USDA says slightly more than half of the nation’s dairy farms have signed up for a second year in the Margin Protection Program, the USDA safety net for milk producers.
Farm Service Agency data shows nearly 23,000 out of approximately 45,000 dairy farms nationwide have qualified for coverage.
The program allows farmers to recoup money when the margin, or the difference between the price of milk and feed costs, falls below a coverage level selected by the farmer.
Agri-Pulse reports that as with last year’s signup, California farmers joined at a relatively high rate. Seventy-six percent of the state’s more than1,400 licensed dairy operations signed up.
The majority of farmers signed up at the $4 coverage level, which requires a flat $100 fee.
Only about 23 percent of dairy farmers who signed up opted for coverage above the basic level.
