Dairy Producers Invited to Sign Up for DMC

Clint Thompson Dairy


The signup period for USDA’s Dairy Margin Coverage (DMC) for 2021 is well underway, and producers are invited to sign up. While more than 23,000 operations enrolled in DMC in 2019, only a little more than 13,000 enrolled for 2020.

That’s USDA Farm Service Agency (FSA) Administrator, Richard Fordyce. He noted how 2020 has been a market roller coaster for the dairy industry, and the DMC program is a valuable tool producers can use to help manage risk.

Fordyce says USDA is offering their recently updated online dairy decision tool to help producers determine the appropriate level of coverage for your operation.

Improvements to the decision tool include historical analysis that illustrates what DMC indemnity payments might have been had the program been available over the previous two decades. The analysis indicates that over the course of time, DMC payments made to producers exceed premiums paid. These decision tool enhancements provide a more comprehensive decision support experience for producers considering DMC.

Signup runs through Dec. 11, 2020. For more information, visit the farmers.gov DMC webpage, or contact your local USDA Service Center.