Program on Dairy Markets and Policy

On 26 April 2012, the U.S. Senate Committee on Agriculture, Nutrition and Forestry completed the Agriculture Reform, Food, and Jobs Act of 2012 (the Act), which now heads to the full Senate for discussion, possible revision, and possible passage. If the Senate passes a bill, it will then be forwarded to the House. The House can pass an identical bill and then forward it to the President for his approval. Or, it can pass its own bill and go to a Conference with the Senate, where they will iron out their differences. Or, it can vote against the bill, not offer an alternative and let it die right there.

We have posted three new papers related to the Senate version of the Farm Bill. Information Letter 12-03 describes the content of the dairy provisions of the Act. Briefing Paper 12-05 assesses the farm level impacts of the dairy provisions. And, the third, Information Letter 12-04, is a discussion about the relative cost of the dairy provisions.

This year will mark the nineteenth Annual Workshop sponsored by the Extension Education Committee. Previous programs have focused on federal orders, product innovation, price variation and global dairy markets.

At this workshop we will explore different aspects of dairy policy related to the Farm Bill debate and beyond. Many issues including milk price discovery, classified pricing, the politics of milk marketing orders, margin insurance plans and growth management will be discussed. We will also hear from folks involved in milk production and dairy product processing for their perspectives on policy impacts in their businesses. More information is available here .

Milk and feed price volatility has become a dominant issue for dairy producers. As we move toward 2012, the dairy industry and members of congress are considering the policy options that would help address these issues and live within new federal budget constraints. Similar bills are being discussed in both the House and the Senate.

We examine those bills in three short papers. One which explains the major provisions of the bills. A second which summarizes our analyses of market impacts of the provisions. And, a final document which summarizes our analyses of farm-level impacts of the provisions. All may be downloaded through the links above.