The Department of Agriculture is giving dairy producers an extra week to sign up for the Dairy Margin Coverage program. USDA’s Bill Northey told lawmakers the deadline will extend to September 27. Northey made the comment during a House Agriculture Subcommittee on General Farm Commodities and Risk Management hearing. The Farm Service Agency later announced the deadline extension.
More than 21,000 dairy farmers have signed up for the program. Authorized by the 2018 farm bill, the program offers protection to dairy producers when the difference between the all-milk price and the average feed cost, known as the margin, falls below a certain dollar amount selected by the producer. Margin payments have triggered for each month from January through July.
Dairy producers who elect higher coverage levels could be eligible for payments for all seven months. Under certain levels, the amount paid to dairy farmers will exceed the cost of the premium. USDA encourages dairy producers to visit their Farm Service Agency office to learn more and enroll.