Consumer demand, particularly for cheese, has slipped amid the worldwide economic downturn. But production continued to grow. In September, dairy farmers received US$11.90 for 100 pounds of milk, according to the United States Department of Agriculture, down from a high of $19.50 in June 2008.
With the average cost of producing milk around US$18 per 100 pounds, farmers lose money every day.
Much of the talk about solutions centred on exports to developing countries. Farmers say the milk pricing system needs to be overhauled, something the senators agreed would be looked into when the next farm bill, scheduled for 2012, comes up.
Source: Los Angeles Times
