June 4, 2018 - Agriculture Secretary Sonny Perdue extended the deadline for producers to sign up for the Farm Service Agency’s Margin Protection Program – Dairy (MPP) for one week. The program provides a much needed safety net for dairy producers, and signup will continue until Friday, June 8, 2018, for them to elect coverage. All dairy operations must make new coverage elections for 2018, even if the operation was enrolled during the previous 2018 signup period. Coverage elections made for 2018 will be retroactive to Jan. 1, 2018.
The Margin Protection Program for Dairy (MPP-Dairy) is a voluntary risk management program for dairy producers authorized by the 2014 Farm Bill through Dec. 31, 2018. Significant changes to MPP-Dairy for the 2018 coverage year are further authorized by the Bipartisan Budget Act of 2018. The MPP-Dairy offers protection to dairy 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.
Based on feedback from dairy producers, Congress made several changes to MPP-Dairy in the Bipartisan Budget Act of 2018, including:
USDA is mailing postcards advising dairy producers of the changes. For more information, contact your local USDA service center.
The registration and re-enrollment period for coverage year 2018 will begin April 9, 2018, and continues through June 1, 2018. Dairy operations must make a new coverage election for 2018, even if you enrolled during the previous 2018 signup period. Coverage elections made for 2018 will be retroactive to January 1, 2018.
The program offers dairy producers: (1) catastrophic coverage, at no cost to the producer, other than an annual $100 administrative fee (which is waived in some cases); and (2) various levels of buy-up coverage. Read more on our fact sheet.
USDA has a web tool to help producers determine the level of coverage under the MPP-Dairy that will provide them with the strongest safety net under a variety of conditions. The online resource allows dairy farmers to quickly and easily combine unique operation data and other key variables to calculate their coverage needs based on price projections. Producers can also review historical data or estimate future coverage based on data projections. The secure site can be accessed via computer, smartphone, tablet or any other platform.
Month | Pay Periods | Corn ($/bu) | Alfalfa Hay ($/ton) | Soybean Meal ($/ton) | All Milk< ($/cwt) | Final Feed Costs for MPP-D ($/cwt) | Milk Margin Above Feed Costs ($/cwt) | Milk Margin /pay Period* | |
2018 | |||||||||
---|---|---|---|---|---|---|---|---|---|
December | 3.54 | 180.00 | 311.70 | 16.40 | 8.55471 | 7.84529 | 7.84529 | ||
November | 3.41 | 175.00 | 310.62 | 17.00 | 8.33880 | 8.66119 | 8.66120 | ||
October | 3.41 | 178.00 | 319.15 | 17.40 | 8.44260 | 8.95739 | 8.95740 | ||
September | 3.39 | 180.00 | 318.32 | 16.70 | 8.44244 | 8.25757 | 8.25756 | ||
August | 3.36 | 177.00 | 332.50 | 15.90 | 8.47338 | 7.42661 | 7.42662 | ||
July | 3.47 | 179.00 | 341.08 | 15.40 | 8.68185 | 6.71814 | 6.71815 | ||
June | 3.58 | 181.00 | 355.71 | 16.30 | 8.93479 | 7.36520 | 7.36521 | ||
May | 3.67 | 189.00 | 393.55 | 16.20 | 9.41907 | 6.78093 | 6.78093 | ||
April | 3.58 | 183.00 | 385.84 | 15.80 | 9.18367 | 6.61635 | 6.61635 | ||
March | 3.51 | 166.00 | 379.85 | 15.60 | 8.83163 | 6.76837 | 6.76837 | ||
February | 3.38 | 155.00 | 362.85 | 15.30 | 8.41651 | 6.88349 | 6.88349 | ||
January | 3.29 | 152.00 | 322.59 | 16.10 | 7.98295 | 8.11705 | 8.11705 | ||
2017 | |||||||||
December | 6 | 3.23 | 148.00 | 319.22 | 17.20 | 7.83901 | 9.36099 | 9.87485 | |
November | 3.15 | 148.00 | 313.52 | 18.10 | 7.71129 | 10.38871 | |||
October | 5 | 3.26 | 152.00 | 315.23 | 17.90 | 7.89667 | 10.00333 | 9.99619 | |
