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Dairy farmers want MPP fixed

Dairy groups are asking Congress to improve the dairy Margin Protection Program (MPP) in the 2018 Farm Bill to more accurately reflect the cost of feed and provide more risk management options to farmers.

Fourth-generation dairy farmer Darrin Siemen says alterations made by Congress in 2014 fundamentally changed the program to the disadvantage of dairy farmers.  “I’m not asking for a program that guarantees a profit, nor do I want a program that will incentivize excess production, however MMP has actually made the government a profit of $130 million in fiscal years 2015 and 2016 according to the Congressional Budget Office.”

Siemen says congressionally mandated restrictions require farmers to decide to enroll in the Livestock Gross Margin Protection Program or MPP, not both.  “With this restriction in place, dairy farmers are left without the benefit of all possible tools that other farmers have at their disposal regarding risk management for their operations.”

Siemen testified on behalf of his cooperative Michigan Milk Producers Association and National Milk Producers Federation during the Senate Ag Committee farm bill hearing in Frankenmuth, Michigan.

AUDIO: Testimony from Darrin Siemen