Emergency aid arrives for local dairy farmers
Posted on December 21, 2009 | By
ADDISON COUNTY — The U.S. Department of Agriculture late last week announced that emergency aid payments, approved by federal lawmakers earlier this fall, will soon be on their way to struggling dairy farmers.
The new Dairy Economic Loss Assistance Payment (DELAP) program will distribute $290 million to dairy farmers across the country. The funding is part of a $350 million dairy assistance measure Congress approved in October at the request of Sen. Bernie Sanders, I-Vt.
The $290 million will be doled out in direct payments to farmers. An average Vermont dairy farmer milking 125 cows will receive roughly $8,000 in aid through this program. In addition to these direct payments, $60 million was set aside to underwrite the nationwide purchase of cheese for food banks and nutrition programs.
Rep. Peter Welch, D-Vt., said the news that the DELAP payments will soon be on their way to farmers is “absolutely wonderful, especially coming at Christmas.”
“It is going to mean a lot to dairy farmers throughout the state who have suffered through the worst year that dairy farmers have had in 40 years,” Sanders said.
But Welch and Sanders both agreed with farmers who have voiced concerns that these aid payments — which in some cases represent a tiny fraction of the amount of debt a farmer has taken out to stay in business — are a small step toward solving a larger problem.
“This is a Band-Aid,” Welch said. “It’s a necessary Band-Aid, it’s a helpful Band-Aid, but it’s not the change we need. (Farmers) need a stable, sustainable price that meets the cost of production.”
Sanders was similarly realistic about the aid.
“Nobody has any illusions that this is going to solve the crisis that diary farmers are facing,” Sanders said.
The next step, both lawmakers agreed, is to work toward a long-term solution that would remove volatility from the dairy pricing system. Sanders feels the industry needs to move toward a supply management system, eliminating the huge surpluses of milk on the market that drive down prices.
But taking that next step, Sanders said, hinges on farmers coming to Washington under a united front. Federal lawmakers likely won’t be making any big changes until farmers reach a consensus about how to move forward, he said.
“It is absolutely clear that we need a long-term solution to prevent the kind of price volatility that we have seen for so many years. That is why, as we speak, we’re working with dairy farmers in Vermont and around the country, we’re working with co-ops, we’re working with farm organizations to try to bring some consensus to the family-based dairy farm industry as to how we go forward long term,” Sanders said.
Welch, for one, dismissed concerns that ensuring a fair price for farmers would mean driving up costs to consumers.
“Frankly, it’s deeper than that,” Welch said, pointing out that current farm policy puts in place supports for crops like sugar that keep prices artificially low. “We should have a farm policy that’s focused on nutritional food for the consumer, local production for the environment, and sustainable prices for the farmer.”
Meanwhile, in Vermont, Agriculture Secretary Roger Albee welcomed the news of the emergency aid payments.
“We are very grateful for this needed assistance,” Albee said in a statement. “We understand it is not the end solution and that much work needs to be done on many levels to ensure a less volatile milk pricing system so that our Vermont dairy farmers can rely on a more stable market and remain financially viable.”
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Comments
Man, I like Bernie, but
December 21, 2009 by Rubus (not verified), 31 weeks 3 days ago
Comment id: 1971
Man, I like Bernie, but what's this about? Who are you supporting here Bernie? I guess it is in the details, but how many of these dairys have more than 230 cows? 500? 1,000?
How many only feed cows grass? How many feed GMO corn?
How about some legislation allowing people to sell milk to their neighbors if you want to give people justice.
Another token thrown at the
December 23, 2009 by Guest (not verified), 31 weeks 2 days ago
Comment id: 1975
Another token thrown at the humble subjects (Dairy Farmers) from the spendthrifts in Washington, DC. A quick fix welfare check that will never cover the debts incurred by our hard pressed and hard working dairymen. They could not stand the whine so they will pacify you with other peoples money, while the real issues are debated and sat on because of pressure from BIG AG. They fear for their jobs you know. The problem will never be solved until more cows and their product MILK is continued to be removed from the market nationwide. 60 million for welfare cheese? The cheese cold storage stocks are bulging now adding more should help the prices. NOT. Oh, and don't forget to claim any welfare payment as income, Uncle Sam will want it back I am sure with interest! Anyone watching the commodities (seed, fuel, fertilizer, feedstuffs, etc) futures markets? Watch Out!! keep the quill handy, we will need another welfare check in the Fall!
