Two Sides to Cheese Buy 1

A conversation with the American Farm Bureau Federation’s John Newton about USDA’s helping hand in programs like the $20 million cheese buy. "The USDA has in its authority each fiscal year funding under the Section 32 provision that allows it to purchase cheese, fruits and vegetables, just recently the USDA announced they were going to purchase eggs under a similar program and distributed through these food channels. The taxpayer does foot the bill to provide products to these needy families. What is the position of the American Farm Bureau Federation? Do you support this action? We have heard from a number of our members across the country, dairy farmers, that times are tough and so we asked the USDA to do something to shore up these balance sheets. When dairy farmers’ incomes have been low for 18 months, that does a number on their cash reserves and in this market where it is becoming increasingly difficult to get ag financing, it's a tough environment so we are pleased with what the USDA has done but we also know there are challenges ahead. That is why we are focused on things like TPP and on the farm bill to make sure that dairy farmers have viable markets and effective safety nets in order to protect them against these kinds of environments.