IDFA champions reform in dairy pricing policies

Jan 31, 2024

By: Farms.com

The International Dairy Foods Association (IDFA) has proposed significant updates to the Federal Milk Marketing Order (FMMO) pricing formulas, seeking alignment with the evolved dairy industry landscape. Mike Brown, IDFA's chief economist, highlighted the industry's growth and the emergence of new challenges since the last FMMO revisions in 2008.

IDFA's proposals, part of the recent National FMMO public hearing, include modifying make allowances and Class I milk pricing. These proposals are aimed at better mirroring the costs of milk processing and supporting fair compensation for both dairy farmers and processors.

The make allowance proposal suggests gradual increases based on recent industry studies, reflecting the rising costs of manufacturing dairy products.

The Class I Mover proposal by IDFA is designed to ensure dairy farmers receive fair payments, while allowing processors to effectively manage price risk. This proposal is expected to enhance the sales of Class I products, which have been declining.

IDFA's efforts represent a comprehensive approach to dairy industry reform, involving extensive internal discussions and stakeholder engagement. The organization's focus remains on achieving a balanced outcome that benefits the entire dairy supply chain.

As the dairy industry awaits the USDA's decision following the hearing, IDFA continues to advocate for regulatory changes that accurately represent today's dairy markets. The outcome of this process is pivotal, not just for current dairy businesses but also for shaping future policies in the sector.

IDFA's role in this transformative period highlights its commitment to a dynamic and sustainable dairy industry.

Video: Learning to Wrench From Dad the Hard Way

Harvest is a week out and the farm picked this week to fall apart. The truck needs a battery, the barn curtain's got a problem, and the corn and beans are telling us we're out of time to get it all fixed.

So it's a full day of wrenching. Tork supervises while I get the truck back running, then we're out at the hog barn where one rusted up part has the whole curtain system hung up. Ladder work, cable work, and a little dad-and-son disagreement about the right way to do it. We close it out walking the fields, shelling beans and checking corn, because whether everything's fixed or not, harvest starts when harvest starts.

Chapters: 00:00 Everything breaks the week before harvest 01:00 Tork supervises while I fix the truck 12:30 Out to the barn to find the curtain problem 14:30 One rusty part hung up the whole curtain 20:00 Running the curtain cable from the ladder 24:00 Walking the beans and corn before harvest 26:30 Wrapping up

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