Dairy producers get financial help
Posted: 12.21.2009 at 5:34 PM

Milk prices dropped about 30 percent over the past year.

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DELTA COUNTY -- It's been a rough year for local dairy farmers. With milk prices plummeting throughout the year, it was costing more to produce than what was coming in.

But there looks to be light at the end of the tunnel...and it starts with some recent assistance from the federal government.         

Milk prices dropped about 30 percent over the past year and turning a profit on those numbers wasn't an option.

"The first nine months you were going in the hole," explained dairy farmer, Allen Porath.  "I mean, the people, the farmers went into debt."

But because of struggling dairy farmers across the nation, the USDA recently announced they'd offer a one-time payment to aid dairy producers through a new Dairy Economic Loss Assistance Program.  It totals about $290 million and the payments are making their way out Monday.

"I think it's very good," said USDA FSA County Executive Director, Donna Silta.  "The payments are enough to help buy some fertilizer in the spring or help out with other payments that may be behind right now, so it's a very nice payment right now."

USDA officials say there are about 30 dairy farmers within the 4 counties this service center covers, which are Delta, Schoolcraft, Alger and Marquette counties.

They estimate about $100,000 will be distributed through the program to those farmers.  And for farmers like Allen, the payments are coming at a good time.

"Any dollar you can get is a help," Porath said.  "I mean, it keeps everyone going a little bit at least.  I mean, it's not going to get everyone's head out of the water, but at least it keeps some money to spend."

And in addition to this financial boost, farmers say milk prices look to be heading back to normal within the next several months.