Minnesota Milk’s board of directors today announces its endorsement of a Dairy CORE (COronavirus REcovery) program to quickly provide aid to the industry in an effort to right-size the new supply reality. Working from an excellent proposal created by NMPF and IDFA, Minnesota Milk sought to expedite aid, eliminate regional and seasonal disparities and limit market distortion while simultaneously adjusting supply appropriately. The program is supported by Rep. Collin C. Peterson and was presented to USDA.
“We need to be very careful we do not create more problems than we solve,” explained Garrett Luthens, Minnesota Milk Policy Chair, Hutchinson, Minn. “By administering payments based on a historical number, keeping logistics simple and ensuring we are not altering any pre-planned marketing strategies, we believe the Dairy CORE Program is a good addition to what National Milk Producers Federation and International Dairy Foods Association laid out.”
“Dairy farmers are hurting,” stated Dave Buck, Minnesota Milk President, Goodhue, Minn. “At the same time, our creameries cannot afford to pay more. With exports, foodservice and schools all operating under significantly different methods worldwide, the demand is simply not there for some dairy products. Many cooperatives and processors need to significantly alter their supply planning, and this direct payment will allow them the time and flexibility to do so.”
Minnesota Milk encourages dairy producers to contact their Senators, as well as Senate Ag Leadership: Sen. Roberts at 202-224-4774 and Sen. Stabenow at 202-224-4822. Minnesotans should contact Senator Klobuchar at 202-224-3244 and Senator Smith at 202-224-5641.
“We first encourage USDA Secretary Sonny Perdue to explore a Dairy CORE type program through the $9.5 billion in discretionary funding he received through the CARES Act,” said Minnesota Milk executive director Lucas Sjostrom. “While no one can be sure of the future of the milk and cattle markets that affected dairy farmers over the previous few weeks, it is clear our creameries need time to adjust supply. A $3 x three-month payment seems both appropriate and necessary, and we encourage the Secretary to act immediately. Please call your U.S. Senators and tell them to support the Dairy Core Program.”