Missouri Dairy Business Update
USDA Margin Protection Program
September 2 thru November 28
The largest change in federal dairy policy in 15 years begins next week with the arrival of open enrollment for the USDA Margin Protection Program (MPP). The MPP program will provide a new pre-packaged, low cost risk management tool for dairy producers to guard against low milk prices and high feed costs.
Don’t be in a hurry to elect coverage level:
Delaying your signup later into the fall will help FSA offices get caught up with LFP payments.
Allow you to become more comfortable with MPP.
Allow you to have a better guess at next year’s milk prices when you pick level of insurance.
Allow you to know if Governor Nixon’s veto will be overridden and Missouri will reimburse 70% of your premiums in future years.
Your production history will be the highest level of annual milk production during 2011, 2012 or 2013.
Your production history will adjust upward every year with the national milk production growth.
You can insure from 25% to 90% of your production history in 5% increments.
You pick the margin level you want to insure.
Enrollment steps at your local USDA Farm Service Agency:
Establish your base by providing production history for 2011, 2012, 2013
Enroll, pay $100 per year
Elect coverage level (% of base & margin level you want for the following year).
Resources to learn more about MPP:
MU Extension and USDA Farm Service Agency will be holding a number of free meetings around the state to help dairy producers become familiar with MPP and make the right choices. The following dates and times are arranged at this time and more will be available on the dairy calendar as they are scheduled:
Monday, September 29, 2014 - Webinar
12:00 p.m. - 1:00 p.m. Webinar, http://univmissouri.adobeconnect.com/r28ibv13yqg/
Monday, September 29, 2014 - Columbia
2:00p.m. - 3:30p.m. - Workshop, FCS Financial, 2800 Woodard Drive, Columbia
Tuesday, October 14th - Jackson
10:00a.m. - 12:00p.m. - Workshop, Cape Girardeau Extension Center, 684 W. Jackson Blvd., Jackson
Wednesday, October 15th - Monett
1:00 p.m. - 3:00 p.m. Park Casino, 101 S. Lincoln, Monett, Missouri
Thursday, October 16th - Monett
10:00 a.m. - 12:00 p.m. Park Casino, 101 S. Lincoln, Monett, Missouri