Milk margin protection sign-up begins


Hello Again!

Sign-up is now underway for the new milk Margin Protection Program for dairy producers. The MPP replaces the previous MILC (Milk Income Loss Contract) program. Sign-up for 2014 and 2015 is being held simultaneously.

The first step in signing into the MPP is to establish your production history. Your production history (for existing dairies) is the highest production of the three years 2011, 2012, or 2013.

New dairies (those started since Feb. 7, 2013) have their own set of rules.

Producers then have two options when electing to enroll in the MPP. The first option is to simply pay a $100 annual administrative fee for basic coverage. Basic coverage is 90 percent of your production history at a margin protection level of $4.

The margin you are protecting is the difference between the national average price of milk per hundredweight minus the national average cost of feed to produce a hundredweight of milk.

The second option is to purchase additional coverage beyond the basic coverage. Additional coverage ranges from 25-90 percent of your production, and the margin can be protected ranging from $4.50-$8 in 50-cent increments.

Cost of additional protection varies dependent on the levels enrolled in.

Sign-up for the 2014/2015 MPP ends on Nov. 28. County FSA Offices will be holding information meetings on this program.

The Wayne/Holmes County meetings will be Sept. 23, with two options of times, 10 a.m. or 7 p.m. Both meetings will be held in the Wayne County Administration Building, 428 West Liberty Street, Wooster.

For directions or details, call 330-262-1911.

That’s all for now,
FSA Andy


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FSA Andy is written by USDA Farm Service Agency county executive directors in northeastern Ohio.



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