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Margin Protection is News to Some Dairy Farmers


July 14, 2014 -- As USDA continues to set up the new Margin Protection Program (MPP) for dairy producers, Minnesota Congressman Colin Peterson told members of the House Ag Committee recently that he’s worried that many producers are in the dark about the program and participation might be low.

“Talking to dairy farmers in my area, especially the smaller one, they have no idea that this margin insurance exists,” he said.

USDA’s initial plan was to wait to notify producers until after all the details of the MPP were worked out and the educational tools distributed. Still, Peterson says producers should at least receive a letter saying there is a margin insurance program coming.

“We’ll be finalizing the base issues and so forth later on, but just so they understand that this is coming,” he said. Undersecretary Michael Scuse says he is looking into whether they can get notification to dairy producers sooner rather than later.

Meanwhile, the USDA Margin Protection Program Committee is meeting to iron out the final details of the program.