Dairy farmers thanked USDA and Sec. Brooke Rollins for taking steps to boost low milk prices and expand dairy consumption through significant Section 32 purchases of a balanced, effectively targeted mix of dairy products, including the first major butter purchases in five years.
“Dairy farmers have shared in the struggles faced throughout the agricultural economy, and these purchases will provide important relief to producers who will benefit from the additional demand, helping them provide nutritious dairy products to Americans and the world,” NMPF President & CEO Gregg Doud said.
Specifically, USDA is purchasing:
- $75 million of butter;
- $32.5 million in cheddar cheese;
- $20.5 million in fresh fluid milk;
- $10 million of Swiss cheese; and
- $10 million in Ultra-High Temperature (shelf-stable) milk.
The $148 million in purchases is part of $263 million purchase announcement for numerous agricultural commodities and matches the amount requested by NMPF in a letter sent to USDA last November, which was followed by extensive conversations and further official communication with USDA. Other recent USDA purchases intended to boost the farm economy have included $80 million for specialty crops and $100 million for seafood.
USDA Section 32 purchases, authorized by the Agricultural Adjustment Act of 1935, allow USDA to buy surplus, domestically produced agricultural products to stabilize farm products and provide food to federal nutrition assistance programs.
Under the program, USDA’s Agricultural Marketing Service notifies industry and stakeholders of new opportunities by issuing Purchase Program Announcements throughout the year. Following today’s announcement, USDA will invite offers from approved USDA vendors and award purchase contracts.
NMPF news release
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