September | 3.27 | 149.00 | 307.70 | 17.80 | 7.81095 | 9.98905 | |||
August | 4 | 3.27 | 147.00 | 301.05 | 18.00 | 7.73467 | 10.26533 | 9.67123 | |
July | 3.49 | 152.00 | 326.04 | 17.30 | 8.22287 | 9.07713 | |||
June | 3 | 3.43 | 152.0 | 300.72 | 17.30 | 7.97239 | 9.32760 | 8.97093 | |
May | 3.45 | 155.00 | 307.63 | 16.70 | 8.08574 | 8.61426 | |||
April | 2 | 3.43 | 148.00 | 305.67 | 16.50 | 7.95398 | 8.54602 | 8.94898 | |
March | 3.49 | 135.00 | 320.34 | 17.30 | 7.94807 | 9.35192 | |||
February | 1 | 3.44 | 129.00 | 334.42 | 18.50 | 7.91572 | 10.58428 | 10.82023 | |
January | 3.40 | 128.00 | 332.34 | 18.90 | 7.84382 | 11.05618 | |||
2016 | |||||||||
December | 6 | 3.33 | 129.00 | 321.02 | 18.80 | 7.69922 | 11.10078 | 10.54246 | |
November | 3.23 | 130.00 | 322.41 | 17.60 | 7.61586 | 9.98414 | |||
October | 5 | 3.29 | 135.00 | 323.27 | 16.60 | 7.75505 | 8.84495 | 9.16485 | |
September | 3.22 | 137.00 | 337.95 | 17.30 | 7.81525 | 9.48475 | |||
August | 4 | 3.21 | 138.00 | 340.80 | 17.10 | 7.83917 | 9.26083 | 8.42515 | |
July | 3.60 | 140.00 | 371.49 | 16.10 | 8.51053 | 7.58947 | |||
June | 3 | 3.82 | 142.00 | 408.57 | 14.80 | 9.04648 | 5.75351 | 5.76277 | |
May | 3.68 | 147.00 | 376.35 | 14.50 | 8.72797 | 5.77202 | |||
April | 2 | 3.58 | 153.00 | 303.81 | 15.00 | 8.16972 | 6.83027 | 7.14868 | |
March | 3.57 | 144.00 | 276.22 | 15.30 | 7.83291 | 7.467087 | |||
February | 1 | 3.57 | 142.00 | 273.61 | 15.70 | 7.78632 | 7.913670 | 8.00928 | |
January | 3.66 | 147.00 | 279.56 | 16.10 | 7.99511 | 8.104886 | |||
2015 | |||||||||
December | 6 | 3.65 | 150.00 | 289.78 | 17.20 | 8.10060 | 9.099397 | 9.55705 | |
November | 3.60 | 150.00 | 308.60 | 18.20 | 8.18529 | 10.01471 | |||
October | 5 | 3.67 | 156.00 | 327.97 | 17.70 | 8.48496 | 9.21504 | 9.08207 | |
September | 3.68 | 157.00 | 333.62 | 17.50 | 8.55091 | 8.94909 | |||
August | 4 | 3.68 | 159.00 | 357.85 | 16.70 | 8.75641 | 7.94360 | 7.69510 | |
July | 3.80 | 169.00 | 375.71 | 16.60 | 9.15341 | 7.44659 | |||
June | 3 | 3.58 | 178.00 | 335.03 | 16.90 | 8.74170 | 8.15831 | 7.99534 | |
May | 3.62 | 192.00 | 320.23 | 16.70 | 8.86763 | 7.83237 | |||
April | 2 | 3.75 | 184.00 | 336.61 | 16.50 | 9.01788 | 7.48212 | 7.50415 | |
March | 3.81 | 172.00 | 357.83 | 16.60 | 9.07382 | 7.52618 | |||
February | 1 | 3.79 | 172.00 | 370.38 | 16.80 | 9.14461 | 7.65540 | 7.99554 | |
January | 3.81 | 174.00 | 380.02 | 17.60 | 9.26432 | 8.33569 | |||
2014 | |||||||||
December | 6 | 3.78 | 183.00 | 431.73 | 20.40 | 9.73550 | 10.66450 | 12.02943 | |
November | 3.58 | 184.00 | 441.39 | 23.00 | 9.60564 | 13.39436 | |||
October | 5 | 3.56 | 194.00 | 381.50 | 24.90 | 9.28099 | 15.61901 | 15.51136 | |
September | 3.48 | 197.00 | 525.72 | 25.70 | 10.29629 | 15.40371 | |||
August | 4 | 3.63 | 209.00 | 490.30 | 24.10 | 10.36142 | 13.73858 | 13.21061 | |
July | 4.05 | 216.00 | 450.79 | 23.30 | 10.61731 | 12.68265 | |||
June | 3 | 4.49 | 222.00 | 501.72 | 23.20 | 11.54591 | 11.65409 | 11.95747 | |
May | 4.71 | 224.00 | 519.38 | 24.20 | 11.93913 | 12.26087 | |||
April | 2 | 4.71 | 206.00 | 514.01 | 25.30 | 11.65306 | 13.64694 | 13.87422 | |
March | 4.51 | 191.00 | 495.71 | 25.20 | 11.09850 | 14.10150 |
*At a milk margin minus feed costs of $8 or less, payments are possible depending on the level of coverage chosen by the dairy producer.
Corn, Alfalfa hay and All-milk full month prices (not preliminary) can be found in the National Agricultural Statistics Service (NASS) Agricultural Prices monthly publication.
Soybean Meal prices can be found in the Agricultural Marketing Service (AMS) daily Central Illinois Soybean Processor report . (Go to the 48% Soybean Meal R monthly price at the bottom of the report).