Tuesday, August 11, 2009

IDFA is Worried

(Click on images to enlarge)

International Dairy Foods Association (IDFA) is very worried. Keep in mind the spread between processors and dairy farms have doubled since January 2008.

So, in a letter to Herb Kohl they state:

August 7, 2009

The Honorable Herb Kohl
U.S. Senate
Washington, DC 20510

Dear Senator Kohl,

Earlier this week, the Senate voted to add $350 million to the overall funding for the Farm Service Agency as included in the 2010 Agriculture Appropriations bill. Although the amendment was silent as to how the funds are to be used, its sponsor, Senator Sanders, explained that the funds are intended to enable the United States Department of Agriculture (USDA) to increase price support levels for purchases of dairy products beyond the increased levels announced by Secretary Vilsack on August 1st.

IDFA represents our nation's milk, cheese and ice cream companies. We recognize that many of our nation's roughly 60,000 dairy farmers are facing very difficult financial circumstances. We appreciate that Congress has already responded by providing significant financial support for dairy farmers. Direct payments this calendar year under the Milk Income Loss Contract (MILC) program are expected to exceed $1 billion and have not significantly distorted dairy markets.

Check out the profits for the first half of 2009 for Dean Foods and Kraft - both IDFA members.


  1. Isn't it touching how very concerned they are for the tax payers.....

  2. If there really is way too much milk, what do they care if the government buys more? With the spread between farm prices and retail prices there should be no reason for retail prices to increase much (if any) even if farm milk prices do happen to increase.
    What does your brain say?

  3. Note to threecollie; the concern shown by IDFA for taxpayers may be somewhat pragmatic, given the increased protit in the first two quarters shown by IDFA members, they are going to be considerably more significant taxpayers this year than last... :) Later, Nate Wilson