U.S. Agriculture Secretary Tom Vilsack agreed Friday to revive a dairy subsidy program at the request of lawmakers hoping to help state milk farmers suffering from drops in commodity prices and the loss of Colorado’s largest agricultural lender.
Vilsack’s move, implementing the Dairy Export Incentive Program, will help make milk prices more competitive in the global market, according to a statement from U.S. Sens. Mark Udall and Mike Bennet.
“Colorado’s dairymen are doing everything they can to keep their farms afloat as they deal with the credit crunch and the drop in commodity prices,” Bennet said. “The DEIP can help Colorado farmers take advantage of the global marketplace and make it work for them as soon as possible.”
Colorado’s dairy farms have been in financial distress since prices began falling last year. The April shutdown of New Frontier Bank compounded problems, leaving at least 20 dairies without credit lines.
