As the courts decide the fate of President Trump’s tariffs, another measure could offer dairy farmers some relief. Changes to the Federal Milk Marketing Order took effect over the weekend.
The Farm Bureau says the updates were long overdue and could provide some much-needed certainty.
“This was a need of the industry to say that the Federal Milk Market Order system has been outdated. These formulas needed to be updated in order to reflect more accurate market conditions. With all these trade disruptions, supply disruptions going on as well, the total impact might be stunted or sort of covered by some of these bigger market movers,” said Danny Munch.
Changes that are now in effect include the switch to the Higher-of Class 3 and 4 price formula. Class 1 differentials have also been raised, which Munch says will help offset transportation and service costs.
Sen. Roger Marshall discusses the Senate’s unanimous passage of the Whole Milk for Healthy Kids Act and what expanded milk options could mean for students and dairy farmers. Industry groups say it is a win for student nutrition and dairy producers.
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