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Northey, Judge ask Vilsack to do more for hog, dairy producers

Tuesday, August 25, 2009

By Jean Caspers-Simmet

Agri News staff writer 

DES MOINES -- Tom Vilsack is getting bipartisan pressure to do something for struggling pork and dairy producers.

Lt. Governor Patty Judge, a Democrat, and Iowa Secretary of Agriculture Bill Northey, a Republican, asked for the help during a forum held last week at the State Fair. They also asked Vilsack to act quickly on a request for a secretarial disaster designation to help farmers who lost their crops in devastating hail storms.

Both thanked Vilsack for pork purchases USDA has made and efforts to encourage the national news media to refer to H1N1 flu by its proper name.

"We appreciate the pork purchases earlier this year, but more is needed," Judge said. "We also ask you to do what you can to help our struggling dairy farmers."

Northey said Iowa has lost 245 dairy producers in the last three years, with 39 gone in the last 3 1/2 months.

"There are a lot of producers who are seriously looking at this fall and whether they will chop silage," Northey said. "There are decisions that have to be made and these next few months are critically important. Are they going to plan for another year or get out. Getting a secretarial disaster designation is very important."

Vilsack said that when he first became Iowa governor he received a letter from a woman whose husband has taken his life because he was distraught over low pork prices. Among the first things he did as ag secretary was meet a California woman whose husband committed suicide due to the stress of low dairy prices.

"This is real," Vilsack said. "The pain is real. The stress and difficulty are real."

USDA has taken steps to help dairy producers, but Vilsack said more needs to be done. USDA purchased surplus dairy commodities, reactivated the Dairy Export Incentive Program and distributed Milk Income Lose Contract payments.

"Between MILC payments and surplus commodity purchases we have invested $1 billion to keep dairy operations afloat," Vilsack said. "That wasn't enough, so we increased price supports boosting dairy farmers' revenue by $243 million."

USDA will look at ways to make the pricing system more stable for the long-term.

USDA is also helping the pork industry.

"After the H1N1 outbreak, we had 38 countries decide for no scientific reason to stop purchasing our pork products," Vilsack said. "We've worked systematically to reduce that number. Korea just came back on board. Russia has reduced its ban, and we're still working with China."

USDA has purchased $117 million of pork through commodity programs, about 72 million pounds, Vilsack said. There is a request for additional assistance, but the $1 billion available for Section 32 commodity purchases has been used for this fiscal year. If Congress adjusts the restriction to free more dollars, or once a new fiscal year starts in October, USDA will purchase more pork.

Vilsack said Northey is respected in Iowa and throughout the country.

"As I talk to ag secretaries around the country, no secretary of agriculture is held in higher esteem than Bill Northey," Vilsack said.


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