USDA’s Farm Service Agency (FSA) wants to remind dairy producers that this Friday is the deadline to enroll for 2018 coverage in the Margin Protection Program (MPP-Dairy). The voluntary program provides financial assistance to participating dairy producers when the margin, or the difference between the price of milk and feed costs, falls below the coverage level selected by the producer.
MPP-Dairy gives participating dairy producers the flexibility to select coverage levels best suited for their operation. Those who sign up by the December 15 deadline will remain in the program through Dec. 31, 2018, and pay a minimum $100 administrative fee for coverage. Producers have the option of selecting a different coverage level from the previous coverage year during open enrollment.
But a reminder, something new this year is the option for dairy producers to opt out of the program for 2018. In order to opt out, a producer should not sign up during this annual registration period. By opting out, a producer would not receive any MPP-Dairy benefits if payments are triggered for 2018. The decision to opt out would be for 2018 only and is not retroactive.
USDA has a web tool to help producers determine the level of coverage under the MPP-Dairy that will provide them with the strongest safety net under a variety of conditions. The online resource, available at www.fsa.usda.gov/mpptool, allows dairy farmers to quickly and easily combine unique operation data and other key variables to calculate their coverage needs based on price projections.
Enrollment ends on Dec. 15, 2017, for coverage in calendar year 2018 for MPP-Dairy. For more information, visit FSA online at www.fsa.usda.gov/dairy or stop by your local FSA office.