WASHINGTON D.C. -- The dairy industry is taking their case to congress.

As part of the Farm Bill discussions, University of Minnesota Extension Dairy Economist Marin Bozic spoke to the U.S. House Agriculture Committee. He explained the problems local dairy farms have switching to a different processor.

Today it is extremely difficult for most producers to switch from their current buyer to another one. Some dairy producers have confided to me that when a prospective milk buyer was willing to take them on as a patron, their current milk buyer stopped that from happening.

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Bozic stressed that the new farm bill must face the long-term impacts of dairy policy and anti-competitive policies from dairy processors.

If a corn producer wishes to know what different local elevators would pay for corn, all they need to do is go online or tune in to their local radio station. In contrast, when some dairy producers have asked for milk pricing, those service providers have in multiple instances faced tacit disapproval or even aggressive legal threats from some dairy processors.

Also, the future of milk production will have to be in exporting product. Bozic estimates that 40 to 60% of future milk production will have to be exported.

 

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