$350 Million More in Dairy Aid

September 30, 2009 07:00 PM
The Senate-House Conference committee agreed to spend $350 million more in dairy aid, splitting it between $290 million in direct payments and $60 million to remove cheese and other dairy products from the market, the Associated Press reports.  
With roughly 9 million dairy cows in the country, the aid package translates to about $30 per cow, or $3,000 to a 100-cow dairy operation. However, exactly how those payments are made is being left up to the Secretary of Agriculture. No word either on when those payments will be sent.
The irony in all of this is that some California cheese makers are running short of supply and can't meet orders. Some co-ops in California have lifted their production quotas, which were put in place several years ago when milk was flowing like water.

In the meantime, others are proposing a national supply management program. Go to Cathy Merlo's blog from World Dairy Expo for more details.

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