The bill passed yesterday by Congress to avoid the fiscal cliff extends all dairy programs in the 2008 Farm Bill until September 30, 2013. The Dairy Export Incentive Program (DEIP) and forward contracting are extended through September, but the Dairy Product Price Support Program (DPPSP) is extended though December 31, 2013. The bill also extends the Milk Income Loss Contract (MILC) Program with payments at the higher 45-percent level until August 31 and at the lower 34-percent level until September 30, essentially repeating the 2012 rates.
The Agricultural Act of 1949, which had consumers worried about a doubling of retail milk prices, was suspended until December 31, 2013.
