The National Milk Producers Federation held a press conference here at World Dairy Expo on Wednesday to help the media better understand the recently introduced Dairy Security Act of 2011 so that we can in turn better explain it to the dairy industry.

The legislation, HR 3062, introduced in the House last month by Collin Peterson (D-MN) and Mike Simpson (D-ID) grew out of the Foundation for the Future proposal made by National Milk Producers Federation, but the final version is different, according to NMPF President and CEO Jerry Kozak. “When Mr. Peterson introduced his discussion draft, it was Foundation for the Future, word for word,” Kozak said. However, after some grassroots meetings with producers around the country, it became evident that some changes needed to be made. “So, it’s now the Peterson-Simpson bill, there is no Foundation for the Future.”

Kozak says the main components of HR 3062 are pretty simple. “It establishes a dairy margin protection program, a basic and a supplemental program, it establishes a market stabilization program that would kick in during times of imbalance,” he explained, noting that it would be voluntary, not mandatory. The act would eliminate all current dairy programs, including the price support and MILC, and would result in an overall budget savings.

Kozak feels confident about the chances of passage for the Dairy Security Act since it has good support within the industry, but he is disappointed with the strong opposition by the International Dairy Foods Association (IDFA). “We’ve tried to engage them in the dialogue and they have repeatedly just said no,” Kozak said. “Secondly, the tactics they’ve recently come out with that expose the entire country to the issues between producers and processors are not healthy for the image of dairy products.”

He encourages producers to contact their representatives in Congress and encourage them to support the Dairy Security Act (HR 3062).

Listen to my interview with Kozak here: NMPF CEO Jerry Kozak

2011 World Dairy Expo Photo Album