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Risk Management
Risk Management RSS Feed RSS

2023 DMC enrollment deadline extended until Jan. 31

Enrollment deadline was scheduled to close on Dec. 9, 2022.
December 8, 2022
Dave Natzke

The USDA’s Farm Service Agency has extended the 2023 Dairy Margin Coverage (DMC) enrollment and coverage election period until Jan. 31, 2023. The program deadline was originally scheduled to close on Dec. 9, 2022.


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Assurance Watch: FARM Biosecurity Program helps safeguard your herd and employee health

The National Dairy Farmers Assuring Responsible Management (FARM) Program was created by the National Milk Producers Federation in partnership with Dairy Management Inc. The FARM Program works with dairy producers, cooperatives, processors and industry partners through five program areas – animal care, antibiotic stewardship, biosecurity, environmental stewardship and workforce development – to show customers and consumers that the dairy industry holds itself to the highest standards and best management practices. Visit nationaldairyfarm.com to learn more.
October 31, 2022
Miquela Hanselman and Jamie Jonker

To help build a stronger foundation and more resiliency against foreign animal diseases, the National Dairy Farmers Assuring Responsible Management (FARM) Program recently launched a Biosecurity Program.


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DMC margin continued to shrink in July

The July DMC margin is $9.92 per cwt, down $2 from June but still above the indemnity payment trigger.
September 2, 2022
Dave Natzke

Milk prices declined and feed costs continued to rise in July, cutting into monthly dairy producer milk income over feed cost margins calculated under the Dairy Margin Coverage (DMC) program.


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In The News: USDA revises LIP payments

August 25, 2022
Tyrell Marchant

The USDA on July 20 revised the payment rate for its Livestock Indemnity Program (LIP), nearly tripling compensation for young calves lost to producers. LIP payments, which are distributed through FSA, are based on 75% of “average fair market value.”


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SUMMARY

Making good decisions during the current upswing

Sound decision-making now will lay the foundation for how your operation will fare in the next downturn.
August 19, 2022
Brad Guse and Sam Miller

Generally speaking, dairy producers are posting healthy margins right now. May milk prices were the highest on record, and 2022 prices are shaping up to be the highest ever, breaking the record set in 2014.


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What great idea is lurking in the back of your brain?

June 17, 2022
Kevin Bernhardt
When you work at a university, you quickly learn that serving on committees is a part of the job. I must admit, for me it is akin to going to the dentist. However, there was one, the “quality” committee, I said “yes” to – but more out of a favor than any strong conviction.
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What’s ahead for milk pricing?

March 11, 2022
Erick Metzger
Milk pricing in the U.S. revolves around Federal Milk Marketing Order (FMMO) data and prices. The basic construction and operation of the current FMMOs came about in conjunction with federal order reform, which took effect Jan. 1, 2000.
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Change your risk management mindset

October 8, 2021
The COVID-19 pandemic taught and continues to teach numerous lessons to those of us in the dairy industry. We found out in March 2020 that the processing and packaging part of the industry could adapt but was not very nimble in doing so.
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1021PD

Milk check basis: Are you doing it wrong?

October 7, 2021
Geoff Gerrits
Basis is a very important number. It can be a metric used to determine your likelihood of profitability. It will tell you how your sales are priced compared to another processor. Even though dairy farmers today do not have much option to pick and choose where their milk is sold, basis is a number you should know.
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The 5 best practices for Dairy-RP

July 19, 2021
Curtis Bosma
As a risk management tool, Dairy Revenue Protection (Dairy-RP) provides protection against a decline in revenue (yield and/or price). With premiums subsidized by the USDA’s Risk Management Agency (RMA), dairy producers can protect quarterly milk revenue for up to five quarters into the future.
Read More
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