Wednesday, February 4, 2009

New York Dairy Farmers Face Sour Times

What are the two most turbulently priced liquids in America?

Gas, of course... and milk.

According to an article in the Times Union, dairy farmers in the tri-state area are seeing a 40% decline in milk and cheese prices from this time last year.

While newly budgeted families may appreciate the drastic drop in dairy prices (remember spending $4 on a gallon of milk during the summer?), many farmers worry what the decreased profit margin will mean for their farms.

According to Peter Gregg, the spokesman for the New York Farm Bureau, small farms are the most vulnerable, as they are most affected by changes in the economy.  Despite federal subsidies, many of these farms are finding the cost of producing milk more than the price per gallon.

To combat the issue, five U.S. Senators have lettered a request to the Federal Agriculture Department to increase the demand by buying more milk for government programs. 

Still, the fate of tri state farmers is uncertain. 


  1. I had no idea milk was such a hot-ticket item. Interesting stuff. I'm going to start hoarding now!

  2. don't dairy farmers already recieve pretty large subsidies from the USFG? I'm not sure how I feel about continued federal support. Instead of throwing money at the issue, maybe understanding the underlying economic issues would be better to solve the underlying, long-term problem.