Federal Assistance Coming for Dairy Farms

The U.S. Department of Agriculture’s (USDA) created a $350 million Pandemic Market Volatility Assistance Program to assist dairy farmers affected by the pandemic. Additionally, USDA announced crucial changes to the existing Dairy Margin Coverage Farmer Support Program that will result in $100 million in retroactive payments to farmers and an estimated $80 million increase in payments per year over the next ten years.

According to a statement, U.S. Senators Jeanne Shaheen (D-NH), and colleagues urged the Feds to take additional action to support U.S. dairy farmers, including more direct payment assistance through USDA programs.

Funding from the Pandemic Market Volatility Assistance Program comes in part from federal relief Shaheen fought to secure in the Coronavirus Aid, Relief, and Economic Security (CARES) Act and the emergency COVID-19 relief legislation that were signed into law.

“New Hampshire dairy farmers were hard hit by the pandemic, and I know that impact was felt by other dairy providers throughout the nation. I’m glad the U.S. Department of Agriculture is taking this important step and heeding calls by Senators Gillibrand, Murphy and me to do more to support this vital industry as we work to get to the other side of the COVID-19 crisis,” said Senator Shaheen.

“I’m encouraged to see the administration put critical federal relief I worked to secure from the CARES Act and emergency COVID relief legislation toward this new program. Our dairy farmers play an important role in our state’s agriculture and identity, which is why I’ll continue to explore every avenue available to ensure they have the assistance they need to continue operations unencumbered.” 

This announcement is in addition to $400 million for a new Dairy Donation Program to address food insecurity and mitigate food waste and loss, as well as $580 million for Supplemental Dairy Margin Coverage for small and medium farms, which Shaheen worked to include in emergency COVID relief legislation signed into law last year.

“The Pandemic Market Volatility Assistance Program is another component of our ongoing effort to get aid to producers who have been left behind and build on our progress towards economic recovery,” said Agriculture Secretary Tom Vilsack. “This announcement is due in no small part to the advocacy of Senators Shaheen, Gillibrand and Murphy. Family dairy farmers have been battered by the pandemic, trade issues and unpredictable weather and are the life-blood of many rural communities across the Northeast and many other regions. This targeted assistance is the first step in USDA’s comprehensive approach that will total over $2 billion to help the dairy industry recover from the pandemic and be more resilient to future challenges for generations to come.”