Farm Bureau Policy Development Fact Sheet No. 8 — 2012 DAIRY PROBLEMS AND ISSUES FEDERAL MILK ORDER REFORM There is little doubt that the current Federal Milk Marketing system is inadequate and needs to be reformed. Producers continue to struggle even with better than average milk prices. Dairy is seen by most governments as an essential part of a country's economy. There are a number of good reasons for the special status that dairy farming has gained in the minds of governments. Within our culture milk is considered to be an essential part of a healthy diet, and obviously with good reason given the size and health of our young generation. Over the past twenty years, the export market has remained a dumping ground for excess production. Less than three percent of all world production is actually traded, but the United States’ percentage is currently much greater than that. Many ideas and plans have been developed to help producers such as the SpecterCasey Bill, the Holstein USA Plan and the National Milk proposal and all state their plan is the best plan for producers. In truth, they all have good plans, but do not address all producers’ needs. To this point, the plan writers should collaborate together in order to create a plan that will work for every producer in the United States rather than to certain regions of the country or a certain size an operation. Related Policy: Dairy 119, National Dairy Program N-238 1. 2. 3.
With the current dairy situation, what is needed to maintain milk production in the state and region? What do you need from a Federal Milk Market system to maintain your operation or even allow you the ability to grow and expand production? Which plan suits your operation the best or has that plan not net been developed?
ARKANSAS MILK STABILIZATION BOARD The State of Arkansas passed the legislation that was presented to them in the 2009 session. However, the governor did not sign the collection mechanism bill and sent it back to the sponsor. The Dairy Stabilization program was funded for two years. The work put into passing this legislation has been enormous — but we have not reached our goal. Fortunately the program had some money left over and the Dairy Stabilization Board has worked extremely hard to keep that money for a third year in the program. The governor has made it very clear that no new taxes or surcharges will be added to any food item at this time. We must devise a plan to help pass the collection portion of the legislation. One of the goals set forth by the Dairy Stabilization Board was to