The signup period for the new Dairy Margin Coverage (DMC) program began on June 17th. This program was part of the 2018 Farm Bill and replaced the Margin Protection Program (MPP). This program protects dairy producers when the difference between milk prices and feed costs, known as the margin, falls below a certain dollar amount of coverage selected by the producer. The National Milk Producers Federation (NMPF) is urging producers to sign up.
NMPF spokesperson Chris Galen says Dairy producers need to figure out how to tailor the new DMC program to fit their needs.
The signup will retroactively include all of 2019, even though the signup period just opened. Galen says the criteria for triggering the program benefits have already been met for 2019.
There is also an opportunity for producers to recoup some of their premium costs from the now-defunct MPP.
Galen says producers must complete their signups by September 20th.
