WASHINGTON, April 14, 2015 – USDA’s Agricultural Marketing Service (AMS) has received three alternative proposals for a federal milk marketing order for California, all in response to a request for an FMMO from California Dairies Inc., Dairy Farmers of America and Land O’ Lakes.
The alternative proposals were submitted by Dairy Institute of California, representing processors; California Producer Handlers Association; and Ponderosa Dairy. The deadline for alternative proposals was April 10.
Federal milk marketing orders are used to stabilize conditions for fluid milk -- to make the buying and selling of fluid milk an orderly process upon which dairy farmers, milk dealers and consumers alike can depend, according to AMS. They require milk processors to pay a minimum price for milk, among other specified rules. There are currently 10 FMMOs that cover about 60 percent of national milk production. California has its own state milk marketing order that accounts for another 20 percent of the market.
USDA is holding meetings to review the proposals throughout California May 5 through 7. For information on the meetings, click here.
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