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2015 MPP enrollment includes production bump
Friday, December 19 is now the deadline for dairy farmers to enroll in the Margin Protection Program (MPP).
Cameron Thraen, dairy policy specialist at Ohio State University says those signing up for 2015 coverage will receive a small increase in their production history.
“If you do wait until next summer, or next September to sign-up for 2016, then you will forgo this small increase,” Thraen said. “It might be in their interest, given this is the only way you can increase your production history and it would be compounded over the four years of the Farm Bill, that perhaps its best to pay the $100 for 2015, take the $4.00 minimal coverage for which you pay no premium, but then you do get the bump.”
Thraen says too that with lower milk prices, it’s important for dairy farmers to sit down with their ag lender before the enrollment deadline and go over their balance sheet, to determine if a dairy farmer will be able to weather a moderate reduction in their margin, income over feed.
Audio: Cameron Thraen, dairy policy specialist, The Ohio State University
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