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Dairy producers are being reminded enrollment in the Dairy Margin Coverage (DMC) program for calendar year 2020 ends this Friday, Dec. 13.
The DMC program offers reasonably priced protection to producers when the difference between the all-milk price and the average feed cost (the margin) falls below a certain dollar amount selected by the producer. Dairy farmers earned more than $300 million dollars from the program in 2019, and thus are encouraged to take advantage of this very important risk management tool for 2020.
All producers who want 2020 coverage, even those who took advantage of the 25 percent premium discount by locking in the coverage level for five years of margin protection coverage are required to visit their local U.S. Department of Agriculture (USDA) Farm Service Agency office during this signup period to pay the annual administrative fee.
For more information on enrolling in DMC and taking advantage of an online dairy decision tool that assists producers in selecting coverage for 2020, visit the DMC webpage. Or, for additional questions and assistance, contact your local USDA service center.