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    USDA Announces Reauthorization of Dairy Forward Pricing Program

    The U.S. Department of Agriculture (USDA) announced today the reauthorization of the Dairy Forward Pricing Program (DFPP), in accordance with the Agriculture Improvement Act of 2018 (2018 Farm Bill).

    The DFPP allows milk handlers, under the Agricultural Marketing Agreement Act of 1937, to voluntarily enter into forward price contract with producers or cooperative associations of producers for a negotiated price for raw milk.

    Establishing new contracts under the DFPP has been prohibited since the expiration of the program on Sept. 30, 2018. The 2018 Farm Bill reauthorized the program to allow handlers to enter into new contracts until Sept. 30, 2023. Any forward contract entered prior to the Sept. 30, 2023, deadline is subject to a Sept. 30, 2026, expiration date.