USDA recently issued a Recommended Decision, proposing to amend the pricing formulas in all 11 Federal milk marketing orders, also known as FMMOs. They follow a group of hearings, held earlier this year in Carmel, Indiana.
The Recommended Decision outlines amendments to update formulas and factors based on the evidentiary record of the proceeding.
However, American Farm Bureau economist Danny Munch is expressing disappointment, telling Brownfield Ag News that farmers will be paying for it.
“The biggest takeaway is that they do recommend a switch back to the “higher of” Class I mover, which was one of our biggest priorities. We are disappointed, though, that they did not decide to switch back to the “higher of” on an emergency basis.”
He is also upset about the proposed five to seven cent-per-pound increase in processor make allowances and says the data is inaccurate.
Farmers can let their voices be heard and comment on the USDA proposals once they are in the Federal Register in July.
