The payment rate for May/June 2016 will be the largest since the
program began in 2014. The narrowing margin between milk prices
and the cost of feed triggered the payments, as provided for by
the 2014 Farm Bill.
Dairy producers should evaluate their enrollment options for
2017, as the enrollment period ends Sept. 30, 2016.
Dairy producers who enrolled at the $6 through $8 margin trigger
coverage level will receive payments. MPP-Dairy payments are
triggered when the national average margin (the difference
between the price of milk and the cost of feed) falls below a
level of coverage selected by the dairy producer, ranging from
$4 to $8, for a specified consecutive two-month period. All
final USDA prices for milk and feed components required to
determine the national average margin for May/June 2016 were
released on July 29, 2016.
The national average margin for the May/June 2016 two-month
consecutive period is $5.76277 per hundred weight (cwt.).
State specific payment amounts can be found at
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To learn more about the Margin Protection Program for dairy, visit
the Farm Service Agency (FSA) online at www.fsa.usda.gov/dairy or
stop by a local FSA office. Producers may visit www.fsa.usda.gov/mpptool
to calculate the best levels of coverage for their dairy operation.
To find an FSA office near you, visit http://offices.usda.gov.
Please contact your local your local County FSA Office with
questions you may have regarding this message.
[USDA Farm Service Agency]