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IDFA: Opposition to Dairy Supply Management mounts
May 14, 2013

As the House and Senate Agriculture Committees prepare to write a new farm bill this week, the list of organizations opposed to a proposed dairy program continues to grow.

Nearly 150 organizations and businesses across the food chain, from farmers and food manufacturers to food retailers and consumers, have signed letters to members of Congress urging them to oppose the “Dairy Market Stabilization Program” (DMSP). This program is designed to raise milk prices by establishing federal regulations to periodically limit the U.S. milk supply when farms are growing.

The DMSP is a controversial proposal that is part of the Dairy Security Act, a bill sponsored by Representative Collin Peterson (D-MN) that is included in drafts of the next Farm Bill.  Both the Senate and House Agriculture Committees will consider the draft bills this week.

Consumer groups have expressed concern that the DMSP would “ultimately increase the prices that consumers pay for milk and dairy products,” adding that the program would prevent prices from falling while providing no protection from periodic milk price surges. A broad coalition of food manufacturers, grocers, retailers, restaurants, chain restaurants and pizza makers joined with dairy processors in saying that “restricting milk supplies will hurt dairy industry growth, leading to long-term consequences” for the industry.

Twelve conservative organizations have expressed opposition to the DMSP saying that the program would have the federal government “manage both supply and demand for milk in order to keep prices artificially high.” The groups added, “Consumers will pay even more for dairy products, government funds will be wasted on dairy purchases, and dairy industry and job growth will be stunted.”

Several key dairy farmer organizations also have joined the opposition to the DMSP. California Dairies, Inc., the nation’s second-largest dairy cooperative and the largest exporter of milk powder products in the Western Hemisphere, has written that the DMSP “could lead to adverse results for our nation’s export efforts.” Wisconsin’s Dairy Business Association has voiced opposition and the Northeast Dairy Producers Association wrote that the “DMSP would limit farm growth during a time when farms [in New York State in particular] have a demand for our product to meet the needs of our dairy processing plants.”

Many of these organizations, including consumer groups, food and restaurant groups, numerous dairy producer groups and dairy food manufacturers, have urged support for the Dairy Freedom Act, a bipartisan, compromise alternative to be offered as an amendment by Representatives Bob Goodlatte (R-VA) and David Scott (D-GA). The Goodlatte-Scott bill would offer an effective safety net program for dairy farmers but would not include the controversial proposal to limit milk supplies and artificially keep prices high. According to the Congressional Budget Office, implementing the Goodlatte-Scott bill would cost slightly less than implementing the Dairy Security Act with the DMSP.

 

“The truth is that Congress can help dairy farmers without hurting consumers and nearly everyone else up and down the food chain,” said Jerry Slominski, senior vice president of legislative and economic affairs for the International Dairy Foods Association. “The Goodlatte-Scott bill would provide an effective safety net to help dairy producers through difficult economic times, yet would cost taxpayers less than Representative Peterson’s proposal, and it wouldn’t handcuff dairy exports or dairy industry job growth.”

Trade Associations, Policy Organizations, Producer Groups and Businesses Opposing the Dairy Market Stabilization Act

Agropur Inc.
Alabama Grocers Association
Alliance Dairies (Florida)
Alouette Cheese LLC
Alta Dena Dairy
American Commitment
American Enterprise Institute
American Enterprise Institute
American Pizza Community
Americans for Prosperity
Americans for Tax Reform
Anderson Erickson Dairy Company
Arizona Food Marketing Alliance
Arkansas Grocers and Retail Merchants Association
Arthur Schuman, Inc.
Barber’s Dairy
Bel Brands USA, Inc.
Berkeley Farms
Blue Bell Creameries, L.P.
Board of Directors of Bongards’ Creameries (Minnesota)
Borden Dairy Company of Alabama, LLC
California Dairies, Inc.
Campaign for Liberty
Carl Colteryahn Dairy, Inc.
Carolinas Food Industry Council
Center for Individual Freedom
Club for Growth
Competitive Enterprise Institute
Compton Creamery
Consumer Action
Consumer Federation of America
Consumers Union
Cost of Government Center
Council for Citizens Against Government Waste
Dairy Business Milk Marketing Cooperative
Dairy Institute of California
Dairy Policy Action Coalition
Davisco Foods International, Inc.
Dean Foods Company
Dean Foods-Buena Park
Delaware Food Industry Council
First District Association (Minnesota)
Fleur De Lait-West
Food Industry Alliance of New York
Food Marketing Institute
FreedomWorks
Galliker Dairy Company
Galloway Company
Gandy’s Dairy Products
Georgia Food Industry Association
Glanbia Foods Inc.
Grande Cheese Company
Great Lakes Cheese of Seymour, Inc.
Great Lakes Cheese of Wisconsin, Inc.
Grocery Manufacturers of America
Hawaii Food Industry Association
Heartland Farms
H-E-B
Hershey Creamery Company
High Desert Milk (Idaho)
Hilmar Cheese Company, Inc.
HP Hood LLC
Idaho Retailers Association
Illinois Food retailers Association
Imperia Foods
International Dairy Foods Association
Kansas Food Dealers Association
Kraft Foods Group, Inc.
Lactalis American Group
Lactalis Deli
Lake Country Dairy
Lake Norden Cheese Company
Lehigh Valley Dairy Farms
Leprino Foods Company
Louis Trauth Dairy
Louisiana Retailers Association
Maine Grocers Association
Maryland Retail Association
Massachusetts Food Association
Mayfield Dairy Farms
Meadowbrook Dairy
Michigan Grocers Association
Minnesota Grocers Association
Minnesota Milk Producers
Missouri Grocers Association
Montana Food Distributors Association
Morning Glory Dairy
National All-Jersey, Inc.
National Cattlemen’s Beef Association (NCBA)
National Consumers League
National Council of Chain Restaurants
National Frozen Pizza Institute
National Grocers Association
National Restaurant Association
National Taxpayers Union
Nebraska Grocery Industry Association
Nestle USA, Inc.
New Hampshire Grocers Association
New Jersey Food Council
North Dakota Grocers Association
North East Dairy Producers Association, Inc.
Northeast Dairy Foods Association, Inc.
Oak Farms Dairy
Penn Made/Crowley Foods
Plains Dairy, L.L.C.
Price’s Creameries
Publix Super Markets Inc.
R Street Institute
Retail Grocers Association of Greater Kansas City
Riverside Creamery
Rosenberger’s Dairies
Safeway Inc.
Saputo Cheese USA, Inc.
Saputo Dairy Foods
Sargento Foods Inc.
Sartori Company
South Dakota Retailers Association
Southwest Ice Cream Specialties
Swiss Dairy
Swiss Premium Dairy
Taxpayers for Common Sense
Taxpayers Protection Alliance
Tennessee Grocers and Convenience Store Association
Texas Retailers Association
The Dannon Company, Inc.
The Kroger Company
Turkey Hill Dairy, Inc.
Utah Food Industry Association
Valley Queen Cheese Factory, Inc.
Verifine Dairy Products
Virginia Retail Merchants Association
Wapsie Valley Creamery, Inc.
Washington Food Industry Association
Wells Enterprises, Inc.
Wisconsin Cheese Makers Association
Wisconsin Dairy Business Association
Wisconsin Grocers Association

Source: Dairy Herd Network


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