The U.S. Department of Agriculture (USDA) today announced that dairy producers starting next Monday can enroll for 2027 Dairy Margin Coverage (DMC), a voluntary risk management program that was recently strengthened by the Working Families Tax Cuts Act with greater risk protection for dairy producers. DMC enrollment for 2027 starts Oct. 5 and runs through Dec. 18, 2026.
“Putting farmers first means making sure dairy producers have practical tools to protect their operations when markets fluctuate,” said FSA Administrator Bill Beam. “Dairy Margin Coverage provides an affordable layer of protection when margins tighten, helping producers manage risk and keep their operations on solid ground.”
DMC provides financial protection when the difference between the national all-milk price and average feed cost falls below a producer-selected coverage level.
The Working Families Tax Cut Act reauthorized DMC through 2031 and strengthened the program to provide dairy producers with greater risk protection. These improvements took effect beginning with the 2026 program year and expanded the amount of production eligible for Tier 1 protection from five to six million pounds, updated production histories to better reflect current dairy operations, and provided producers with an opportunity to secure coverage through 2031 at a 25% reduced premium cost.
Source : usda.gov