Dairy Farmers Agree on Legislative Issues

November 2, 2000

The nation's dairy farmers appear to have formed enough of a consensus to forge nine issues for congressional consideration next year. Many of them will be proposed as part of the new farm bill debate. The issues are the result of nearly a year of deliberation led by the National Milk Producers Federation with the support of several other farm organizations.

Topping the list is economic policy. There is agreement to continue the dairy price support program, federal milk marketing orders, consumer market development and risk management and price stability programs. There was no consensus on supply or inventory management schemes, but a steering committee said it was willing to continue to review the issue.

Second is trade policy, specifically support for fair trade through agreements that increase U.S. dairy exports and ensure equal market access. The groups also agreed to seek an evaluation of current U.S. dairy product tariffs as well as an analysis of the effect of dairy imports, including casein and milk protein concentrates, on domestic producer prices.

The third issue is animal health – support for additional funding for a long term indemnity program for Johne's disease control and eradication as well as other animal diseases that affect dairy herds.

Fourth is the environment – developing "reasonable and predictable, science-based standards to meet environmental goals" with the focus on compliance assistance rather than penalties. They also want government to provide financial incentives and technical assistance for farmers to implement voluntarily best management practices. Support also was expressed for increased federal and state funding for research, education and technical assistance.

Product standards comprise the fifth issue. There is support to petition the Food and Drug Administration to change the current standard from a minimum 8.25% solids-not-fat to a nonfat solids/protein level equivalent to not less than the national average of nonfat solids/protein contained in producer milk. There is opposition to any provisions that would change current U.S. standards to allow dried milk protein concentrates or nondairy ingredients to be used in the manufacture of cheeses which are subject to those standards. Support also was expressed for the REAL Seal to maintain dairy product integrity and assure consumers about the safety and quality of milk and dairy foods.

Sixth on the list is biotechnology – support for an approval process for biotech products that use science-based decision making on the safety of dairy products. Dairy organizations also are urged to work with other agricultural groups to help provide timely, factual information to consumers about the application of biotechnology to dairy production and manufacturing.

Number seven is food safety, specifically support for voluntary, incentive-based producer programs to assist farmers with their efforts to produce a safe product. Programs should include animal health, raw milk quality and safety and feed safety. Regulatory agencies should focus on ensuring uniformity of regulations and enforcement activities among states as well as on the cost-benefit considerations of regulations.

The eighth issue is communications and "issues management." There is support for pro-active communications programs to help consumers better understand production practices that dairy farmers use to produce milk and other dairy products. National farm groups also need to better coordinate rapid responses to dairy-related issues as they arise.

Last on the list are business issues: support to reduce the loss of the "dairy farming infrastructure," reduce estate taxes, target capital gains tax reductions and accelerate the full deductibility of health care premiums for farmers and small businesses.