Washington, D.C. — The Organic Trade Association welcomes the U.S. Department of Agriculture’s continuing support for organic dairy farmers through the Organic Dairy Market Assistance Program (ODMAP). Today’s announcement by USDA that it is making available $58 million in assistance funds to U.S. organic dairies is good news for organic operations, particularly small- and medium-sized operations, who are dealing with sharply increased operating and marketing costs, and organic commodities in short supply.
OTA also commends USDA for making notable improvements for farmers applying for ODMAP assistance. USDA is using organic-specific pricing to make their financial assistance calculations, which will result in more realistic aid levels for organic dairy operators. The agency has increased its payment rate to $1.68 per cwt from last year’s rate of $1.10 and will provide coverage for 9 million pounds of milk per operation, compared to 5 million pounds in 2023.
“We applaud USDA for recognizing the unique production and marketing expenses of organic farming and using data from its National Agricultural Statistics Service (NASS) on organic milk costs to raise the pay price to $1.68,” said Tom Chapman, Co-CEO for OTA. “This targeted support acknowledges organic’s distinct cost structures and will help strengthen American organic dairy farms.”
Organic dairy operators also welcomed the announcement, saying the financial assistance is critical to struggling organic dairy farmers and processors.
“USDA’s Organic Dairy Marketing Assistance Program is stemming the loss of organic dairy farms in the U.S. by helping farmers regain financial stability following the recent and unprecedented period of extremely high animal feed costs,” said Joseph Button, Vice President of Sustainability & Strategic Impact at Strauss Family Creamery, a family-owned dairy in California. “As organic dairy farmers and processors work to adapt to extreme weather challenges and general inflationary pressures, this critical financial assistance from USDA affirms the importance of the organic dairy sector and the nutrient-dense foods it provides for our communities across the U.S.”
“These resources will make a difference for hundreds of organic dairy farmers in rural communities across the U.S.” said dairy farmer David Hardy of Mohawk, New York, who serves as board chair for Organic Valley dairy cooperative which has over 1,400 organic dairy farm-owners. “There have been a lot of organic dairy farmers who have faced horrific drought and weather conditions this past year, and USDA is right to offer this relief to help offset some of those losses. I know a lot of family farms in our membership that are going to use these funds to buy organic feed and pay off outstanding bills. It can’t come soon enough.”
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About the Organic Trade Association
The Organic Trade Association (OTA) is the membership-based business association for organic agriculture and products in North America. OTA is the leading voice for the organic trade in the United States, representing more than 500 organic businesses across 50 states and 9,500 farmers through its Farmers Advisory Council. Its members include growers, shippers, processors, certifiers, farmers' associations, distributors, importers, exporters, consultants, retailers and others. OTA's Board of Directors is democratically elected by its members. OTA's mission is to promote and protect ORGANIC with a unifying voice that serves and engages its diverse members from farm to marketplace.