Posted by John in la on December 26, 2012 at 07:23:25 from (184.38.223.165):
In Reply to: true or false ?? posted by Old Roy on December 25, 2012 at 21:51:47:
I agree with JD's train of thought but let me ask a few questions;
1) The snap (food stamp)portion of the farm bill was extended for 6 months so it will stay in tack till March 2013? This will cause the average person to not even know or miss that we do not have a new farm bill.
2) So since crop insurance; consevation measures; do not effect the average person short term; snap is covered; Milk prices are the only short term effect to the average person because of no farm bill?
3) With no farm bill the goverment would set a floor price around $32 but dairy farmers are not forced to sell to the goverment? So in other words the farm bill expires and the floor price of milk goes way up. As a dairy farmer I now have a choice. I can sell my milk to my prossesor for the same price we have been getting for the past few months; OR I can force the goverment to give me a out of line price of $32.
While it will be easy and with in human nature to sell my milk to the goverment for $32 I can choose to keep going like we have the past few months and sell to my prossesor for a fair price that keeps me in bussiness.
JD said he thinks grain payments in record high grain price years are a embarrassment to the Ag sector and may come back to haunt them. Well I think that if dairy farmers think of them selves only and force $32 milk just because that is what the farm bill says will be a total embarrassment to the industry and may bite them in the but long term.
Please correct me if I am not seeing something right.
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