Agriculture secretary hopes for new diary pricing

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(Host) Vermont Agriculture Secretary Roger Allbee says he’s hopeful the Obama administration will adopt new policies that will help Northeast dairy farmers survive.

Allbee met with federal Agriculture Secretary Tom Vilsack earlier this week to talk about farm issues.

Allbee says many dairy farmers in Vermont are struggling because the price they’re paid for their milk doesn’t cover what it costs to produce the milk.

In the short term, Allbee wants the federal government to take steps to help lower milk production levels and increase demand for dairy products.  Allbee says Secretary Vilsack clearly understood the gravity of the situation facing many dairy farmers:

(Allbee) "In the short term, I think he indicated he wanted to use all the powers he has to try to turn the price in a more favorable avenue for dairy farmers in Vermont and the rest of the country. He clearly indicated that it’s not an easy task but one that he’s committed to."

(Host) Allbee has been urging Congress to reform national dairy policy to allow different prices in the various regions of the country.

He says that’s needed because over the past ten years, milk production in Vermont has increased roughly one percent – but in the western part of the country, production has jumped almost 50 percent. That’s caused prices to plummet.

(Allbee) "The other things that we were extremely pleased on is that he recognizes that the dairy pricing system is antiquated and that long term he’s going to appoint an advisory committee that will make recommendations for hopefully changing that system. But more importantly, he expressed the need to support regional production."

(Host) Allbee says Secretary Vilsack is also interested in looking at ways to help dairy farmers reduce their debt load in the coming months.

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