Farms.com Home   Ag Industry News

FMMO reforms pass despite dairy industry concerns

Jan 17, 2025
By Farms.com

AFBF calls for fairer make allowance practices

The USDA's implementation of the Federal Milk Marketing Order (FMMO) reforms has been officially approved, signaling a step forward for the dairy industry’s pricing structure. However, the American Farm Bureau Federation (AFBF) has voiced concerns, particularly regarding the make allowances that affect milk pricing for farmers.

Zippy Duvall, President of AFBF, welcomed the reforms but pointed out a critical flaw, saying, "However, the positive changes that will come as a result of these reforms will not be uniform for dairy farmers across the country and will be greatly offset by large, unjustified increases in make allowances."

The AFBF has been a staunch advocate for an overhaul of how make allowances are calculated, pushing for a shift to a mandatory, audited survey rather than the existing voluntary approach. This change aims to prevent the undervaluation of milk that harms dairy farmers financially.

With the approval secured in all 11 orders, the alternative—eliminating existing milk pricing regulations—was avoided, which would have left dairy farmers in a precarious position without federal order protections.

Highlighting the importance of fair practices, Duvall urged legislative action to ensure transparency and fairness in the FMMO system. "The FMMO system relies on fairness and transparency, and without a mandatory, audited survey of processing costs, dairy farmers’ checks will be reduced based on flawed and incomplete data," he remarked.

The ongoing dialogue and legislative advocacy reflect the dairy industry’s complex dynamics and the crucial need for fair pricing mechanisms to sustain US dairy farmers.


Trending Video

Sorting Ewes & Rams | Breeding Time On The Farm!

Video: Sorting Ewes & Rams | Breeding Time On The Farm!

In this episode, we’re sorting ewes into their breeding groups and introducing them to unrelated rams. Moving rams between barns always comes with challenges, but once the boys meet their ewes, everyone was eager to settle in!

We also welcome back a returning customer who purchased a Suffolk ram from us last year. This season, she chose a Dorset cross ram, now named Benny, to strengthen her flock’s genetics. It’s always rewarding to see repeat customers who value the quality of our breeding stock.

Arnie then tours the crop fields as harvest season approaches. Despite drought conditions this summer, the crops are looking surprisingly good. We close the day with evening feedings and one last look at the rams with their new breeding groups.

?? Join us daily for life on a working sheep farm, from flock management and breeding strategies to crops, chores, and the everyday rhythm of farm life.