(WASHINGTON, D.C.)  --  Congressman Collin C. Peterson (DFL-7th District) Tuesday indicated he was “cautiously encouraged” by the results of the U.S. Department of Agriculture’s (USDA) referendum regarding consolidation of the current federal milk marketing order system.  More than 96% of the voters supported consolidating the current number from 31 to 11, and including a minimum price for Class I (drinking) milk.

“I am pleased by the overwhelming support that dairy farmers gave to this referendum”, said Peterson, “and I think that this just might provide the momentum we need to put these consolidation proposals into practice.”

According to Peterson, the 1996 Farm Bill mandated that the USDA reform the federal milk marketing order system.  At that time Congress directed the Secretary of Agriculture to consolidate the number of milk marketing orders and to produce a milk pricing system that was more market oriented.

“People need to know that this consolidation package goes into effect on October 1, 1999, unless Congress acts to change it.  Because of the strong support that farmers have just demonstrated for consolidation, and the short time frame that Congress will be facing, I am cautiously optimistic that we might be able to win this fight for dairy farmers in the upper Midwest and throughout the country.”

The USDA’s federal milk marketing order reform process has lasted more then three years and involved the dairy industry, the general public, and academia.  In the public process of extensive study and detailed analysis, USDA received and considered more than 8,000 comments.

“The USDA has done a good job of meeting the objectives that were laid out in the 1996 Farm Bill, as well as the needs of America’s dairy industry.  Secretary Glickman has taken a step in the right direction and I hope that continues.”

Peterson said he “expects more debate” in Congress this fall on the federal milk pricing system.

“We are going to have to remain diligent on this.  Dairy farmers in Minnesota, Wisconsin and throughout the country deserve a milk pricing policy that does not artificially alter the amount of their milk checks simply because of where they live.”

In addition, a proposal to mandate continuance of the current federal milk marketing order system -- the status quo -- continues to be discussed in Congress.
 

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