Proposed Updates For Federal Milk Marketing Order

The National Milk Producers Federation submitted to USDA its comprehensive proposal for modernizing the Federal Milk Marketing Order system.

The proposal follows two years of examination and more than 150 meetings to build consensus behind updates to a program that last saw significant changes in 2000.

The NMPF proposal calls for updating the so-called “make allowance,” returning to the “higher of” Class I mover, and updating the Class I differential price system, among other updates.

Upon acceptance, USDA will have 30 days to review the plan and decide whether and how to move forward with a federal order hearing to review the plan.

NMPF will pursue two other components of its Federal Order proposal outside the federal order hearing process.

Those include extending the current 30-day reporting limit to 45 days on forward-priced sales on nonfat dry milk and dry whey, and developing legislative language for the farm bill to ensure the make allowance is regularly reviewed.