By Carol Ann Gregg

Allied News Staff Writer

When dairy prices began to fall last autumn, Bob Gray and the dairy cooperatives in the Northeast began putting together some facts and figures and a game plan to approach Congress.

Gray consults with Northeast dairy organizations and departments of agriculture in Washington, D.C.

“Congress was sworn in on Jan. 6 and we met with members of Congress from the Northeast on Jan. 7,” Gray said at the Dairy Profitability Forum Oct. 28 at Clarks Mills United Methodist Church. The event was coordinated by the state Center for Dairy Excellence.

“They listened and said that they would have to discuss it with colleagues from other dairy states across the country,” he said. “The rest of the country thought we were ‘crying wolf’ and took a wait-and-see attitude.”

When in February and March the bottom dropped out of the market, they began to look at it more seriously.

“There are 140,000 jobs tied to the dairy industry in the Northeast,” Gray said. The collapse of dairy impacts the whole economy.

Gray and others have met with U.S. Secretary of Agriculture Tom Vilsack to see what was available that he could do that would not require legislation.

Vilsack has been working closely with dairy organizations to see what can bring some short-term relief and then look at some long-term solutions to the volatility in the market, Gray said.

The 2008 Farm Bill called for a study of the Federal Milk Marketing Order system that determines the price paid to farmers for their milk, by an appointed commission. To date, no commission has been appointed due to lack of funding.

In the meantime, Vilsack is establishing a Dairy Advisory Committee that will have up to 15 members representing all segments of the industry. Over 200 nominations were received by the Sept. 28 deadline. The committee members have not yet been announced.

There has been an increase in the dairy support of $1.31 for cheese and an increase from 80 cents to 92 cents for non-fat dry milk powder.

Congress has agreed to $350 million, with $60 million to buy cheese for food programs and $290 million in direct payments to dairy producers. It has not yet been determined how the $290 million will be distributed.