in Congress. These organizations still feel that S-1640 is budget neutral and will not cost taxpayers any funds; however, all of these organizations are anxiously awaiting the report from CBO.

Recent reports indicate that many feed dealers across the U.S. have reached their credit limits, and may no longer be able to serve dairy farmers adequately.

We’ve been trying to tell everyone that we should no longer depend on any form of subsidizing dairy farmers or dairy processors. It’s past time now to put our shoulders behind S-1640 and give the dairy farmers a fair price from the marketplace without gouging consumers.

Arden Tewksbury, Manager, Progressive Agriculture Organization

By martha

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