On Wednesday, July 28 the House Agriculture Committee passed a bill reauthorizing mandatory price reporting for livestock and included a provision requiring electronic reporting for dairy products. Dairy product-price reporting is mandatory under current law; this provision would put in place a new electronic reporting capacity. The types of dairy products and frequency of reporting is not changed in this bill, introduced by Chairman Collin Peterson (D-MN).
"IDFA supports the reauthorization of the existing law and the provision to require electronic reporting," said Ruth Saunders, vice president for policy and legislative affairs for IDFA. "While some groups have advocated for an increase in the frequency and categories of dairy product reporting, IDFA believes this should wait until the Federal Milk Marketing Order (FMMO) system is reformed."
Unlike livestock markets, dairy product pricing is regulated by the federal milk marketing system, using complex formulas and monthly price announcements from the U.S. Department of Agriculture.
The bill, H.R. 5852, gives the Secretary one year to create the electronic reporting system from the time the bill is signed into law, which is expected by the end of the year. Until that time, the current dairy price reporting procedure will remain in place.
The bill has several cosponsors including Representatives Baca (D-CA), Boswell (D-IA), Conaway (R-TX), Cuellar (D-TX), Dahlkemper (D-PA), Fortenberry (R-NE), Herseth Sandlin (D-SD), Holden (D-PA), Kagen (D-WI), King (R-IA), Kissell (D-NC), Lummis (R-WY), Markey (D-CO), McIntyre (D-NC), Moran (R-KS), Pomeroy (D-ND), Scott (D-GA), Smith (R-NE), and Walz (D-MN).
Companion Senate legislation, sponsored by Senate Agriculture Committee Chair Blanche Lincoln (D-AR) and Ranking Member Saxby Chambliss (R-GA) was introduced Tuesday. IDFA supports both House and Senate bills.
Read the full text of the House bill here.
For more information on mandatory price reporting please contact Ruth Saunders at (202) 220-3553 or rsaunders@idfa.org.