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Klobuchar Meets with Minnesota Farmers, Continues Efforts to Help Farmers Hurt by Falling Dairy Prices

Urges USDA action to help stabilize prices in worsening market conditions

February 18, 2009

Mora, M.N. – U.S. Senator Amy Klobuchar met with nearly 75 dairy farmers in a packed room at Freddie's Restaurant in Moira, Minnesota today to discuss the abrupt drop in dairy prices.  Klobuchar said she will take the concerns she heard back to Agriculture Secretary Vilsack and will urge the United States Department of Agriculture (USDA) to immediately enact measures to address the worsening dairy market and help struggling family farms throughout Minnesota and the nation. 

“The effects of an unstable marketplace are hitting close to home for dairy farmers in Minnesota,” said Klobuchar.  “The farmers I met with today are struggling – they’re doing everything they’re supposed to be doing, working hard and playing by the rules, but their way of life has been uprooted by factors beyond their control.”

As a result of the economic crisis, the dairy industry is struggling with falling prices of dairy products, unusually high costs and a drop-off in international demand.   The price of cheese has dropped 40 percent in a little more than a month.

“Farmers are especially vulnerable during these tough economic times,” said Klobuchar.  “Across Minnesota, dairy farmers are struggling as a result of this economic crisis.  We need to provide immediate and targeted support to stabilize prices and help dairy farmers who are hurting.”

Earlier this month, Klobuchar sent a letter to the Agriculture Secretary Tom Vilsack, calling on the USDA to help stabilize prices and protect Minnesota’s farmers from rapidly declining milk prices.

In the letter, the Senators urged the USDA to: more effectively implement the Dairy Product Price Support Program (DPPSP) to restore stability and clear oversupplies in the market; direct adequate resources toward timely and efficient inspection of dairy commodities purchased through the DPPSP; consider additional dairy purchases for distribution through the USDA commodity-based nutrition programs; examine ways to more formally utilize the Dairy Export Incentive Program.

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