The U.S. Department of Agriculture (USDA) today issued a final rule extending the Dairy Forward Pricing Program to allow producers and cooperative associations to enter into forward price contracts through Sept. 30, 2018. This final rule also extends all other requirements of the program until Sept. 30, 2021.
The Dairy Forward Pricing Program allows producers and producer cooperative associations to voluntarily enter into forward price contracts with handlers for milk under the Agricultural Marketing Agreement Act of 1937.
The program has not accepted new contracts since Sept. 30, 2013. The 2014 Farm Bill allows new contracts to be entered into until Sept. 30, 2018. Contracts may not extend beyond Sept. 30, 2021.
Information about the decision was published in the March 21, 2014, Federal Register.