Dariy industry in Vermont
February 9, 2010 by Guest (not verified), 24 weeks 2 days ago
Comment id: 2081
I think that it’s time to cut out the middle man. Dean Foods for one. I reckon that dairy farmers have owned and operated their businesses as individuals for as far as anyone can recall.
Imagine if every dairy farmer here in Vermont pulled and pooled together their resources- whatever is left of them- and organized so that a few processing plants, testing facilities and distribution or sales points could be built, owned and operated by the farmers (or by their hired employees experienced in processing ,testing, distribution, sales) then most of the monies for their products could be kept by the people who do most of the work. Isn't this how Capitalism is supposed to work? You work hard and you get to enjoy the benefits. A few million dollars from Washington to prop up the ailing dairy industry is Bernie Sanders claim to fame these days (along with his support of the funding for the H1N1 vaccine). His approach will not change the fundamentals of this equation and they need to be changed NOW!
Here is another suggestion on how to spend money. 1. Fund the design and building of more processing plants right here in Vermont that are owned and operated by a collective or collaborative of individual farms. The individual Vermont farmer can either join or not join. It’s his or her choice. As a block of economic power, the collective farmers could control more of what happens to their raw milk, create better purchasing power for feed,equipment etc. Imagine that there would be another choice other than to have to sell to a giant corporation like Dean Foods. Imagine if the Vermont dairy farmer could say to Dean Foods," No thanks, I am going to get a ot more money selling to my friends right here in Vermont". Bernie Sanders is more interested in
the Justice Department looking into the monopolization of the Dairy industry- like that is going to
help the farmer or change the equation.Too little too late in my book. Do you get the picture yet?
2. Transportation cost would be less if the raw milk was sent to local processing plants saving fuel and cutting down on environmental pollution. This equates to more profit for the farmer and less degradation to the environment.........a win win situation for all.
3. Jobs for realtors, surveyors, engineers, architects, building suppliers, contractors, truckers etc would be created here in Vermont if these collectively owned processing plants /distribution centers were built. More jobs in this economy would be helpful at this point. Make these projects green so that they are efficient and provide the people with a healthy environment- Use cow manure to generate methane gas which can run electric turbines- (more jobs) generated by this collective and collaborative approach to doing business.
4. The federal government and the State of Vermont could secure funding or at a minimum provide low interest loans for the building of these processing and distribution centers. If Washington can bail out Wall Street, Banks and the Auto industry they can certainly lend a hand to the hard working people of Vermont who ply their knowledge and experience in the dairy industry.
5. Economic clout would be generated so that the dairy farmer is no longer a victim of large corporate greed and the fluctuation in prices. Locally produces milk and other dairy products could be brought to the market by the people who produce the milk. Quality cheeses, quality milk product (how about real milk-raw milk for instance) and other organic dairy products can be produced and sold in Vermont and nationwide by Vermont farmers. I would buy these products if I knew that the highest standard of organic farming was implemented and routinely monitored. I’d even pay more money for the dairy product knowing that it is safe and healthy for consumption . It would be even better if the grains that fed the bovines could be grown right
here in Vermont- again more jobs and better quality.
6. Monies earned by the collaborative could be reinvested into their own businesses instead of lining the pockets of some corporate giant's CEO or COO thereby increasing the chances of a healthier and a more economically viable and sustainable industry.
I think that its time to look towards something other than a system that no longer serves the interest of the individual and to take charge and control of one’s own destiny. This can only be done if people stop acting as individuals and start acting as a collective force to bring back a quality of life that we as individual want or desire and deserve. Washington and the corporate interests that rule it are not interested in addressing real problems facing real people. The time for change has come.
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