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Farm News: Dairy Producers Getting DELAP Payments

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Posted: 10.27.2010

 

Officials at the U.S. Department of Agriculture’s (USDA) Farm Service Agency (FSA) say they'll begin distributing $3.4 million in direct assistance to Wisconsin dairy farmers through phase III of the Dairy Economic Loss Assistance Payment Program (DELAP).
 
Wisconsin Senators, Herb Kohl and Russ Feingold said the update should be welcome news for Wisconsin dairy farmers that watched their prices crash in 2008. Feingold and Kohl led a bipartisan effort to push the USDA to take a variety of actions to lessen the blow to dairy farmers including making emergency dairy product purchases and supporting US dairy exports.
 
As Chairman of the Senate Agricultural Appropriations Committee, Kohl worked with members of the delegation to include $350 million for DELAP in the FY10 Agricultural Appropriations bill. $290 million of this funding was used for direct payments to producers and the remaining $60 million was used for dairy product purchases aimed at boosting milk prices. 
 
Feingold noted that this money makes rural Wisconsin work too. "More than $1 out of every $5 in these programs has gone directly into the pockets of Wisconsin's dairy farmers and then flows into our rural economies. While it doesn't completely make up for the months of major losses, this assistance is an important step in helping farmers continue farming and rebound from a difficult period.”
 
“Dairy prices have not recovered as quickly as projected earlier this year. Wisconsin dairy producers are still experiencing low prices and high production costs.” Kohl said. “This funding will help farmers get back on their feet and continue in the age old tradition of dairy farming in Wisconsin.” 
 
Under the DELAP program, assistance to eligible producers was scheduled in three phases. Phase I payments were issued to eligible dairy producers who had production records from previous participation in dairy programs on file with FSA. Phase II payments went to producers who did not have production records, but submitted a request for DELAP benefits before the application deadline of Jan. 19, 2010.  Phase III payments will be disbursed to dairy producers that received benefits under Phase I or Phase II. 
 
Wisconsin producers received $59.8 million of the total $290 million in payments under the program.
Additional information regarding DELAP can be found at local Farm Service Agency county offices or www.fsa.usda.gov.

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