Edge Dairy Farmer Cooperative today announced efforts, in partnership with several other dairy supporters, to codify the protection of timely payments and accurate testing as legislative text in the next farm bill.
The request to move these specific FMMO provisions into legislation was prompted by the uncertainty created when volumes of milk are de-pooled, leaving farmers outside of the FMMO and oversight of the U.S. Department of Agriculture’s Agricultural Marketing Service.
This action aims to extend these protections, currently granted when a processor is pooled, to all farmers and processors regardless of their participation in the FMMO.
“Only 70 percent of U.S. milk is covered by the FMMO today, which leaves the farmers that produce those 68 billion pounds of milk outside the order and its protections,” Tim Trotter, Edge CEO, said. “It is time to ensure that all dairy farmers are granted the same confidence and assurance as those within the FMMO system.”
Edge Dairy Farmer Cooperative expressed that moving these basic practices into the farm bill will prevent the expansion of milk payment terms and maintain third-party verification of milk weights and components for farmers and processors.
Without these protections, farmers outside the FMMO could see payments extended past the current twice-monthly practice to 30, 60, or 90 days, leaving farmers without consistent cash flow. They would also be without USDA recourse should they have a discrepancy with their milk testing verification.
“We believe these provisions should be fundamental for all dairy farmers,” Trotter said.
Timely payments and required third-party verification of weights, tests and samples provide a structure of mutual confidence and transparency between processors and farmers and should be preserved for all stakeholders.
“While we understand farm bill discussions are ongoing with an uncertain completion date, we believe we must bring this matter forward to the key decision-makers to be sure dairy farmers are protected,” Trotter said.
For more information about the timely and accurate payments provision to the farm bill, visit Edge’s website at voiceofmilk.com.
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