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Wednesday, July 27, 2011

Ag subsidies only for BigAG? Farmers Union fights back

MFU Working to Support Small Family Dairies
By: Doug Peterson, Minnesota Farmers Union - 07/27/2011

Recently, Representative Collin Peterson presented a dairy reform proposal to National Farmers Union. The proposal attempts to resolve a number of critical issues that prevent the current dairy safety net from functioning adequately.

While Ranking Member Peterson's proposal acted to initiate meaningful and necessary dairy reform, the proposal in its current form rewards large dairies, while not providing the support necessary support for small dairies to succeed. The primary problem with this proposal is that it appears that the largest farmers will reap the greatest benefits at the expense of smaller family farms. Currently in Minnesota there are 4,302 dairy farms with the average herd size being 104 cows.

National Farmers Union has created a resolution that outlines solutions that would benefit all United States dairy farmers. The resolution includes proposals such as a refundable assessment collection on all milk at all times, an implementation of a variable make allowance, and an effective supply management program that utilizes a fixed base.

It is encouraging that the issue of reform in the dairy industry is being taken up in Congress, but it is clear that this legislation can be improved to create a safety net to support all family farm dairies. We will continue working with policymakers to ensure that any proposed dairy policy reforms do not exacerbate an already dire situation. 

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