Offered a way to save their milking operations, more than half of the nation’s dairy farmers have signed up for a new federal aid program, surprising the USDA.
Agriculture Secretary Tom Vilsack today announced that more than 23,000 of the nation’s dairy operations enrolled in the new safety-net program created by the 2014 Farm Bill.
The program is insurance against low prices.
It is called the Margin Protection Program and provides financial assistance when the “margin” — the difference between the price of milk and feed costs — falls below the coverage level selected by the farmer.
“Enrollment far exceeded our expectations in the first year,” said Vilsack. “When you compare the initial enrollment rate for the Margin Protection Program to the longstanding federal crop insurance program, where participation ranges from 30 percent to 80 percent depending on the crop, it’s clear that these outreach efforts made a difference,” he added.
An explanation from USDA:
Paul Bedard, the Washington Examiner’s “Washington Secrets” columnist, can be contacted at [email protected].
